UPDATE 2-Daimler to seek 6 bln euros in cost savings at Mercedes - Manager Magazin

By Kitco News / April 18, 2019 / www.kitco.com / Article Link


* Daimler's CEO designate to seek cost savings - ManagerMagazin
* Mercedes to seek 6 bln euros' in cuts - Manager Magazin
* Daimler Trucks to seek 2 bln euros in cuts - ManagerMagazin
* Daimler declines comment (Adds line about job cuts)FRANKFURT, April 18 (Reuters) - Daimler islooking to make 6 billion euros ($6.75 billion) in cost savingsand efficiency gains by 2021 at Mercedes-Benz passenger cars anda further 2 billion euros at its Daimler Trucks division,Manager Magazin said on Thursday.Around 10,000 jobs will be cut at Daimler, thebusiness-focused magazine said, without citing sources.


Daimler declined to comment on the cost savings figure andon Manager Magazin's report but has previously ruled out forcedredundancies until the end of 2020.The magazine said the savings are being sought by Daimler'sOla Kaellenius, who will become Chief Executive in May.Daimler said in February it would pursue cost savingmeasures after fourth-quarter operating profit plunged 22percent, hit by trade wars, rising costs for developing electriccars and an industry downturn. Manager Magazin said around 30,000 Mercedes-Benz cars withfaulty vehicle electronics were produced at its plant inTuscaloosa, Alabama, requiring expensive reworking which wascausing production delays.Those delays had led to a revenue shortfall of around 2billion euros and could depress first quarter earnings by up tohalf a billion euros, the report said.


Daimler is due to release first quarter earnings on April26.


Manager Magazin also said Daimler plans to become a carbonneutral company by 2040, ensuring that all new cars, productionmethods and suppliers work in ways which do not produce carbondioxide emissions.Separately, Kaellenius will not renew common projects withFrench carmaker Renault and Nissan , lettingan alliance between the carmakers lapse, the magazine said.
($1 = 0.8883 euros) (Reporting by Edward TaylorEditing by Michelle Martin and Kirsten Donovan)

Disclaimer: The views expressed in this article are those of the author and may not reflect those of Kitco Metals Inc. The author has made every effort to ensure accuracy of information provided; however, neither Kitco Metals Inc. nor the author can guarantee such accuracy. This article is strictly for informational purposes only. It is not a solicitation to make any exchange in commodities, securities or other financial instruments. Kitco Metals Inc. and the author of this article do not accept culpability for losses and/ or damages arising from the use of this publication.

Recent News

Major investment banks make major gold price upgrades

April 15, 2024 / www.canadianminingreport.com

Gold stocks near flat as equities dip

April 15, 2024 / www.canadianminingreport.com

Revenue estimates for gold stocks have remained relatively flat

April 08, 2024 / www.canadianminingreport.com

Gold stock valuations remain low even after price surge

April 08, 2024 / www.canadianminingreport.com

Gold stock to global money supply far from bubble territory

April 01, 2024 / www.canadianminingreport.com
See all >
Share to Youtube Share to Facebook Facebook Share to Linkedin Share to Twitter Twitter Share to Tiktok