DCX does U-turn on Smart sale

DaimlerChrysler has decided that it will retain its loss-making Smart unit despite strong interest in the brand from financial investors.

According to reports, the group has said the small-car brand is no longer on the market and that investment bank Goldman Sachs was only hired to screen potential interest in the brand. Smart has not made a profit since its debut in October 1998 with the two-seat model that remains its best seller. But it has slashed staff, costs and its planned model line-up in a drive to end the losses by 2007,

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