Related topics

DaimlerChrysler Profits Said To Rise

September 26, 1999

BERLIN (AP) _ DaimlerChrysler chairman Juergen Schrempp said the company will post improved profits for 1999 despite the departure announced last week of one of the American stars of the trans-Atlantic merger.

``DaimlerChrysler’s results are not produced from one single manager, but rather from an entire management team and its coworkers,″ Schrempp told Germany’s Welt am Sonntag newspaper in an interview published Sunday.

``Earnings in each one of our five operating business units will be above the year-earlier figure,″ Schrempp said. ``We stick to our statement that our profit will outpace sales growth this year.″

The interview comes two days after the announcement of a board shakeup at DaimlerChrysler, including the departure of Thomas Stallkamp, the president of the Chrysler division.

Stallkamp, a 19-year Chrysler veteran, was credited with helping Chrysler shed billions in costs, and was expected to help the German side do the same. His early retirement and other board changes were seen as a move by Schrempp to consolidate his control over the company.

In the interview, Schrempp noted that although only five of the 14 remaining seats on the management board are held by Americans, the two sides are equally represented in the passenger car areas.

``I very much regret that with a reduction one loses very good people,″ he said. ``But the important thing is that we agreed in the board on this structure. We are sure: We now have the most powerful team.″

He noted that the integration team led by Stallkamp will now be disbanded.

``The integration is completed,″ he said. ``We are now one company.″

Update hourly