smart Remains a Key Brand

Robert J. Eaton: "The smart passenger car is one of the most innovative cars on the market"

In response to media speculations this week about the future of the smart passanger car and the DaimlerChysler subsidiary Micro Compact Car (MCC), the Board of Management underscored the importance of the smart brand to the company.

Production measures, price adjustments and an ambitious advertising campaign have brought satisfactory results in the form of a significant increase in smart sales. Moreover, the sales target of 80,000 smart cars for 1999 remains constant. The company is concentrating on keeping the smart on the road to success.

The future development and job situation of the smart production location in Hambach, Lorraine, and the engines location in Berlin-Marienfelde, Germany, is not at issue.

At the May General Meeting of the Shareholders, Robert J. Eaton again said "In terms of general comfort, design and production technology the smart passenger car is one of the most innovative cars on the market and we are looking forward to getting the smart on the road to success. Even the logistics and dealer network are new. "The market launch in October of this ambitious project fell short of our expectations, but we are making tremendous efforts to reinvigorate this project."

Chairman Jürgen E. Schrempp added "After the significant increase in incoming orders in recent weeks, our mood is optimistic."