Daimler Trucks and Kamaz Implement Specific Projects as Part of their Strategic Partnership

* Mitsubishi Fuso Truck and Bus Corporation and Kamaz signed a letter of intent in July to establish a joint venture
* Mercedes-Benz Trucks and Kamaz today have signed a letter of intent on creation of another joint venture
* Further specific projects have been decided on as part of the strategic partnership

Stuttgart, Germany, Daimler Trucks and Kamaz are making progress in the implementation of joint projects. The basis of the projects is the strategic partnership that Daimler Trucks established with Kamaz, Russian Technologies, and the investment bank Troika Dialog in December 2008. In connection with this partnership, Daimler acquired a 10 percent stake in Kamaz.

Mitsubishi Fuso Truck and Bus Corporation (MFTBC) and the Russian truck manufacturer Kamaz signed the letter of intent already on July 7, 2009 to establish a joint venture for the importation, production and sale of Mitsubishi Fuso trucks in Russia. The conclusion of negotiations on the joint venture is intended by late October.

Furthermore Mercedes-Benz Trucks and Kamaz today have signed a letter of intent for a planned joint venture on producing Mercedes-Benz trucks in Russia together with Kamaz and to organize sales activities for Mercedes-Benz trucks and buses of the brands Mercedes-Benz and Setra.

“Our involvement and the implementation of the two joint venture projects between Kamaz and MFTBC as well as Kamaz and Mercedes-Benz Trucks are an expression of the consistent implementation of our strategic partnership. They are in line with Daimler Trucks’ growth strategy for the BRIC markets, which we have defined as part of our Global Excellence program,” said Andreas Renschler, Member of the Daimler AG Board of Management responsible for Daimler Trucks. “It has brought us a giant step towards to the expansion of our presence in the Russian market. The know-how of all of the participating companies in the areas of development, production, and sales will flow into the two joint ventures”, Andreas Renschler added.

Conclusion of Mitsubishi Fuso Truck and Bus Corporation (MFTBC) and Kamaz joint venture negotiations is expected by late October
The 50:50 joint venture will be named “FUSO KAMAZ Trucks Rus” and will sell trucks as Fuso brand vehicles in the important Russian market. The trucks will be manufactured at the Kamaz factory in Naberezhnye Chelny, Russia, while the joint venture’s sales departments and management will be based in Kazan, Russia.

In Russia, the joint venture company will initially manufacture and sell models of the light-duty Fuso Canter truck. The trucks assembled in Russia will steadily increase their local content of parts and components.

“This agreement will allow us to combine the strengths of Kamaz and Fuso. Kamaz is the market leader in Russia, and Fuso is one of the leading commercial vehicle manufacturers in Asia. In combination with Fuso’s competitive products, Kamaz’s knowledge of the market and its market strength provide us with a good and promising starting position,” said Dr. Albert Kirchmann, President and CEO of MFTBC.

“I can already announce today that the first Fuso trucks will be produced in Naberezhnye Chelny, Russia, before the year is over”, Dr. Albert Kirchmann added.

Mercedes-Benz Trucks and Kamaz today have signed a letter of intent on the creation of a joint venture
In order to strengthen the market position of Mercedes-Benz trucks in Russia, the future company “Mercedes-Benz Trucks Vostok” will set up the production of Mercedes-Benz trucks in Russia in the near future and will sell Mercedes-Benz trucks and Mercedes-Benz and Setra buses via the joint venture with Kamaz. The Mercedes-Benz service partners and dealers in Russia will then be managed through the joint venture “Mercedes-Benz Trucks Vostok” and will receive a new contract partner. In addition, the sales and service network will be expanded step by step on the basis of selected Kamaz retail network.
“With the planned 50:50 joint venture Mercedes-Benz Trucks Vostok we will achieve an important step to strengthen our market position in Russia,” said Hubertus Troska, head of Mercedes-Benz Trucks. “Kamaz is an ideal partner for us since the company has many years of experience in the Russian truck market and is market leader in the heavy duty truck market. Mercedes-Benz Trucks Vostok is designed to be a long-term partnership in which our areas of expertise complement each other very effectively and in which we can learn a lot from each other”, Hubertus Troska added.

Further specific projects have been decided on as part of the strategic partnership
In addition to planning the two production and sales joint ventures, Daimler Trucks and Kamaz are making progress in the examination of other cooperation projects. This is the case, for example, with the signing of a contract regarding a procurement partnership between Daimler Trucks and Kamaz.
Furthermore, in addition, the two companies have also reached agreement regarding the gradual introduction of Daimler Trucks’ Truck Operating System (TOS) at Kamaz. This management system, which was introduced in all Daimler Trucks plants worldwide as part of the Global Excellence program, aims to create an extraordinarily lean plant organization. The Kamaz employees will be instructed in TOS at the training factory in Mannheim so that they can then integrate the process into the Kamaz production system.
Additional joint projects have already been defined and will be gradually implemented.