Mercedes shelves new sports car plans

10th January 2005, Comments 0 comments

10 January 2005, STUTTGART - German luxury carmaker Mercedes-Benz is shelving plans to develop a new sports car together with its Formula One partner McLaren. A spokesman for DaimlerChrysler confirmed a report in the latest issue of the weekly Der Spiegel that the new head of Mercedes-Benz, Eckhard Cordes, has put a stop to the new car plans. The decision is a reversal of the aims mapped out by Cordes' predecessor, Juergen Hubbert, who was behind the development of a new sports car, codenamed "P 8", along

10 January 2005

STUTTGART - German luxury carmaker Mercedes-Benz is shelving plans to develop a new sports car together with its Formula One partner McLaren.

A spokesman for DaimlerChrysler confirmed a report in the latest issue of the weekly Der Spiegel that the new head of Mercedes-Benz, Eckhard Cordes, has put a stop to the new car plans.

The decision is a reversal of the aims mapped out by Cordes' predecessor, Juergen Hubbert, who was behind the development of a new sports car, codenamed "P 8", along with McLaren.

Mercedes-Benz holds a 40 percent stake in McLaren and the two sides are partners in Formula One motor racing.

According to the Der Spiegel report, Hubbert had been aiming to develop the new sports car for the general market and also had goals for Mercedes to acquire 100 percent control of McLaren.

But Cordes is opposed to a takeover of McLaren and has carried out a costs and earnings analysis of the proposed P 8 sports car, which was envisioned to reach 10,000 sales annually.

Der Spiegel said Cordes is resisting pressure at the company for Mercedes-Benz to have a model for every niche of the car market.

However, Cordes is in favour of expansion where he believes it is profitable, the magazine said. For example, DaimlerChrysler has spent hundreds of millions of euros on acquiring the remaining 49 percent of car customizing company AMG.

DPA

Subject: German news

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