German automaker DaimlerChrysler AG announced on Wednesday the sale of its troubled Chrysler group would cost 2.5 billion euros this year, while the second-quarter profit plunged 14 per cent.

The Stuttgart-based company said earnings before interest and tax registered a setback of 0.24 billion euros in the second quarter compared to 2.37 billion euros during the same period last year, even if the Mercedes Benz brought considerable profit. Revenue also registered a drop of 3 per cent to 23.8 billion euros in 2007.

DaimlerChrysler will have to face a charge of 2.5 billion euros or 3.38 billion dollars after ending the partnership with Chrysler, a considerable drop from 4 billion euros as specialists initially predicted.

On August 3, the company completed the 5.4-billion-euros sale to Cerberus Capital Management, which acquired a 80.1–per-cent stake in the American automobile manufacturer.

Nine years ago Chrysler merged with Daimler for a staggering 36 billion dollars, but that “marriage made in heaven” didn’t last for too long and the divorce will be completed this autumn when shareholders are expected to approve a change in the company’s name. DaimlerChrysler will reportedly become simply Daimler.

The German automaker kept a 20 per cent stake in Chrysler and announced that it expects the earnings before interest and tax to swivel around 8.5 billion euros this year. The group also revealed a plan to buy back some of its shares in a transaction that is valued at 7.5 billion euros.