DaimlerChrysler announced on May 25 that its Board of Management has accepted the resignation of Jim Hebe, president of Freightliner LLC, a business unit of the commercial vehicles division. The board also announced the appointment of Rainer Schmueckle as Hebe’s successor. Schmueckle was most recently senior vice president controlling of DaimlerChrysler AG, and formerly CFO and CEO of Adtranz, the former DaimlerChrysler rail systems business unit. He served as CFO of Freightliner from 1994 to 1997. Roger Nielsen, previously vice president -- Business Segment Specialized Vehicles of Freightliner, is also appointed chief operating officer of Freightliner. Herbert Kaufmann, CFO of DaimlerChrysler Services, will replace Schmuckle. According to news reports, the move comes as a step in DaimlerChrysler’s efforts to stem losses that may reach $500 million this year. North American production of big trucks plunged 24 percent last year to about 255,000, from a record 334,000 in 1999. The decline widened this year due to a mix of higher interest rates and fuel prices, reduced freight shipments, and a glut of used trucks on dealer lots. Freightliner recently reduced output of heavy-duty trucks by 30 percent and eliminated 5,000 jobs, about 20 percent of its workforce. Due to the dramatic collapse and continued weakness in the demand for heavy trucks in the United States, Freightliner has already initiated a profit improvement program, focused on reducing production capacity and cutting costs. This program will continue under the new management.