Daimler to seek 6 bln euros in cost savings at Mercedes - Manager Magazin
* Daimler's CEO designate to seek cost savings - Manager
* Mercedes to seek 6 bln euros' in cuts - Manager Magazin
* Daimler Trucks to seek 2 bln euros in cuts - Manager
* Daimler declines comment
(Adds line about job cuts)
FRANKFURT, April 18 (Reuters) - Daimler is
looking to make 6 billion euros ($6.75 billion) in cost savings
and efficiency gains by 2021 at Mercedes-Benz passenger cars and
a further 2 billion euros at its Daimler Trucks division,
Manager Magazin said on Thursday.
Around 10,000 jobs will be cut at Daimler, the
business-focused magazine said, without citing sources.
Daimler declined to comment on the cost savings figure and
on Manager Magazin's report but has previously ruled out forced
redundancies until the end of 2020.
The magazine said the savings are being sought by Daimler's
Ola Kaellenius, who will become Chief Executive in May.
Daimler said in February it would pursue cost saving
measures after fourth-quarter operating profit plunged 22
percent, hit by trade wars, rising costs for developing electric
cars and an industry downturn.
Manager Magazin said around 30,000 Mercedes-Benz cars with
faulty vehicle electronics were produced at its plant in
Tuscaloosa, Alabama, requiring expensive reworking which was
causing production delays.
Those delays had led to a revenue shortfall of around 2
billion euros and could depress first quarter earnings by up to
half a billion euros, the report said.
Daimler is due to release first quarter earnings on April
Manager Magazin also said Daimler plans to become a carbon
neutral company by 2040, ensuring that all new cars, production
methods and suppliers work in ways which do not produce carbon
Separately, Kaellenius will not renew common projects with
French carmaker Renault and Nissan, letting
an alliance between the carmakers lapse, the magazine said.
($1 = 0.8883 euros)
(Reporting by Edward Taylor
Editing by Michelle Martin and Kirsten Donovan)
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