FRANKFURT -- DaimlerChrysler AG has no plans to cooperate with French automaker PSA Peugeot Citroen on the German-American carmaker's Smart brand of compact cars, a Smart spokesman said on Tuesday, in response to a newspaper report.
"At Smart and in the entire group, there is no paper that would support the theory," the Smart spokesman said, rejecting a report in the Sueddeutschen Zeitung newspaper. "There is definitely nothing to this."
The newspaper reported, citing sources, that Smart and Peugeot were planning to cooperate to manufacture two- and four-seater compact cars. The report added that Smart needed a partner because of its low production volumes.
"(Smart's) cooperation with Mitsubishi Motors would be canceled in the medium term," the newspaper also reported.
The Smart spokesman said there was "no reason to cancel this outstanding cooperation" with Mitsubishi.
DaimlerChrysler said in late October, in a letter to staff seen by Reuters, that it did not plan to shut down or sell its money-losing Smart brand.
Smart has not made any money since it was launched in 1998.