DETROIT (Reuters) - Ford Motor Co (F.N), the only U.S. automaker not to file for bankruptcy this year, has a sound balance sheet and is seeking to further reduce debt, Chief Executive Alan Mulally said on Wednesday.

"We're in really good shape with the balance sheet with where we are right now and as soon as we get to profitability and positive cash flow as we've said in 2011 we will accelerate the improvement in the balance sheet," Mulally told reporters on the sidelines of the National Summit in Detroit.

Mulally said Ford was continuing talks with its major unions in the United States and Canada and hopeful that the Obama administration's support for rivals General Motors Corp (GMGMQ.PK) and Chrysler (FIA.MI), both of which filed for bankruptcy this year, would be temporary.

Ford is in discussions with the United Auto Workers union on steps to improve its cost competitiveness, Mulally said.

The topics under discussion with the UAW include a no-strike provision that is part of contract changes approved by workers at GM and Chrysler, but not among alterations adopted by Ford workers earlier in 2008.

"That's just one piece of the conversation we're having with them," Mulally said. "I don't know the details with regard to what's been decided for our competitors."

GM and Chrysler both have reached cost cutting deals with the UAW and have or will pass through bankruptcy protection with substantially reduced debt versus Ford, which raised more than $23 billion in late 2006 to support its restructuring.

Ford supported temporary emergency aid for GM and Chrysler "for the good of the U.S. economy and the industry," Mulally said. "I've been encouraged that the government has said they don't want to be in the car business and want to get out as quickly as possible."

Mulally also said he has been talking to the Obama administration and the task force on a regular basis even as Ford moves ahead on its restructuring without emergency aid.

"In the areas where everybody's concerned like the supply base and the lack of credit, I will continue to work with the administration," Mulally said.

Ford shares edged up 6 cents to $5.73 on the New York Stock Exchange early Wednesday afternoon.

Ford Australia recently announced a number of significant fuel economy and CO2 emissions improvements on key models in its local product line-up, along with the achievement of an ANCAP five-star safety rating for its E-Gas range of Falcon sedans.

From April 2009 production, a Falcon XT sedan with the optional ZF six-speed automatic transmission will have a fuel consumption rating of just 9.9 L/100km, which will see it rank as one of the fuel efficiency leaders in the Large car segment.

Accompanying the reduction in fuel economy is a reduction in CO2 tailpipe emissions – down to 236 g/km – to give the Falcon XT an improved green vehicle accreditation with a 5.5 star Greenhouse Rating (for vehicles producing less than 241 g/km of CO2 emissions).

These improvements have been engineered without any degradation in the vehicle's performance. "Since the new Falcon was introduced last year, we have continued our process of ongoing engineering development and refinement of the award-winning FG Falcon range," Ford Australia President and CEO Marin Burela said.

The new $20 million Advanced Centre for Automotive Research and Testing (ACART) at Ford's Proving Ground and the University of Melbourne will increase the competitiveness of Australia's automotive industry through the availability of world-class emissions, environmental and engine development facilities.

The development of a multi-fuel emissions cell, an environmental testing laboratory and an engine dynamometer facility provides Australian automotive companies and suppliers with access to world-class facilities that were previously unavailable in Australia.

Established to enhance the technical competitiveness of Ford Australia and the quality of academic research and testing at the University of Melbourne, ACART will also be available for other automotive manufacturers and suppliers for use on a commercial basis.

ACART was officially opened today by the Victorian Minister for Environment and Climate Change, the Hon Gavin Jennings, Ford Australia President & CEO Marin Burela, and Dean of the School of Engineering, Melbourne University Professor Iven Mareels at the recently completed environmental testing laboratory at Ford's Proving Ground.

"The collaboration and investment undertaken between Ford, the University of Melbourne and the Victorian State Government on the ACART project highlights a continued confidence in the future of our industry in Australia," said Ford Australia President & CEO Marin Burela. "These new facilities present an exciting opportunity for Ford to work with the University of Melbourne, with assistance from the State Government, to make a real difference to environmental research and development in Victoria.

"The project also demonstrates our commitment to technological leadership, and helps build Ford's capability as an innovative and progressive manufacturer dedicated to improving future product."

Recent development work undertaken using the completed ACART facilities has seen a significant improvement in the fuel economy and reduced emissions of Ford's volume selling Falcon sedan.

We might best fit the description of "moderate" NASCAR fans, as we've never been all that excited to see Fusions, Chargers, and Camrys circling the track for hundreds of miles these past few years. That's about to change.

The folks over at FOX Sports recently reported that Ford has plans to introduce the Ford Mustang into the Nationwide Racing Series next year. The news comes now, a bit on the early side, because the new templates and designs are required to be submitted for approval on June 26th and the 2010 NASCAR competition is supposedly going to be very close to stock in the visual cues department...at least much closer than the aero-styled cars we've been accustomed to for almost ten years.

Dodge has stated they are going to have the Challenger designed and slated for the series as well. General (Government) Motors? They passed on producing a Camaro shell to race underneath and will stick with their current Impala setup, while Toyota will also follow the stale suit and stick with their Camry paneling.

Ford driver Mikko Hirvonen secured victory in the Acropolis Rally of Greece on Sunday, reducing Sebastien Loeb's World Rally Championship lead to seven points.

Privateer entrant Petter Solberg had been a threat to Hirvonen, but he retired due to broken suspension on Saturday, and the BP Ford team leader was eventually left in a commanding position.

Hirvonen was able to cruise to victory - his first of the year - on the final day, after Dani Sordo also suffered a suspension break, while rookie Sebastien Ogier achieved a brilliant second place in his Citroen Junior Team car.

With Ogier not registered to score points, the BP Ford squad managed 18, thanks to Hirvonen's win and Jari-Matti Latvala's battle back from a mistake on Friday to take third place.

Federico Villagra came home fourth in the Munchi's Ford machine, with Ogier's team-mate Conrad Rautenbach fifth and Khalid Al Qassimi sixth for BP Ford.

Mads Ostberg was seventh in a Subaru, while Lambros Athanassoulas won the Production fight for Skoda, ahead of Nasser Al-Attiyah, who was ninth overall. Mitsubishi's Armindo Araujo completed the top ten.

It was a dreadful outing for the Citroen Total team. Prior to the suspension break for Sordo, who had been battling Hirvonen for the lead, champion Loeb had a massive accident whilst running in third place.

Acropolis Rally of Greece: Final Positions (Top 10)
Pos. Driver, Car, Time/Gap
1. Mikko Hirvonen, Ford, 4hrs09:42.5
2. Sebastien Ogier, Citroen, +1:12.9
3. Jari-Matti Latvala, Ford, +1:45.0
4. Federico Villagra, Ford, +3:48.3
5. Conrad Rautenbach, Citroen, +3:59.8
6. Khalid Al Qassimi, Ford, +7:04.3
7. Mads Ostberg, Subaru, +12:24.9
8. Lambros Athanassoulas, Skoda, +12:47.6
9. Nasser Al-Attiyah, Subaru, +13:09.9
10. Armindo Araujo, Mitsubishi, +15:04.5