Mustang II Condensed History

1970

Lee Iacocca is named President of Ford Motor Company.
Ford acquires a controlling interest in European design firm Ghia of Italy; Ghia designers produce a running prototype of a small, sporty car in just 53 days, helping to redirect thinking of what will eventually become the Mustang II.

1972

Lee Iacocca pushes for a Mustang redesign; last-minute consumer clinic suggests that buyers want to seea notchback Mustang as well as a fastback Mustang.

1973

Ford announces that '73 is the last year for Mustang convertibles.
Mustang is the only Ford product to offer the division's High Output 351 V-8.
Mustang model-year sales rebound slightly, to 134,267; convertible sales almost double, to 11,853.

1974

The downsized, wholly redesigned Mustang II is in showrooms during the '73-'74 energy crisis, a propitious marketing moment.
The familiar long hood/short deck profile is retained, but the package is smaller than even the origional '64 1/2 model.
The initial Mustang II offers a four and a six, but not a V-8, a first for Mustang; the 2.3 liter four is America's first mass-produced engine built to metric measurements.
Mustang convertibles disappear, and will not return until 1983.
The Mustang logo is redesigned.
Mustang's upmarket model is now called Ghia.
The Mustang II sells a robust 385,993 units during the model year.

1975

Mustang's V-8 engine option returns with a 302 c.i. small-block, detuned to 122 bhp.
Hood, grille opening, and many internal components are changed to make room for the 302.
A new Ghia "Silver Luxury Group" package offers silver metallic paint, silver vinyl half-top, cranberry velour interior, and other pseudo-luxury trim.
Mustang sales drop from the '74 level by over 50 percent, to 188,575.

1976

Horsepower of Mustang's 302 V-8 increases from 122 to 139 bhp.
A cosmetic Cobra II package produced by Motor Town Corp. debuts, comprising sport steering wheel, front air dam, nonfunctional hood scoop, and other add-ons. Initial colors are restricted to white with blue trim stripes. Later in the model year, Medium Metallic Blue with white stripes joins the lineup. Near the end of the model year, Black with gold stripes also debuts.
Another cosmetic option package, the Stallion, is offered.
Mustang's option list expands to include a glass moonroof and stand-up hood ornament.
187,567 Mustangs are sold during the model year.

1977

The Cobra II package returns with the white with blue stripe and black with gold stripe options. New colors are white with red stripes or white with green stripes.
More than a quarter of Mustangs sold had V-8s.
The Stallion package is replaced by a Rallye appearance package featuring black paint with subtle gold accents.
The Rallye package tweaks performance and handling with a Traction-Lok limited-slip differential.
In the main, alterations to the year's Mustang are minor; inside, faux wood accents abandon a buried-walnut look for simulated pecan grain.

1978

Ford president Lee Iacocca is fired and goes to Chrysler.
Cobra II trim changes from twin top stripes to large top and side graphics. Black or white cars are available with red/orange or green/yellow decals.
King Cobra package introduced. With less than 5000 units of production, it is the most collectable of the Mustang II's.
Model-year Mustang sales bounce back to 192,410.

1979

Mustang is restyled (loosing all traditional Mustang styling ques) and name is changed, dropping the "II" designation.
Engine choices remain the same as '78 with addition of blow-through carburated turbo on 2.3L engine.
Indy Pace Car version features 302 2 barrel V-8 or 2.3L Turbo with cowl induction, air dam, wild graphics and Recaro seats.