Daimler lowers profit forecast on market deterioration

0 Comments | AFP, July, 2008

FRANKFURT (AFP) — German car maker Daimler cut its full-year profit forecast on Thursday owing to a recent deterioration in auto markets.

The company now expects a full-year operating profit of "more than seven billion euros," compared with a previous outlook slightly above the 2007 figure of 7.7 billion euros (12 billion dollars), a statement said.

Daimler chairman Dieter Zetsche acknowledged during a press conference that it was a "dramatic change," one he said was "mostly related to external factors."

The group had taken into consideration a significant weaking of automobile markets in June, Zetsche said.

"In July we see the continuation of this trend. For example in Spain, the UK, South Africa and Japan, we are performing very poorly," he added....