Daimler is today in an excellent position to capitalize on the growth potential of the Indian passenger and commercial vehicle markets and continues to intensify its own activities there. An equity participation of Daimler in Tata is therefore no longer necessary. This has been done in full consultation with Tata. Relations between the two companies are excellent and will not be adversely affected by this sale.

A key contributor to the February performance was the sporty C-Class - leading the pack with sales of 4,245, up 6.4% over February 2009. The new 9th generation E-Class continued its strong momentum with sales of 4,043 - up 92.2% over February 2009. MBUSA’s versatile, compact SUV – the GLK – followed in volume with sales of 2,126, up 10.8% compared to February 2009.
On a year-to-date basis, the company sold 30,543 new vehicles, up 24% when compared to the same time last year.

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Separately, through the Mercedes-Benz Certified Pre-Owned (MBCPO) program, MBUSA sold 6,153 vehicles in February; a 6.2% month-to-date increase, when compared to February 2009 (sales of 5,795 vehicles). On a year-to-date basis, MBCPO sold 12,382 vehicles, a decrease of 1.3% over the comparable period (with sales of 12,548).

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With the massive investment in the production facility in São Bernardo do Campo, the Brazilian Mercedes-Benz plant is gearing up to meet the growing demand for commercial vehicles in Brazil.

Over the last few months, Mercedes-Benz do Brasil has hired around 1,400 new employees to ensure that it is also prepared from a personnel standpoint to meet the growing demands of the commercial vehicle market. “Brazil is a market with tremendous growth opportunities. We intend to fully exploit this potential,which is why the expansion of our production capacity is the right step at the right time. We are especially pleased with the new job positions that have been created in the country,” says Hubertus Troska, Head of Mercedes-Benz Europe and Latin America at Daimler Trucks.

Mercedes-Benz do Brasil, an established name in Brazil since 1956 and the largest Mercedes-Benz truck plant outside of Germany, is turning to BNDES for the funding so it can make the new investments within a narrow time frame. The Brazilian Development Bank (BNDES) is a federal public company closely linked to the Brazilian Ministry of Development, Industry, and Foreign Trade. Its goal is to provide long-term financing for projects aimed at enhancing Brazil’s development and therefore improving the competitiveness of the Brazilian economy and the standard of living of the Brazilian population.

Jürgen Ziegler, President of Mercedes-Benz do Brasil, also sees the investment as being directly related to the economic upswing and the good prospects in Brazil. “We will invest the funds in our production activities in São Bernardo do Campo, but we will be doing more than just expanding a certain production capacity. Another goal is to modernize our production, logistics, and service units,” stresses Ziegler.

Funds will go toward the development of new components and technologies at the Mercedes-Benz Technology Center, which is the largest and most advanced research and development center for trucks and buses in Brazil and is based in São Bernardo do Campo.

By so doing, the company hopes to further expand and improve its future product range. One of the aims is to ensure compliance with the Euro 5 environmental standard, which in Brazil is called “Conama P7.”

Some of the money will also be spent on addressing social concerns. For example, the Employee Development and Training Center at the site will be expanded so that more skilled staff can be trained to an even higher level of technical proficiency in the future

The Group’s net loss was significant at €2,644 million / $3.6 million (2008: plus €1,414 million or $1.92 million). Earnings per share amounted to minus €2.63 or $3.58.

Due to the net loss, the Board of Management recommends to the Supervisory Board that no dividend should be distributed for 2009. This decision is solely a reflection of the course of business in 2009 and is not related to the Group’s expected business development this year.

Demand has been growing in Brazil since the middle of last year, and the marketing is recovering. This is also leading to an upswing in the truck and bus business, and many vehicle fleets are currently being replaced. In response to the recovery of the Brazilian commercial vehicle market, Mercedes-Benz do Brasil has been investing for the past several months in increasing its capacity so that it will be prepared to meet the rising demand. Because of this positive development, Mercedes-Benz do Brasil hired 1,200 new employees last year. Mercedes-Benz do Brasil is the largest manufacturer of Mercedes-Benz trucks over six tons GVW outside Germany. Since 1956, when it began its activities in Sao Bernardo do Campo, the company has produced more than 1.2 million trucks and around 540,000 buses.

Daimler AG will initially increase its holding in KAMAZ by one percent to 11%. The remaining four percent of the deal would be bought by the EBRD (European Bank for Reconstruction & Development). As a result of this transaction, the EBRD would obtain representation on the KAMAZ Board of Directors. Daimler AG has a seat on the KAMAZ Board of Directors since 2009. The parties to the contract have agreed not to disclose the price at which the 5% stake will be purchased from Troika Dialog.

In the U.S., Mercedes-Benz was the fastest-growing premium brand in January and significantly increased its market share. With a market share of 2.1 percent, Mercedes-Benz is the market leader among German premium brands. Its passenger car sales increased by 40 percent to 14,700 units (2009: 10,500 units). Meanwhile, Mercedes-Benz also posted a sales record in Canada in January, delivering 1,600 passenger vehicles to customers (January 2009: 1,200) for an increase of 34 percent.

In the sedan category, the popularity of the C-Class – the gateway to the Mercedes-Benz brand for younger and first-time Mercedes-Benz buyers – maintained its lead as the volume leader with sales of 4,028, up 32.8% over January 2009. The all-new, 9th generation E-Class continued to shine with sales of 3,824, up an astounding 116.3% over January 2009.