 Juergen Schrempp is reported to have offered his resignation |
DaimlerChrysler's board is meeting to discuss its results and the fallout from the collapse of its Asia strategy. The company saw net profits for the first three months of 2004 fall 33% from 2003, with sales down in every sector bar commercial vehicles.
Chief executive Juergen Schrempp's job could also be on the line, reports say.
The firm has decided not to bail out troubled Japanese unit Mitsubishi, and Korea's Hyundai says it will scale back its partnership with DaimlerChrysler.
The Stuttgart-based group owns 37% of Mitsubishi Motors and 10% of Hyundai.
Mitsubishi, the only lossmaker among Japan's big car companies, had sought a multi-billion dollar bailout.
Its Japanese sales have suffered ever since it admitted a massive cover up of defects four years ago.
And its US performance was battered last year by a long list of bad debts run up by customers who took advantage of easy credit deals. Share slide
DaimlerChrysler's Asia strategy of designing engines with Hyundai and small cars with Mitsubishi now appears to be in tatters.
News reports suggested that the decision to leave Mitsubishi to its own devices had caused Mr Schrempp to offer his resignation on Monday.
He had left it to finance director Manfred Gentz to explain the Mitsubishi decision the previous week.
The supervisory board meeting, in New York, is due to start at 1400 GMT.
DaimlerChrysler shares have fallen almost 60% over the past five years, although news of the Mitsubishi rejection sent them soaring.
On Thursday, the company's stock rose as much as 2.5% early in the day as investors apparently bet that Mr Schrempp's days were numbered, but later fell back to the level of the previous day's close.
One-Minute World News 
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