Hi,
This airbag light thing is pretty common in Fords. I had a 2002 Ford Escape XLS, but had the exact same problem mentioned above.
Here is my solution, What I did, is disconnect the airbag plug that is located underneath the driver's seat. Clean the electrical prongs with a dry toothbrush or any bristle brush. After reconnecting, the light should not come on anymore. I didn't have any problems for about 6 months, that's when the blinking airbag light came back. I disconnected the plug again and cleaned it once again. This time I bent the metal prongs just a tad bit and then reconnected them again. I think the prongs don't get very much contact, so bending just a bit should help that. This time the light never came back on.
Good luck!!!
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