From its beginnings 36 years ago as an independent racing and tuning firm for Mercedes cars, Mercedes-AMG has grown into a supplier of exclusive high-performance cars with some 600 employees, an extensive model range and customers around the world.

Now an integral part of the Mercedes-Benz family, Mercedes-AMG has become synonymous with factory-developed high-performance vehicles. Far more than a marketing or development division, Mercedes-AMG is a self-contained entity responsible for all aspects of its vehicles, from development and testing to marketing. Production of the vehicles is shared with Mercedes-Benz facilities.

Hans Werner Aufrecht (A) and his partner Erhard Melcher (M) founded AMG in 1967, and Aufrecht’s birthplace of Grossaspach (G) supplied the third letter in the company name. Both had been employees of Mercedes-Benz. They officially described themselves as “engineering, design and testing specialists in the development of racing engines.” The fledgling firm initially based itself in an old mill in Burgstall (near Affalterbach).

First Racing Victory in 1971

In its early years, AMG concentrated on building racing cars based on the Mercedes-Benz 300 SE sedan and competing in European touring car races. The first racing success came in 1971, when a Mercedes 300 SEL 6.3, modified by AMG with a 6.8-litre engine, took a surprise class victory in the 24-hour race at Spa in Belgium, finishing in second place overall. The 1971 success proved to be the springboard for an enviable record on the track that has continued to this day and has formed a cornerstone of the AMG philosophy (see AMG racing history at the end of this section).

International Clientele Fuels Growth

AMG’s success spread well beyond international motorsports. By the 1970s, the company began to offer high-performance tuning and individualization for Mercedes customers in Europe and other markets. The transfer of technology from motorsport into production cars already formed part of the company’s philosophy.

The company built its exclusive reputation by developing impressive technology and first-class quality on the back of its involvement in racing. AMG soon became the premiere Mercedes-Benz tuner in the world. Through the 1970s and 1980s, AMG developed a number of special high-performance models based on production Mercedes sedans and coupes. These vehicles incorporated high-power modified Mercedes engines and race-proven modifications to the chassis and brakes, AMG light-alloy wheels and wider tires, resulting in fully developed, well-rounded packages.

Strong demand for performance Mercedes-Benz vehicles in the late 1970s led to a steady increase in the number of orders received by AMG. The company outgrew its facility in Burgstall and moved to Affalterbach in 1978. In 1985, AMG opened its second factory and hired its 100th employee. AMG was now attracting customers from all over the world. Some of the company’s work included building one-of-a-kind projects for international customers. This experience strengthened AMG’s reputation as builders of top performance Mercedes-Benz in the world of high-performance vehicles.

As an industry pioneer and trendsetter, AMG became committed to achieving and retaining a position as a world leader in terms of technology, design, and sales. Though AMG cars did not become available in the Canadian market until the 1995 C36, word of AMG vehicles had already made its way into the North American performance enthusiast press. Most famous perhaps was the 1987 Mercedes-Benz 300E 5.6 AMG – a.k.a. “The Hammer” – powered by a 360-hp 5.6-litre version of the Mercedes 5.0-litre V8.

The signing of the cooperation agreement with DaimlerChrysler AG (then Daimler-Benz AG) in 1990 marked a turning point for AMG. Under the terms of the agreement, AMG products could be sold at Mercedes-Benz dealers in overseas markets, significantly improving customer acceptance. Further expansion led in 1990 to the opening of a third factory, and an increase in the workforce to 400 employees. In 1993 AMG unveiled the first vehicle jointly-developed and born out of the agreement: the Mercedes-Benz C36 AMG.

AMG Comes to North America

When the C-Class succeeded the 190 series in 1993, Mercedes and AMG teamed up for their first official joint vehicle effort, the C36 AMG. This would also become the first AMG model imported to the North American market (1995), backed by the full Mercedes-Benz warranty and service organization. Initial demand for this 282-horsepower six-cylinder screamer was limited by production to just under 1,000 cars over a three-year period.

