Mercedes 2006 Annual Report Download - page 112

96
Van, Bus, Other
Sales of vans down slightly due to Sprinter model changeover | DaimlerChrysler Buses confirms
market leadership | EADS: record aircraft deliveries and delays with the A380 | Operating profit of
€913 million (2005: €1,091 million)
96
The Van, Bus, Other segment comprises the Vans and Buses units,
our holding in the European Aeronautic Defence and Space
Company(EADS), the Corporate Research department, our real-
estate activities and the holding and finance companies. Within
the framework of our new management model, we decided that
our vans and buses activities, which until 2005 were part of the
Commercial Vehicles division, would be directly managed as sep-
arate units. In the context of the new management model, we
merged the Corporate Research department and the development
departments of the Mercedes Car Group; as a result, they are
directly allocated to the Mercedes Car Group as of 2007.
Revenues for the Van, Bus, Other segment decreased by 9% to
€13.4 billion, reflecting the disposal of our off-highway business.
The segment’s operating profit declined from €1,091 million in
2005 to €913 million in the year under review (see page 45). The
earnings figure includes the expenditure of €393 million related
to implementation of the new management model. The earnings
for EADS, as determined by the proportion of our interest in that
company, are entered into DaimlerChrysler’s operating profit with
a delay of one quarter.
Vans
Market share remains stable despite Sprinter model
changeover. Unit sales at the Vans unit totaled 256,900 vehicles
worldwide in the year under review (2005: 267,200). This slight
decrease in sales was due to the Sprinter model changeover and
associated production bottlenecks at the Düsseldorf plant. The
newSprinter is now also being produced at the Ludwigsfelde plant.
Atotal of 157,200 Sprinter vans were sold worldwide in 2006.
With sales of 59,400 units by the end of the year, the new Sprinter
is clearly continuing the success story of its predecessor. Despite
the Sprinter model changeover,the Vans unit was able to maintain
its 16% market share in the segment for medium and large vans
in WesternEurope, whereit remained the market leader. Unit sales
of Vitoand Viano vans developed positively in 2006, totaling
94,100 vehicles (2005: 90,900). The introduction of economical
and clean diesel engines throughout the year, as well as an
expanded rangeof optional equipment, contributed to this posi-
tive result.
New Sprinter boasts a wide range of variants and high safety
standards. The new Sprinter features an even broader range of
variants than its very successful predecessor. Customers can
choose from six engines, three wheelbase lengths, three roof
heights and up to four overall vehicle lengths. The range of standard
safety equipment has also been expanded. Along with airbags,
wide-angle mirrors and improved crash protection, the new Sprinter
now includes the Electronic Stability Program (ESP).
These innovative product features were the main reasons why
the newspaper “Deutsche Handwerkszeitung” and the magazine
“KEP aktuell/trans aktuell” respectively granted the Sprinter
the “German Commercial Vehicle Prize 2006/2007” and the title
“KEP Van of the Year”.
Expanded market presence in the United States. The
Sprinter has been available in the United States under the Dodge
and Freightliner brands since 2003. In order to accommodate
the increasing demand for the Sprinter in the United States, we
decided to produce the successor model at our assembly plant
in Charleston, South Carolina, starting in March 2007.
913
13,439
8,542
4,039
447
494
279,228
305,001
256,895
36,192
39,400
% change
-16
-9
+5
+4
-50
-14
-5
-3
-4
-0
-23
06/05
1,091
14,835
8,135
3,884
886
577
295,353
315,567
267,245
36,221
51,093
Amounts in millions of €
2005
2006
Operating profit
Revenues
thereof: Vans
Buses
Investments in property,
plant and equipment
Research and development
expenditure
Production1
Unit sales1
thereof: Vans
Buses
Employees (Dec. 31)
1Including the Mitsubishi Pickup L200 and the Mitsubishi Pajero produced in South Africa