|
|
|
|
DaimlerChrysler
|
| |
|
| |
Daimler AG (formerly Daimler-Benz AG, DaimlerChrysler AG) is a German car corporation (not to be confused with the British Daimler Motor Company) and the world's thirteenth largest car manufacturer as well as the largest truck manufacturer in the world. In addition to automobiles, Daimler manufactures trucks and provides financial services through its Daimler Financial Services arm. The company also owns major stakes in aerospace group EADS, high-technology and parent company of the Vodafone McLaren Mercedes racing team McLaren Group, Japanese truck maker Mitsubishi Fuso Truck and Bus Corporation and a minority stake in US automaker Chrysler Holding LLC.
DaimlerChrysler was founded in 1998 when Mercedes-Benz manufacturer Daimler-Benz (1926-1998) of Stuttgart, Germany merged with the US-based Chrysler Corporation.
Discussion
Ask a question about 'DaimlerChrysler' Start a new discussion about 'DaimlerChrysler' Answer questions from other users |
Encyclopedia
Daimler AG (formerly Daimler-Benz AG, DaimlerChrysler AG) is a German car corporation (not to be confused with the British Daimler Motor Company) and the world's thirteenth largest car manufacturer as well as the largest truck manufacturer in the world. In addition to automobiles, Daimler manufactures trucks and provides financial services through its Daimler Financial Services arm. The company also owns major stakes in aerospace group EADS, high-technology and parent company of the Vodafone McLaren Mercedes racing team McLaren Group, Japanese truck maker Mitsubishi Fuso Truck and Bus Corporation and a minority stake in US automaker Chrysler Holding LLC.
DaimlerChrysler was founded in 1998 when Mercedes-Benz manufacturer Daimler-Benz (1926-1998) of Stuttgart, Germany merged with the US-based Chrysler Corporation. The deal created a new entity, DaimlerChrysler. However, the buyout failed to produce the trans-Atlantic automotive powerhouse dealmakers had hoped for, and DaimlerChrysler announced on May 14, 2007 that it would sell Chrysler to Cerberus Capital Management of New York, a private equity firm that specializes in restructuring troubled companies. On October 4, 2007 a DaimlerChrysler Extraordinary Shareholders' Meeting approved the renaming of the company. From October 5, 2007, the company has been titled Daimler AG. The US company adopted the name Chrysler LLC when the sale completed on August 3, 2007.
Daimler produces cars and trucks under the brands of Mercedes-Benz, Maybach, Smart, Freightliner and many others.
History
Daimler AG is a German manufacturer of automobiles, motor vehicles, and engines, which dates back more than a century.
An Agreement of Mutual Interest was signed on May 1 1924 between Benz & Cie (founded 1883) of Karl Benz and Daimler Motoren Gesellschaft (founded 1890) of Gottlieb Daimler and Wilhelm Maybach.
Both companies continued to manufacture their separate automobile and internal combustion engine brands until, on June 28 1926, when Benz & Cie. and Daimler Motoren Gesellschaft AG formally merged—becoming Daimler-Benz AG—and agreed that thereafter, all of the factories would use the brand name of Mercedes-Benz on their automobiles.
In 1998 Daimler-Benz AG "merged" with the American automobile manufacturer Chrysler Corporation, and formed DaimlerChrysler AG. In 2007, when the Chrysler group was sold off to Cerberus Capital Management, the name of the parent company was changed to simply Daimler AG.
Timeline of Daimler AG
Benz & Company, 1883–1926
Daimler Motoren Gesellschaft AG, 1890–1926
Daimler-Benz AG, 1926–1998
DaimlerChrysler AG, 1998–2007
Daimler AG, 2007–present
Former Chrysler operations
Chrysler has suffered a series of setbacks in recent years, culminating in DaimlerChrysler's agreement to sell the unit to Cerberus Capital Management in May 2007 for US$6 billion.
Through most of its history, Chrysler has been the third largest of the "Big 3" US auto makers, but in January 2007, DaimlerChrysler, excluding its luxury Mercedes and Maybach lines, also outsold traditionally second place Ford, though behind General Motors and Toyota.
Chrysler reported losses of US$1.5 billion in 2006. It then announced plans to lay off 13,000 employees in mid-February 2007, close a major assembly plant and reduce production at other plants in order to restore profitability by 2008.
The merger was contentious with investors launching lawsuits over whether the transaction was the 'merger of equals' that senior management claimed or actually amounted to a Daimler-Benz takeover of Chrysler. A class action investor lawsuit was settled in August 2003 for US$300 million while a suit by billionaire investor activist Kirk Kerkorian was dismissed on April 7, 2005. The transaction claimed the job of its architect, Chairman Jürgen E. Schrempp, who resigned at the end of 2005 in response to the fall of the company's share price following the transaction. The merger was also the subject of a book Taken for a Ride: How Daimler-Benz Drove Off With Chrysler, (2000) by Bill Vlasic and Bradley A. Stertz.
