Mercedes-Benz plans line of electric vehicles

Mercedes-Benz is planning its own distinct line of electric vehicles, challenging BMW and Tesla Motors in a bet that alternative-fuel cars have the potential to become profitable.

Mercedes will add two electric sport utility vehicles and two sedans, according to sources and will create a new sub-brand for the cars.

CEO Dieter Zetsche said in June that the company planned to unveil an electric car at the Paris motor show in September.