Mercedes 2006 Annual Report Download - page 10
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For DaimlerChrysler, the year 2006 was characterized by two opposing trends.
In the North American market, the Chrysler Group posted a significant loss due
to a dramatic shift in market demand. In contrast, we posted strong earnings
at the Mercedes Car Group, the Truck Group and Financial Services.
Although the Group’searnings surpassed last year’s results, they came in below
our original targetdue to the downturn at the Chrysler Group. As a result, we did
not completely earn our cost of capital last year. That’s an unsatisfactory perfo
r-
mance, given that our goal is toearnconsiderablymorethan our cost of capital
over the long term.
6
Chairman’s Letter