Thursday, September 8, 2005

Daimler's Smart to keep ForFour model, says CEO

Reuters

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FRANKFURT -- DaimlerChrysler's Smart minicar brand will buck the market trend this year and sell more cars than in 2004, its chief executive told Reuters on Thursday, insisting it would keep its loss-making four-seat ForFour model.

"We want to sell more cars to customers than in 2004, and we will do so," Ulrich Walker said in an interview.

He said new Mercedes Car Group chief and designated group Chief Executive Dieter Zetsche stood behind the restructuring plan for Smart "with no ifs, ands or buts" and that there were no changes to the plan that is supposed to see loss-making Smart break even by 2007.

He said Smart was not looking for industrial partners for development or production and did not need any to swing to profit as planned.

All signs pointed to launching the Smart brand in the U.S. market, and a decision on this was due by year's end, he said.