The make or break for Mercedes will be the face-lift of the E-class.

This increases the likelihood that Zetsche will make major changes. He needs to break up all these networks that were built up over the 10 years of Schrempp. It's going to be a painful process.

After all these years of suffering, why spin it off?

Adjusted for positive effects from the treatment of pension obligations, BMW's fourth-quarter automotive margin of 6.6 percent was slightly better than expected.

There's hardly any business rationale for this deal. It really dilutes the image of Porsche, and raises questions about whether the management has control over the capital of the company.

The fact that they didn't raise their dividend any further -- we expected 0.70 euros per share -- was a disappointment when viewed against the 11 percent increase in net profit. We would hold the stock.

The fact that they didn't raise their dividend any further - we expected 0.70 euro ($A1.14) per share - was a disappointment when viewed against the 11 percent increase in net profit. We would hold the stock.

The outlook that the first half-margin should be similar to the second half last year clearly highlights that the market pressures will continue and that Peugeot is less resistant to these pressures, given that their cost savings are flattening out and the new models are delivering less of a positive volume and mix effect than the company was expecting.

The quarterly results are very, very good. Profitability at Chrysler and Commercial Vehicles is convincing. This should take some of the fear out of the market. I think earnings estimates will now have to be raised.

I welcome the step. It gives management credibility. What we would look for now is whether this outlook is just part of a series of revisions that might come later or whether today's guidance is valid for the rest of 2002.