- New smart fortwo to be launched in 2007
- Cancellation of production of smart forfour intended, subject to
negotiations with Mitsubishi Motors Corporation (MMC) and other partners
- Sustainable profitability confirmed
Stuttgart – DaimlerChrysler AG is planning to focus on the smart fortwo to
ensure the long-term sustainability of its smart brand. Thus, the profitability
of smart will be confirmed, with positive results expected from 2007 onward.
The planned measures for a further enhancement of the business model of smart
include the following items:
- The clear focus on the smart fortwo;
- the intention to cancel production of the smart forfour;
- the manifestation of smart and especially the smart fortwo as a long-term
and important part of DaimlerChrysler’s product portfolio;
- as well as the complete integration of smart into the Mercedes
organization.
Overall, these measures are likely to result in a headcount reduction of 300
employees at smart in Böblingen.
The smart forfour is produced by MMC through its wholly-owned subsidiary
Netherlands Car B.V. (Nedcar) in Born, Netherlands. The cancellation of the
forfour production is still subject to negotiations to be carried out with MMC
and all other partners.
The measures described above are still subject to approval by both the Board
of Management and the Supervisory Board of DaimlerChrysler AG. The cost for
DaimlerChrysler related to these measures are estimated to be in the magnitude
of approximately
1 billion pound
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