Another issue of contention is whether the merger delivered promised synergies and successfully integrated the two businesses. As late as 2002, DaimlerChrysler appeared to run two independent product lines. Later that year, the company launched products that appear to integrate elements from both sides of the company, including the Chrysler Crossfire, which used extensive Mercedes parts and the Dodge Sprinter/Freightliner Sprinter, a re-badged Mercedes-Benz Sprinter van.
Sale of Chrysler
DaimlerChrysler had reportedly approached other carmakers and investment groups to sell Chrysler in early 2007. General Motors was reported to be a suitor while Volkswagen, the Renault-Nissan auto alliance, and Hyundai Motor Company had said that they weren't interested in buying the company.
On August 3 2007, DaimlerChrysler completed the sale of Chrysler Group to Cerberus Capital Management. The original agreement stated that Cerberus would take an 80.1 percent stake in the new company, Chrysler Holding LLC. DaimlerChrysler changed its name to Daimler AG and retained the remaining 19.9% stake in the separated Chrysler.
The terms saw Daimler pay Cerberus US$650 million to take Chrysler and associated liabilities off its hands. This is a remarkable reverse in fortunes on the US$36 billion paid to acquire Chrysler in 1998. Of the US$7.4 billion purchase price, Cerberus Capital Management will invest US$5 billion in Chrysler Holdings and US$1.05 billion in Chrysler’s financial unit. The de-merged Daimler AG received US$1.35 billion directly from Cerberus but directly invested US$2 billion in Chrysler itself.
Management
Dr. Dieter Zetsche has been the Chairman of Daimler and Head of Mercedes-Benz Cars since January 1, 2006 as well as member of Board of Management since 1998. He was former President and CEO of the Chrysler, LLC (previously owned by Daimler AG), he maybe best known in the United States as Dr. Z from a Chrysler advertising campaign called "Ask Dr. Z".
Current members of the Board of Management of Daimler AG are:
- Dr. Dieter Zetsche: Chairman of the Board as well as Head of Mercedes-Benz Cars.
- Gunther Fleig: Head of Human Resources and Labor Relations.
- Dr. Rudiger Grube: Head of Corporate Development.
- Andreas Renschler: Head of Daimler Trucks.
- Bodo Uebber: Head of Finance and Controlling as well as Financial Services.
- Dr. Thomas Weber: Head of Group Research and Mercedes-Benz Cars Development.
Current members of the Supervisory Board of Daimler AG are: Heinrich Flegel, Juergen Hambrecht, Thomas Klebe, Erich Klemm, Arnaud Lagardère, Jürgen Langer, Helmut Lense, Sari Baldauf, William Owens, Ansgar Osseforth, Valter Sanches, Manfred Schneider, Stefan Schwaab, Bernhard Walter, Lynton Wilson, Mark Wössner, Manfred Bischoff, Clemens Börsig and Uwe Werner. Dr Manfred Bischoff serves as the Chairman of the Supervisory Board of Daimler AG and Erich Klemm as Vice-Chairman.
Daimler shareholders
The largest shareholder of Daimler AG is the Kuwait Investment Authority with 7.6% (as of August 1, 2008).
The regional breakdown of shareholdings as of December 31 2007 was:
- 39.0% Germany
- 32.3% Other Europe
- 21.2% USA
- 7.50% Rest of world
Brands
Daimler sells automobiles under the following marques worldwide:
- Daimler Trucks
- Commercial vehicles
- Components
- Mercedes-Benz Vans
- Mercedes-Benz (vans group)
Holdings
Daimler currently holds interests in the following companies:
Partners
Tesla Motors has supposedly inked some sort of technology deal with Daimler .
Alternative propulsion
Biofuel research
Daimler AG is involved in a joint project with Archer Daniels Midland Company and Bayer CropScience to develop jatropha as a biofuel.
Transport electrification
Carmaker Daimler AG and utility RWE AG are going to beging a joint electric car and charging station test project in the German capital, Berlin, called "E-Mobility Berlin." .
Mercedes-Benz is launching its first passenger car model equipped with a hybrid drive system in summer 2009, the Mercedes-Benz S 400 BlueHYBRID .
Daimler Trucks is the world market leader in hybrid systems. With its “Shaping Future Transportation” initiative, Daimler is pursuing a clear-cut objective for trucks and buses. The Mitsubishi Fuso “Aero Star Eco Hybrid” is now setting new standards in practical trials in Japan .
See also
External links
|
| |
|
|
