Hi Guys
Just a heads up for you who have the older key, I was in a hurry yesterday and turned off my ignition grabbed the key and ran to a meeting.
I accidentally did not turn the key all the way to the end and yanked it out locked the car with fob and went about my thing.
Returning I unlocked and found that the key part with the old Ford style metal shaft was still in the ignition
I clipped the plastic together (I thought it was a 1 piece molded key and not aware its splits) then turned on the car, all normal except it would not illuminate the red light in start button. The red alarm PATS light remained flashing.

Inside this key I found out later after getting it home that inside is a small capsule looking thing that looks like a medical pill, it also has two colours, and is about the same sise as normal medical pill, this fell out and I was lucky because it fell onto the carpet and I found it while cleaning the car, I pulled the key apart inserted the pill and then glued the key together, it works and I was lucky because if I had lost that pill thing I would have needed a expensive key and dealer coding!

So guys just a heads up. Below is the type of key I refer to and note that the part with the AM logo splits from the part with metal shaft. To me it looked like a one piece molded key, and apologize to the guys that already knew all this. I did not, hope it helps a stranded owner if it ever happens to you, imagine a car wash or valet parking did this one would never know what happened?? Key just stopped working, and expensive they are.

Greg

 

The car will not lock with the key in the ignition with the FOB.

 

It will if the transponder/transducer thing as described above has fallen to the floor as I have described the car then see's the key is missing. The key transponder needs to be real close to the ignition.

 

Yes, to start the car the it has to see the pill as you described. There is also a "key in" switch that is on the barrel. If the ignition flap is moved it doesn't allow the FOB to lock or unlock. Stick any object besides the key in, and it's disabled.