Mercedes to take over Smart distribution from Penske Plans for 4-door scrapped

[DainBramaged]

Mercedes-Benz has agreed to take over Smart car distribution in the United States from Penske Automotive Group, the companies announced today.

Penske launched the European microcar brand, which is owned by Mercedes' parent, Daimler AG, as an independent distributor in 2008. But after a fast start, U.S. sales of the tiny, French-built ForTwo have plummeted.

Distribution rights and management will shift to Mercedes-Benz USA. Negotiations over details, including when the hand-over takes effect, should be completed by July, said Mercedes-Benz USA CEO Ernst Lieb.

The 21 Smart dealerships that do not have Mercedes products will lose the franchise, leaving Smart with 58 U.S. dealers. Four of the 21 dealerships that will lose the Smart franchise belong to publicly traded Penske Automotive.

In addition, a four-door car being developed by Nissan for Smart USA has been canceled.



Read more: http://www.autonews.com/apps/pbcs.dll/article?AID=/20110214/RETAIL01/110219937/1287#ixzz1DyK3arbu

Meh....

[we can do it]

1. The Smart Car Doesn't Seem That Smart, My Mazda3 Got Better Milage

was bigger and safer

[Lance_Boyle]

2. lots of compacts get better mileage

not sure why the SMART was ever brought to US market.

[catabryna]

3. Because they are cute?

I don't know. They seem very impractical to me.

[we can do it]

4. Me Too. I Am Pretty Small and They Are Too Tiny. I'd Rather Ride a Bike

[n2doc]

5. Too expensive, too poor MPG for the size

They are a novelty vehicle, good as a city car (for parking) and as towed behind motorhomes. Not much else.