The C36 was followed in 1998 by the C43 AMG, the first V8-powered C-Class model. The 306-horsepower 4.3-litre V8 could rocket the C43 from 0-100 km/h in just over 6 seconds. Customers clamoured for more AMG models so Mercedes-Benz and AMG responded with the E55 AMG, a 349-hp powerhouse that blended supercar performance with four-door Mercedes comfort. Fueled by this customer interest, AMG developed an array of top performance Mercedes-Benz models from the growing palette of Mercedes-Benz vehicles. AMG’s brand success culminated during 1998 when DaimlerChrysler acquired a majority ownership in AMG. The product strategy for Canada eventually placed an AMG vehicle in each model class, including SUVs.

The latest generation of AMG models available in Canada include:

• C32 AMG sedan with 349-hp supercharged 3.2-litre V6 and SpeedShift transmission.
• E55 AMG sedan with 469-hp supercharged 5.5-litre V8 and SpeedShift transmission.
• S55 AMG sedan with 493-hp supercharged 5.5-litre V8.
• SLK32 AMG roadster with 349-hp supercharged 3.2-litre V6.
• SL55 AMG coupe/roadster with 493-hp supercharged 5.5-litre V8 and SpeedShift transmission.
• CLK AMG coupe and cabriolet with 362-hp 5.5-litre V8.
• CL55 AMG coupe with 493-hp supercharged 5.5-litre V8.
• G55 AMG SUV with 349-hp 5.5-litre V8.

Canadian customer interest in AMG models has increased steadily with this broad performance offering resulting in 411 AMG sales in 2001. During 2002, the strategy of offering an AMG model as the top performance Mercedes-Benz in every model line was achieved with the introduction of the SL55 AMG – the first SL roadster AMG offered in Canada and the most powerful Mercedes-Benz to date. The source of the SL55 AMG’s power, a new supercharged 5.5-litre Kompressor V8 was also installed in revised versions of the S55 AMG and CL55 AMG launched in late 2002.

With a complete and diverse model offering and the most powerful models in its history, AMG is poised to deliver Mercedes-Benz high performance and driving enjoyment to enthusiasts.

Canadian Sales History for Mercedes-AMG

	1995	1996	1997	1998	1999	2000	2001	2002	*2003
C36 AMG	67	87	51
C43 AMG				36	65	62
E55 AMG				0	147	129	74	11
ML55 AMG					0	243	72	21
CLK 55 AMG						23	37	16
CL55 AMG						2	35	27
S55 AMG						14	76	40
C32 AMG							69	151
SLK32 AMG							31	55
CLK55 Cabriolet							17	70
SL55 AMG								70
G55 AMG								6
Total	67	87	51	36	212	413	411	467	467+

* Year to date: August 2003

Mercedes-AMG Today

On January 1, 1999, H.W. Aufrecht sold a majority shareholding in AMG, and the company was incorporated into DaimlerChrysler AG (DCAG). This move allowed the newly founded Mercedes-AMG to benefit to an even greater extent from DCAG’s resources and global presence. The highly specialized subsidiary has overall responsibility for the engine, transmission, chassis, brakes, aerodynamics, interior, design and sales and marketing of AMG-badged cars.

Growth of the Mercedes-AMG product line has been supported by the opening of new production, development and showroom buildings at its Affalterbach plant. The new engine factory, new showroom and two new development buildings have more than doubled the space of the facility from 199,000 to 426,000 square feet. Employment at Mercedes-AMG currently numbers about 600.

One Man, One Engine

The centrepiece of the expansion is the new engine factory, which produces 100 engines a day for the entire range of Mercedes-AMG vehicles. Work takes place on three floors across a total area of 107,000 square feet. About 60 highly qualified specialists work in the new engine factory. Mercedes-AMG follows a philosophy of “one man, one engine.” This means that a single technician – identified by the signature plate affixed to the engine – is responsible for the complete assembly of an AMG high-performance engine from start to finish.

After a technician assembles an engine, it is individually tested and then moved to a storage facility on the upper level. Flexible manufacturing processes allow the factory to quickly adjust for changes in demand for the various AMG models. A computerized data management system continuously optimizes engine inventory.

In addition to engine manufacturing, the new production facility is home to plant equipment management, quality control, production planning, and ordering and parts logistics departments.

New Showroom

The 8,000 square feet AMG showroom, a striking piece of steel/glass architecture in its own right, offers ample room both for hosting worldwide customs and for displaying eight AMG models.

