Daimler Third-Quarter Cash Flow Better Than Market Expectations

- Earnings also better than anticipated

STUTTGART, Germany, Oct. 19 -- Daimler AG (stock-exchange abbreviation DAI) today presented its preliminary figures for the third quarter of 2009.

Group revenue amounted to euro 19.3 billion, while Group EBIT including adjustments and special items at Freightliner and Fuso amounted to euro 470 million; the industrial business generated a free cash flow of euro 2.3 billion in the first nine months of this year (Q3 2009: euro 2.0 billion).

  The divisions' earnings (EBIT) were as follows:
  --  Mercedes-Benz Cars: euro 355 million
  --  Daimler Trucks: minus euro 127 million
  --  Mercedes-Benz Vans: euro 1 million
  --  Daimler Buses: euro 23 million

  --  Daimler Financial Services: euro 101 million

The industrial business generated a free cash flow of euro 2.3 billion in the first nine months of this year (Q3 2009: euro 2.0 billion). Net liquidity thus increased to approximately euro 6.7 billion at September 30, 2009.

The free cash flow of the industrial business in the third quarter was affected by an increase in liabilities due to the higher production volume after the production break in August, as well as positive management of accounts receivables. There was also an impact from payments within the Group that were received by the industrial business from the financial services business within the context of fiscal unities (euro 0.6 billion).

Daimler anticipates a positive free cash flow in the industrial business in full-year 2009.

These figures surpass analysts' consensus estimates of which the Group is currently aware.

The Daimler Group will publish further details of its quarterly financial statements on October 27, 2009.

Further information on Daimler is available on the internet: www.media.daimler.com.

This document contains forward-looking statements that reflect our current views about future events. The words "anticipate," "assume," "believe," "estimate," "expect," "intend," "may," "plan," "project," "should" and similar expressions are used to identify forward-looking statements. These statements are subject to many risks and uncertainties, including a lack of or a considerable delay in improvement or a further deterioration of global economic conditions; a continuation or worsening of the tense situation in the credit and financial markets, which could result in ongoing high borrowing costs or limit our funding flexibility; changes in currency exchange rates and interest rates; the introduction of competing, fuel-efficient products and the possible lack of acceptance of our products or services, which may limit our ability to adequately utilize our production capacities or raise prices; price increases in fuel, raw materials and precious metals; disruption of production due to shortages of materials, labor strikes, or supplier insolvencies; a further decline in resale prices of used vehicles; the effective implementation of cost-reduction and efficiency-optimization programs at all of our segments, including the repositioning of our truck activities in the NAFTA region and in Asia; the business outlook of companies in which we hold an equity interest, most notably EADS; changes in laws, regulations and government policies, particularly those relating to vehicle emissions, fuel economy and safety; the resolution of pending governmental investigations and the outcome of pending or threatened future legal proceedings; and other risks and uncertainties, some of which we describe under the heading "Risk Report" in Daimler's most recent Annual Report and under the headings "Risk Factors" and "Legal Proceedings" in Daimler's most recent Annual Report on Form 20-F filed with the Securities and Exchange Commission. If any of these risks and uncertainties materialize, or if the assumptions underlying any of our forward-looking statements prove incorrect, then our actual results may be materially different from those we express or imply by such statements. We do not intend or assume any obligation to update these forward-looking statements. Any forward-looking statement speaks only as of the date on which it is made.

About Daimler

Daimler AG, Stuttgart, with its businesses Mercedes-Benz Cars, Daimler Trucks, Daimler Financial Services, Mercedes-Benz Vans and Daimler Buses, is a globally leading producer of premium passenger cars and the global market leader of heavy- and medium-duty trucks as well as buses. The Daimler Financial Services division has a broad offering of financial services, including vehicle financing, leasing, insurance and fleet management. Daimler sells its products in nearly all the countries of the world and has production facilities on five continents. The company's founders, Gottlieb Daimler and Carl Benz, continued to make automotive history following their invention of the automobile in 1886. As an automotive pioneer, Daimler and its employees willingly accept an obligation to act responsibly towards society and the environment and to shape the future of safe and sustainable mobility with groundbreaking technologies and high-quality products. The current brand portfolio includes the world's most valuable automobile brand, Mercedes-Benz, as well as smart, AMG, Maybach, Freightliner, Western Star, Mitsubishi Fuso, Setra, Orion and Thomas Built Buses. The company is listed on the stock exchanges in Frankfurt, New York and Stuttgart (stock exchange abbreviation DAI). In 2008, the Group sold 2.1 million vehicles and employed a workforce of over 270,000 people; revenue totaled euro 95.9 billion and EBIT amounted to euro 2.7 billion. Daimler is an automotive Group with a commitment to excellence, and aims to achieve sustainable growth and industry-leading profitability.