DaimlerChrysler Will Revamp Smart Unit

DaimlerChrysler AG (DCX Quote) says it’s getting smart about its small-car brand.

The automaking giant announced Saturday it will cancel production of its weak-selling Smart forfour model and will focus on the fortwo, a tiny two-seater that’s become a fixture of European cities. DaimlerChrysler also said it would complete the integration of the Smart brand into the Mercedes organization

Cancellation of the four-seater depends on negotiations with partner Mitsubishi Motors Corp., which produces the vehicle in Born, the Netherlands.

Overall, DaimlerChrysler said the latest moves would likely lead to 300 job cuts at Smart’s Boblingen, Germany headquarters and cost about 1 billion euros, or $1.2 billion. ...