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Source: Automotive News Email Alert

SCHWAEBISCH GMUEND, Germany (Reuters) -- The No. 2 executive at Daimler's premium brand Mercedes-Benz warned today that a sharp plunge in demand for its luxury cars could lead to job cuts.

Mercedes COO Rainer Schmueckle said the brand was experiencing a "full-blown sales crisis," which would make it cut personnel levels should the weakness continue for a long time.
 

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Source: Automotive News Email Alert

SCHWAEBISCH GMUEND, Germany (Reuters) -- The No. 2 executive at Daimler's premium brand Mercedes-Benz warned today that a sharp plunge in demand for its luxury cars could lead to job cuts.

Mercedes COO Rainer Schmueckle said the brand was experiencing a "full-blown sales crisis," which would make it cut personnel levels should the weakness continue for a long time.
Highly significant.

Maybe this is part of the story concerning GM - Chrysler.

Quite frankly, a whole bunch of stuff is being allowed to fall down - I guess who ever wanted to steal whatever in round one is done and is now set up for round two.
 

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i still think GM should merge with BMW or Mercedes.. more of a world presence
..er what would BMW or Mercedes get out of it? Both of who are wealthy companies regardless of current short term issues.

A fancy a BMW Mercedes merger to happen becuase they could both share so many parts. That said I think both brands really missed a trick when Ford sold JLR as frankly JLR would have slotted in perfectly to either company in the long term.

If BMW want to build their way out of this problem they still have the Triumph brand laying dormant.... got to be worth a punt.
 

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lots of MB buyers in the past few years got big stinkin home equity loans to foot the purchases. Then they couldn't afford their mortgages when the interest rate when up, and now they want a big old taxpayer handout to subsidize some of their mortgage payments, while the Benz stays in the driveway. what a joke. mccain lost my vote last week when he talked about bailing them out.

make no mistake, the same folks not diligent enough to assure long-term home affordability are the same ilk that went right out and bought luxury-branded cars. And most were Lexus, the "new money" brand, which is why those sales are tanking even faster than Mercedes and BMW.

Like home sales, Mercedes et al enjoyed the sales boom years, and now are paying the price for the excess.
 

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People are reducing their spending, so duh.

Mercedes will be fine. They just need to reduce their capacity to meet demand. They could survive off the S-Class alone.
 

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Now Kerkorian can try and buy it up. Or how about the Jackal? He's awefuly quiet. I know, GM can buy Chrysler and GMCX can but MB!
"Captain Kirk" Kerkorian was involved recently at Ford by buying some small stake, I don't know what activity he did lately.

As for "The Jackal" or "The cost-cutter" if we talk of the same man (Carlos Ghosn), he's very too quiet, looks like almost the calm before the storm, perhaps he seems to prepare a big move. Could be the move then Peter DeLorenzo mentionned on his latest rant in Autoextremist?
 

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lots of MB buyers in the past few years got big stinkin home equity loans to foot the purchases. Then they couldn't afford their mortgages when the interest rate when up, and now they want a big old taxpayer handout to subsidize some of their mortgage payments, while the Benz stays in the driveway. what a joke.
make no mistake, the same folks not diligent enough to assure long-term home affordability are the same ilk that went right out and bought luxury-branded cars. And most were Lexus, the "new money" brand, which is why those sales are tanking even faster than Mercedes and BMW.

Like home sales, Mercedes et al enjoyed the sales boom years, and now are paying the price for the excess.
Agreed. It was all funny money.:yup:
 

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People are reducing their spending, so duh.

Mercedes will be fine. They just need to reduce their capacity to meet demand. They could survive off the S-Class alone.
I don't know what you're saying is correct, by as the economy goes, so does the luxuries in life, including cars. We'd already seen the bankruptcy of Mervyn's and the closing of Starbuck's stores.
 

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Agreed. It was all funny money.:yup:
- yes , and most but not all of that accompanying 'lifestyle blow up' is here in the USA.

Hardly accurate for MB'S worldwide customer base - although that's more the case for Lexus, Infiniti, Acura, and a big chunk of 3 series people - in the US .

The comments came out out Europe and were not just specifically directed to the US market.
 

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lots of MB buyers in the past few years got big stinkin home equity loans to foot the purchases. Then they couldn't afford their mortgages when the interest rate when up, and now they want a big old taxpayer handout to subsidize some of their mortgage payments, while the Benz stays in the driveway. what a joke. mccain lost my vote last week when he talked about bailing them out.

make no mistake, the same folks not diligent enough to assure long-term home affordability are the same ilk that went right out and bought luxury-branded cars. And most were Lexus, the "new money" brand, which is why those sales are tanking even faster than Mercedes and BMW.

Like home sales, Mercedes et al enjoyed the sales boom years, and now are paying the price for the excess.
At least McCain isn't going to turn the U.S. into a scary Socialist country...The end of the U.S. of the is near if that happens.

Mercedes is hurting, but like Toyota, the mainstream press will not pick up on that...
 

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- yes , and most but not all of that accompanying 'lifestyle blow up' is here in the USA.

Hardly accurate for MB'S worldwide customer base - although that's more the case for Lexus, Infiniti, Acura, and a big chunk of 3 series people - in the US .

The comments came out out Europe and were not just specifically directed to the US market.
A local radio ad says "You too can have a new Mercedes for the price of a Toyota". What it really means is you can't afford the Mercedes.
 

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Maybe if ol' Jerkin' Shrimp had stuck to Mercedes' core roots, instead expanding into every friggin' market segment possible, perhaps D-B would be in a less precarious situation.

Sales down in Europe and N/A? Flog more in Asia and Latin America. Those markets are booming...
 
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