DaimlerChrysler to reduce 7.5% of its stake in EADS

Stuttgart, Apr 04, 2006
After authorization by the Supervisory Board of DaimlerChrysler, the Board of Management today has taken all appropriate actions for hedging 7.5% out of its 30% stake in the European Aeronautic Defence and Space Company (EADS).

With this step DaimlerChrysler will further focus on its core automotive business. Today’s market value of the 7.5% stake amounts to approximately €2.0 billion. There will be no impact on the net income in 2006. As the settlement of the transaction is intended to take place between January and April 2007, the impact of the transaction on net income in the magnitude of around €1 billion will occur in 2007.

Today, DaimlerChrysler and international investment banks have entered into a forward sales agreement on EADS shares. The DaimlerChrysler Group will be lending the shares to the banks which then will place the shares in the market.

This transaction has been prepared in close cooperation with the French Lagardère SCA which also intends to reduce its indirect 15% stake in EADS to 7.5%. On the basis of the existing contractual relationships the step has been coordinated with all major shareholders of EADS. DaimlerChrysler and Lagardère SCA are determined to further support the continued success of EADS and remain core shareholders. The sustained increase of the EADS share price strongly underscores the substantial global investor interest and high demand for a participation in EADS. Both DaimlerChrysler and Lagardère SCA respond to this demand by substantially increasing the free float of EADS. This will broaden the shareholder basis of EADS and enhance its access to and position in the international capital markets. Thus it enables the company to enter into a new chapter of global successful growth as a logical next step in its development.

Through these transactions, EADS’ balanced Corporate Governance among the core shareholders remains unchanged.

Mercedes-Benz Accessories GmbH presents the Bike Collection 2006: The first carbon racing bike with an MB star

Stuttgart, Apr 04, 2006
High-tech and lightweight construction akin to that of the Mercedes-Benz SLR McLaren super sports car: the new Carbon Bike is the highlight of the 2006 Bike Collection from Mercedes-Benz Accessories GmbH. Thanks to its ultra-lightweight carbon-fibre frame, this thoroughbred weighs in at a mere 8.3 kilograms. The rest of the 2-wheeled range makes a more striking impression than ever before. Substantially lighter and with two equipment variants, the Automatic Bike swings elegantly into the 2006 model year. The elegant Fitness Bikes and the full-suspension Mountain Bike round off the range.

The new Carbon Bike is the highlight of the 2006 Bike Collection. Systematic use of lightweight construction techniques and its exclusive high-end equipment make this bike, the first racer produced by Mercedes-Benz, an attractive proposition for both ambitious amateurs and experienced professional racing cyclists. The centrepiece of this racer is an innovative monocoque frame made of carbon fibre.

The use of carbon fibre has a prestigious heritage for Mercedes-Benz, including the titans of Formula 1 and the Mercedes-Benz SLR McLaren, the world’s first production car with a bodyshell made entirely of carbon fibre. Carbon is an exclusive material which delivers two principal benefits: extreme stability and incredibly light weight. With a frame height of 58 centimetres, this racing bike weighs just 8.3 kilograms (without pedals).

Breakthrough Jeep® Compass Conquers All-New Territory for $15,985

All-new
Jeep® Compass expands Jeep lineup — modern design appeals to
new, youthful Jeep buyers in global compact SUV segment

Value
abounds with excellent fuel economy, cool innovations and long list of
standard safety features (side-curtain air bags, ESP, Traction Control,
ABS)

Compact SUV segment expected to triple in volume by 2016 in United States

 

Auburn Hills, Mich.,

Apr 4, 2006
 - 

Chrysler
Group today announced the U.S. Manufacturer’s Suggested Retail Price
(MSRP) for its all-new 2007 Jeep® Compass is $15,985 (including $560
destination).  A modern-styled Jeep that delivers fun, freedom,
utility and Jeep 4×4 capability, the Compass provides excellent fuel
economy, safety and interior flexibility — all at a great value — in
the compact SUV segment.

The Jeep Compass will begin to arrive in U.S. dealerships and international volume markets in the third quarter of this year.

“With
Compass, Jeep continues to expand globally by offering a fun-to-drive,
fuel-efficient and affordably-priced Jeep vehicle designed to reach
youthful customers who may not have previously considered the brand,”
said George Murphy, Senior Vice President — Global Marketing, Chrysler
Group. “Compass is a new type of Jeep vehicle for non-traditional Jeep
buyers. It allows the brand to compete in the fast-growing compact SUV
segment, where there is increasing market demand for fuel economy, ride
comfort and efficient packaging in an SUV.”

Annual compact SUV
volume in the United States for the 2005 calendar year was 368,000
units, up from 297,000 units in 2004. The compact SUV segment is
expected to almost double to approximately 600,000 units by 2010 and
almost triple to more than 814,000 units by 2016.

The newest
Jeep will be available in both Compass and Compass Limited models. Both
are available with front-wheel and four-wheel-drive capability.

“Jeep
Compass will offer customers the confidence and assurance that comes
with Jeep 4×4 capability,” said Larry Lyons, Vice President —
Front-wheel Drive Product Team. “Compass is a breakthrough all-new Jeep
vehicle that provides the utility and functionality of an SUV with the
performance, handling, fuel economy and price of a small car or small
pickup.”

Jeep Compass’ available, active, full-time 4×4 system
(Freedom Drive I) is recommended for daily use, including driving in
snow and rain. The four-wheel-drive “Lock” mode is recommended for deep
snow, deep sand and other low-traction surfaces.

Jeep Compass