Corporate credit rating: A/Negative/A-1 Standard&Poor's said today that DaimlerChrysler AG's announcement of the next steps in the Chrysler group's turnaround plan will have no immediate impact on the current ratings or outlook. The turnaround plan includes the reduction of the workforce by 26,000 (20%) over the next three years. Management plans to reach a large part of this goal through retirement programs, within the framework of existing union contracts. Furthermore, six manufacturing plants are to be idled through 2002. Standard&Poor's believes that it would be premature to change the current ratings or outlook on DaimlerChrysler AG following these announcements. Costs related to these announced actions have yet to be disclosed, nor have other elements of the
