DaimlerChrysler May Adjust Revenue, Profit Forecasts

Troubled auto maker DaimlerChrysler reportedly will drastically scale back its sales and profit forecasts for 2001 when it announces earnings today. DaimlerChrysler anticipates revenue to fall 13.7% to $128 billion from roughly $160 billion in 2000, the German newspaper Die Welt reported early today. Likewise, operating profit from the Stuttgart, Germany-based company’s main automotive works is expected to tumble by as much as 85%, skating along between $1.2 billion and $1.7 billion in 2001. DaimlerChrysler spokesman Thomas Froehlich wouldn’t comment on the report. At a meeting today, DaimlerChrysler executives are also scheduled to announce an extraordinary restructuring charge of as much as $3 billion and present a turnaround plan for its ailing Chrysler division, which is expected to report a $1.2-billion loss for the fourth quarter. Executives will also announce a restructuring plan, which is likely to include the eventual sale of non-core assets such as DaimlerChrysler Aviation, the Dayton Thermal plant, the Dearborn glass factory and other components facilities.