July 7, 2005

• Mercedes-Benz posts best June sales in its history with Record sales in the U.S. and Asia/Pacific; sales increase in Germany
• Excellent market launch for the B and M-Class in Western Europe
• smart sales up 19 percent in the first six months of the year

Stuttgart - Sales of Mercedes Car Group passenger cars rose in June 2005 by five percent to 111,000 units (June 2004: 105,700). A total of 573,900 vehicles were handed over to customers in the first six months of the year as a whole (January through June 2004: 584,800).

Worldwide deliveries of Mercedes-Benz passenger cars increased six percent in June to 97,500 units (June 2004: 92,000), giving the brand the best June sales figure in its history. The upward sales trend expected for the second half of the year in Germany , the brand's largest sales market, is now taking shape: A total of 28,800 Mercedes-Benz passenger cars were delivered to German customers last month, an increase of three percent from June 2004. Based on the successful launch of the new M-Class and excellent sales results for the E-Class, Mercedes-Benz posted its best June sales ever in the U.S. (18,200 units). A monthly record was also set in the Asia/Pacific region, with sales increasing 28 percent to 10,300 units. A total of 499,900 customers worldwide opted to purchase a Mercedes during the first six months of 2005. The decrease of approximately four percent was largely due to the model changeover for the M and S-Class.

Mercedes-Benz expects sales to increase further in the coming months as a result of the successful market launches of its new models and installation of the new generation of V6 and V8 engines in the new models and the C, CLK, CLS and E-Class.

More than 40,000 orders for the new B-Class

The new B-Class, which arrived at dealerships at the beginning of June, has gotten off to an excellent start, with a total of 6,300 vehicles delivered to customers in Europe during the new model's first month on the market. Currently there are some 40,000 orders for the new compact sports tourer. The new M-Class followed its successful market launch in the U.S. with an equally successful premiere in Europe on July 2.

Approximately 100,000 A-Class vehicles were delivered to customers in the first six months of this year. As a result, the model clearly outperformed its competitors in the premium compact segment. The CLS-Class also performed well during the first six months of the year, posting customer deliveries of 23,000 vehicles worldwide. Both the SLK and the SL continue to dominate the roadster segment: Sales of 34,300 SLK vehicles from January through June and 9,400 units of the SL make each model the global market leader in its segment.

The S-Class retains its leading global market position in the luxury segment, despite pressure from much younger competitors. With just a few weeks to go until the world premiere of the new S-Class, the flagship model of the Mercedes-Benz brand remains the dominant luxury sedan worldwide, with sales of 20,400 units during the first six months of the year and a current global market share of approximately 30 percent.

Significant growth of smart forfour

Smart continued its positive sales development in the first half of 2005, increasing deliveries to customers worldwide by 19 percent to 74,000 units. A total of 13,500 smart models were delivered to customers in June, with the smart forfour posting a 30 percent increase in deliveries to 5,600 units.

smart's cult status is very much apparent in Italy , where compact vehicles traditionally do well. A total of 23,100 smart vehicles were sold through June in Italy or approximately 50 percent more than in the first half of 2004. Rome especially has developed into a major "smart city" since the brand was launched in Italy in 1998: There are currently some 50,000 smart cars on the streets of the Italian capital.

In June, smart did particularly well in Asia , where the brand recorded double-digit sales growth in its four Asian markets: Japan , Taiwan , Hong Kong and Malaysia .

Overview of Mercedes Car Group Sales

* Mercedes-Benz passenger cars