May 23 (Bloomberg) -- Billionaire investor Kirk Kerkorian said he has added $100 million to his funds for buying shares of Ford Motor Co. a day after the automaker abandoned its forecast that it will return to profitability next year.

Kerkorian may borrow as much as $600 million from Bank of America Corp., an increase from $500 million, according to a U.S. regulatory filing today by his Tracinda Corp. investment company. He also reaffirmed that officials at Dearborn, Michigan-based Ford ``would be agreeable'' to meeting with him. Tracinda spokesman Tom Johnson had no comment.

Kerkorian's increased resources come as Ford struggles with a slowing U.S. economy and rising fuel and materials prices that prompted the automaker to announce further cuts in jobs and production yesterday. Kerkorian said May 9 he would consider buying shares beyond 120 million planned and has studied options for an outside ``infusion'' of capital into Ford.

``Support by Kerkorian is good for Ford because it shows someone is obviously willing to place a vote of confidence in Ford's long-term future,'' said Pete Hastings, a fixed income analyst at Morgan Keegan & Co. in Memphis, Tennessee, who is recommending clients buy short-dated Ford auto debt.

Tracinda said late last month it bought 100 million shares, or 4.6 percent, and on May 9 it began an offer to buy 20 million more at $8.50 each. That would bring Kerkorian's stake to 5.5 percent. He said in a May 9 filing he can abandon the offer if shares fall more than 10 percent from the May 8 close of $8.20. The stock has fallen about 16 percent since May 8.

Neutral Stance

Ford fell 29 cents, or 4.1 percent, to $6.87 at 4 p.m. in New York Stock Exchange composite trading.

Ford spokesman Mark Truby had no immediate comment on today's filing.

Chairman William Clay Ford Jr. said at the company's May 8 shareholders meeting in Wilmington, Delaware, that the automaker welcomed the Tracinda investment. Ford's board yesterday took a neutral stance on Tracinda's tender offer, which runs through June 9 unless it's extended.

Kerkorian modified the April 15 loan agreement with Bank of America on May 21 and pledged the 100 million Ford shares he already owns as collateral, according to the filing. Any new shares will also become collateral, and if the borrowings under the loan exceed $300 million, Las Vegas-based Tracinda may have to add additional collateral.

Lower Industrywide Forecast

Tracinda also said that Ford General Counsel David G. Leitch contacted Kerkorian lawyer Terry Christensen on May 9 to reaffirm Ford executives ``would be agreeable to a meeting with representatives of Tracinda at an appropriate time in the future.''

Ford cut its U.S. industrywide forecast for cars and light trucks yesterday to as low as 14.7 million for 2008, about 2 million fewer than the annual average this decade. The company is slashing output for the rest of the year, mostly for trucks. It also plans to eliminate more salaried and production jobs.

Kerkorian has a history as an activist shareholder at Chrysler Corp. and General Motors Corp. Tracinda made a hostile bid for Chrysler in 1995, and pressed for major changes at GM a decade later. Tracinda has said it invested in Ford because Mulally was turning around the automaker.

Late yesterday, Mulally said the reversal of the automaker's forecast can be blamed in part on the shift away from profitable trucks toward less profitable cars.

`Fundamental Change'

Ford estimates that full-size pickups fell to 9 percent of the U.S. market compared with 14.1 percent in 2007, Mulally told reporters after a speech in Detroit. Such figures don't include sales to corporate fleets or rental-car companies.

``We've never seen movement this fast,'' Mulally said. ``This is a fundamental change.''

The turnabout forced the automaker to withdrawal its target for a return to profit next year as gasoline prices approaching $4 a gallon cut truck demand. Ford relied on sport-utility vehicles and large pickups to drive earnings in the 1990s.

Ford's U.S. sales of cars and light trucks dropped 9.8 percent this year through April. Declines of F-Series pickup trucks and sport-utility vehicles such as the Explorer and Expedition overwhelmed gains for the Focus small car and Edge wagon, which are drawing fuel-conscious buyers.

Ford cut 46,300 jobs in North America in the past two years, and 4,200 more U.S. factory workers have agreed to leave in 2008 through buyouts.

Last month, the second-biggest U.S. automaker affirmed its target of returning to profit in 2009 as it reported a $100 million first-quarter profit that surprised investors. Mulally said at the time that the Dearborn, Michigan-based company would still have a loss for this year.

To contact the reporter on this story: Jeff Green in Southfield, Michigan at jgreen16@bloomberg.net

Last Updated: May 23, 2008 16:15 EDT