Mercedes-Benz USA, LLC and DaimlerChrysler AG Clean Air Act Settlement

(Washington, D.C. - Dec. 21, 2006) Mercedes-Benz will pay $1.2 million in civil penalties to resolve its failure to promptly notify EPA about air pollution control defects on numerous 1998 - 2006 model vehicles. Mercedes must also improve its emissions defect investigation and reporting system to ensure future compliance, at an estimated cost of approximately $1 million per year.

On this page:

• Background
• Violation
• Civil Penalty
• Remediation and Injunctive Relief
• Affected Vehicles

Background: Manufacturers of new motor vehicles must file an emission defect information report (EDIR) with EPA not more than 15 working days after an emission-related defect is found to affect 25 vehicles or engines of the same model year. These defect reporting requirements are a critical part of EPA's program to ensure that vehicles on the road comply with the Clean Air Act's emissions standards.

Violation: Mercedes-Benz USA, LLC and DaimlerChrysler AG (Mercedes) failed to timely file EDIRs relating to eight emission-related defects in numerous 1998 to 2006 model vehicles.

Civil Penalty: $1.2 million

---

Remediation and Injunctive Relief:

• Mercedes is implementing the following voluntary recalls and extended warranties for emission-related defects at issue in this case:
   
• Voluntary recall of about 79,000 Mercedes M-Class models to inspect and replace catalytic converters that are determined to be defective;
   
• Voluntary recall of about 29,000 Mercedes AMG models to update software and replace secondary relay in air pumps;
   
• Extended emissions warranty for catalytic converters in about 20,000 S and CL Class models from 8 years or 80,000 miles to 10 years, unlimited miles.
   
• Estimated Cost of voluntary recalls and extended emissions warranty: $59 million.
   
• Estimated environmental benefit of voluntary recalls:
  • 55 tons NO_x
     
  • 64 tons NMHC
     
  • 446 tons CO
     
• The Agreement also requires Mercedes to implement a Supplemental Emission-Related Monitoring, Investigation and Reporting Protocol, at an estimated cost of $1 million per year.

---

Affected Vehicles:

The following vehicles have been recalled to inspect and replace, if necessary, the catalytic converter:

• 1999-2001 Mercedes Benz ML 320 (VIN range A036519-A260405)
• 1999 -2001 Mercedes Benz ML 430 ( VIN Range A057639-A260575)

The following vehicles have been recalled to update the software and replace the secondary relay in air pumps:

• 2002-2004 Mercedes Benz SLK 32 AMG ( VIN Range 227774-310327)
• 2002-2004 Mercedes Benz C32 AMG ( VIN Range 131482-535283)
• 2003-2006 Mercedes Benz E 55 AMG Sedan ( VIN Range 136286-917813)
• 2005-2006 Mercedes Benz E 55 AMG Wagon ( VIN Range 715663-913573)
• 2003-2006 Mercedes Benz CL 55 AMG ( VIN Range 030004-047689)
• 2003-2006 Mercedes Benz S 55 AMG ( VIN Range 306185-484676)
• 2003-2006 Mercedes Benz SL 55 AMG ( VIN Range 009541-116751)
• 2005 Mercedes Benz G55 AMG ( VIN Range 146910-164172)
• 2005-2006 Mercedes Benz SLR ( VIN Range 000018-001032)
• 2006 Mercedes Benz CLS 55 AMG ( VIN Range 007370-061871)

The following vehicles will have warranties for their catalytic converters extended to 10 years, unlimited mileage:

---

For more information, contact:

Jeffrey A. Kodish
U. S. Environmental Protection Agency
Air Enforcement Division, Western Field Office
12345 W. Alameda Parkway, Suite 214
Denver, Colorado 80228
(303) 236-9511
kodish.jeff@epa.gov