Mercedes 2009 Annual Report Download - page 121

Management Report |Outlook |117
Research and development
With our research and development activities, our goal is to fur-
ther improve Daimler’s competitive position against the backdrop
of upcoming technological challenges. We want to create com-
petitive advantages in particular by means of innovative solutions
for low emissions and safe mobility.
In the years of 2010 and 2011, Daimler plans to spend a total of
€9.7 billion on its research and development activities. €6.1 billion
of that total will be spent at the Mercedes-Benz Cars division.
The main projects are the successor models for the A- and B-Class,
the M-Class and the smart, as well as new engines and alter-
native drive systems. Research and development expenditure at
Daimler Trucks will also remain at a high level. The focus will be
on the development and adaptation of new engine generations in
order to fulfill increasingly strict emission regulations, as well
as on the successor generations of existing products. The further
development of engines for future emission standards is an
important area of research and development at Mercedes-Benz
Vans. At Daimler Buses, an important role is played by develop-
ments for successor generations to today’s products, adjusting to
future emission standards, and new alternative drive systems.
In addition to the aforementioned projects, Daimler has set aside
substantial amounts in its research budget for new technologies
with which we intend to achieve a sustained improvement in the
safety, environmental compatibility and economy of road traffic.
Workforce
On the basis of the anticipated business development, our pro-
duction volumes will increase in the years 2010 and 2011 but will
remain below the levels of 2007 and 2008. Also taking the tar-
geted productivity advances into account, Daimler assumes that
the total number of persons employed by the Group will tend to
decrease.
Forward-looking statements:
This annual report contains forward-looking statements that reflect our current
views about future events. The words “anticipate,” “assume,” “believe,” “esti-
mate,” “expect,” “intend,” “may,” “plan,” “project,” “should” and similar expres-
sions are used to identify forward-looking statements. These statements are
subject to many risks and uncertainties, including a lack of further improvement
or a renewed deterioration of global economic conditions, in particular a renewed
decline of consumer demand and investment activity in Western Europe or the
United States, or a downturn in major Asian economies; a continuation or wors-
ening of the tense situation in the credit and financial markets, which could
result in a renewed increase in borrowing costs or limit our funding flexibility;
changes in currency exchange rates or interest rates; the ability to continue
to offer fuel-efficient and environmentally friendly products; a permanent shift in
consumer preference towards smaller, lower margin vehicles; the introduction
of competing, fuel-efficient products and the possible lack of acceptance of our
products or services, which may limit our ability to adequately utilize our pro-
duction capacities or raise prices; price increases in fuel, raw materials and pre-
cious metals; disruption of production due to shortages of materials, labor
strikes, or supplier insolvencies; a further decline in resale prices of used vehicles;
the effective implementation of cost-reduction and efficiency-optimization pro-
grams at all of our segments, including the repositioning of our truck activities in
the NAFTA region and in Asia; the business outlook of companies in which we
hold an equity interest, most notably EADS; changes in laws, regulations and gov-
ernment policies, particularly those relating to vehicle emissions, fuel economy
and safety; the resolution of pending governmental investigations and the out-
come of pending or threatened future legal proceedings; and other risks and
uncertainties, some of which we describe under the heading “Risk Report” in this
Annual Report and under the headings “Risk Factors” and “Legal Proceedings”
in the Annual Report on Form 20-F filed with the Securities and Exchange Com-
mission. If any of these risks and uncertainties materialize, or if the assump-
tions underlying any of our forward-looking statements prove incorrect, then our
actual results may be materially different from those we express or imply
by such statements. We do not intend or assume any obligation to update these
forward-looking statements. Any forward-looking statement speaks only as
of the date on which it is made.
Mercedes-Benz Cars 64%
Daimler Trucks 27%
Mercedes-Benz Vans 5%
Research and development expenditure 2010–2011
in %
Daimler Buses 4%
in billions of €
Research and development expenditure
9.7
6.1
2.6
0.5
0.4
4.2
2.7
1.1
0.2
0.2
2010-2011
Daimler Group
Mercedes-Benz Cars
Daimler Trucks
Mercedes-Benz Vans
Daimler Buses
2009
2008
4.4
3.0
1.1
0.2
0.2