Ford to get $6 billion technology loan

Ford will receive loan funds through 2011 to retool factories in Michigan, Ohio, Illinois, Kentucky and Missouri in order to produce 13 models. Ford is focusing on electrification and improvements to conventional engines as well as converting two truck plants for car production.

The loan is part of a $14 billion investment Ford plans in advanced technology vehicles over the next seven years, said Ford Chief Executive Alan Mulally.

The No. 2 U.S. automaker hopes most of that financing will come from government loans.

Nissan's North American unit will receive the funds to retool its Smyrna, Tennessee, facility to build electric cars and an advanced battery manufacturing plant, Chu said.

Tesla, based in San Carlos, California, will receive funds to build electric drive trains and electric vehicles.

Ford shares were up 14 cents, or 2.6 percent, to $5.52 in early afternoon trading on the New York Stock Exchange.

(Reporting by Kevin Krolicki; Editing by John Wallace and Tim Dobbyn)