Any 96 Ford should use the older style fobs. My 97 Escort and my parent's 97 Taurus also used the older style. The 98 ZX2 however has the newer style.It's identical to the slightly newer fobs, but it's from my 96 mustang. Either it's bad or it really isn't compatible.
I don't know what I did differently, but my car does in fact have RKE, locks cycled. Thanks for getting me to try again Matt and Pextor. Going to order a new fob tonight.