DaimlerChrysler and the United Auto Workers Reach Agreement On Voluntary Incentive Program for Retirements

    AUBURN HILLS, Mich., Feb. 13 DaimlerChrysler Corporation
and the United Auto Workers (UAW) announced today an agreement on a voluntary
incentive program for hourly retirement-eligible employees as part of the
company's turnaround plan.
    Hourly employees eligible for this program must meet one of the following
criteria:
    *  Age 60 with at least 10 years of pension credited service;
    *  Attained 30 or more years pension credited service;
    *  Attained age 55, but not 60, and whose combined years of age and
pension credited service total 85 points or more.

    The pre-tax total value of the incentive to each eligible employee will be
$35,000, half to be used toward the purchase of a selected Chrysler Group
vehicle and, the other half, a one-time cash payment.
    "Together with the solid retirement benefits we have negotiated over the
years, these incentives substantially improve the options available to our
retirement-eligible members at DaimlerChrysler.  They fit the UAW's long-
standing goal of creating solid and secure retirements while also keeping good
jobs for lower-seniority workers," said Nate Gooden, the UAW Vice President
who heads the union's DaimlerChrysler Department.
    "We are very pleased to have come to an agreement with the union on this
special voluntary program to adjust our workforce size in the most effective
manner, while minimizing the number of layoffs," said John Franciosi,
DaimlerChrysler Corporation Senior Vice President - Employee Relations.
    The acceptance period for this incentive program for retirees will vary
depending on the timing of the actions at each of the affected locations.