BERLIN — Even though Daimler Financial Services recorded a 7-percent drop in vehicle sales to 58.7 million euros through the third quarter of 2009, the company announced today it expects to post positive results in the final quarter of the year based on its leasing and financing market share increases, potential growth market advances and insurance business.

Executives noted that the captive was boosted by a more than 40-percent gain in its financed and leased vehicles during the downturn, which could pay off in the long run.

"We've achieved the turnaround, and we expect to once again make a contribution to the group's earnings even though we had the toughest year in our company's history," said Jurgen Walker, chairman of Daimler Financial Services AG during a press conference at the company's headquarters in Berlin.

Officials stated that successful refinancing also helped the company strengthen its market position against competitors during the current industry challenges, including a more than twofold increase of deposit banking at Mercedes-Benz Bank in Germany since the beginning of the year, to greater than 12 billion euros.

"We had sufficient liquidity to maintain a strong market presence throughout the whole year and provide our customers with affordable loans," Walker explained.

The Mercedes-Benz money not only funded the financial-services business in the key sales market of Germany, but also helped fund the dealer-financing business in the United Kingdom and Spain through the branches in those countries, according to the company.

In the insurance business, Daimler Financial is forming strategic alliances with large insurance companies in order to offer its customers a high level of quality and service, officials pointed out.

"By performing accident repairs at our own workshops, we are ensuring that our customers get the promised quality and also generating additional earnings for our services business through the use of genuine spare parts, for example," Walker remarked.

Additionally, the company's products that combine vehicle insurance with leasing or financing at an attractive monthly rate are designed to enable further increases in the volume of its insurance business to nearly 40 markets worldwide, even in a time of crisis.

Moreover, the company is promoting the purchase of passenger cars and commercial vehicles featuring advanced safety technologies by offering discounted insurance premiums for such products, executives highlighted.