The large-format vehicle images displayed on the front of the building serve a dual purpose. They act as a clear signpost and business card for the new AMG showroom but also function as sun and heat shields for the people inside.

AMG Racing Success

• 1980: An AMG Mercedes 450 SLC takes first place in the European Touring Car Championship grand prix race at the Nürburgring.
• 1986: An AMG Mercedes 190 E 2.3-16 records two victories in the German Touring Car Championship (DTM).
• 1988: The AMG Mercedes 190 E 2.3-16 takes four wins in the German Touring Car Championship (DTM); Mercedes-Benz and AMG begin an official partnership in motorsport.
• 1989: AMG is the most successful team in the DTM, with Klaus Ludwig and Johnny Cecotto notching up seven race wins at the wheel of the AMG Mercedes 190 E 2.5-16 Evolution I.
• 1990: Premiere of the more powerful 190 E 2.5-16 Evolution II.
• 1991: AMG Mercedes finishes at the top of the team standings and Klaus Ludwig is the most successful driver. Mercedes-Benz takes the manufacturers’ title. The DTM is at the height of its popularity, with the races attracting an audience of over 153 million.
• 1992: AMG Mercedes again takes the team honours and Mercedes-Benz the manufacturers’ crown. Klaus Ludwig is the DTM champion driving an AMG Mercedes 190 E 2.5-16 Evolution II. Ellen Lohr becomes the fist woman to win a round of the DTM – at the wheel of an AMG Mercedes – while former Formula 1 World Champion Keke Rosberg also drives for the team.
• 1993: Roland Asch finishes runner-up in the DTM in an AMG Mercedes. This proves to be the farewell season for the AMG Mercedes 190 E, the winner of 50 races.
• 1994: The new AMG Mercedes C-Class lines up on the starting grid, powered by a six-cylinder engine. Klaus Ludwig again takes the DTM crown.
• 1995: AMG wins the DTM championship for the third time, as well as the international ITC series in its debut year. The drivers’ champion on each occasion is Bernd Schneider.
• 1996: Bernd Schneider drives an AMG Mercedes to second place in the ITC.
• 1997: The new Mercedes-Benz CLK-GTR, built by AMG in only 128 days, takes Bernd Schneider to the inaugural FIA GT Championship title.

• 1998: AMG Mercedes dominates the FIA-GT series, with Klaus Ludwig and Ricardo Zonta winning all 11 races and the drivers’ championship in the CLK-GTR. AMG Mercedes cruises to the constructors’ title.
• 2000: In the first year of the new DTM (German Touring Car Masters) series, AMG clinches the championship title with Bernd Schneider at the wheel of a Mercedes-Benz CLK-DTM.
• 2001: A repeat of the previous year with Bernd Schneider driving his Mercedes-Benz CLK-DTM to the drivers’ championship crown and AMG taking the team title.
• 2002: The excitement of the DTM continues with the new CLK-DTM. Former Formula 1 star Jean Alesi makes the switch to Team AMG Mercedes after 201 Grand Prix races.

The AMG Safety Car

Mercedes-AMG is represented in the Formula 1 World Championship by the SL55 AMG (official Safety Car) and C32 AMG station wagon (Medical Car). The company is also involved in international polo as a team sponsor.

In 1999, the motorsport department was absorbed into company founder Hans Werner Aufrecht’s new firm H.W.A., located close to Mercedes-AMG. Some 170 staff now work together with Mercedes-Benz Motorsport to build racing cars and to manage the two companies’ long-standing involvement in the German Touring Car Masters (DTM) race series.

About Mercedes-Benz Canada

Mercedes-Benz Canada is responsible for the sales, marketing and service of Mercedes-Benz cars and light trucks in Canada. Headquartered in Toronto, Ontario, Mercedes-Benz Canada employs approximately 830 people in 22 locations across Canada. Through a nationwide network of 17 Mercedes-Benz owned retail operations and 39 authorized dealerships, Mercedes-Benz Canada sold 14,520 vehicles during 2002, representing a 22.2% increase over 2001, setting the highest sales volume in its history.

For more information, visit our media site at www.media.mercedes-benz.ca or contact us at:

JoAnne Caza (416) 847-7550 caza@mercedes-benz.ca
Arden Nerling (416) 847-7556 nerling@mercedes-benz.ca