MAN Still Interested in Scania Deal

German industrial group MAN predicts higher sales in 2007, as better than expected fourth quarter results helped it post record earnings in 2006. Results were boosted by strong sales in its core truck business.

But MAN's chief financial officer says mergers are a necessity for the company's future performance.

“We had a strong industrial logic behind the offer we had for Scania and we think for the long term future it is necessary to have a consolidation in the truck market," Karlheinz Hornung, CFO of MAN, told "Worldwide Exchange."

Last month, MAN dropped a hostile bid for Swedish rival Scania, but the group's CFO said it was still open to a deal for the company.

“We came to the conclusion that all parties and shareholders from Scania that we have a kind of cool down period after the Swedish side saw our offer as a hostile bid, which (it wasn’t).” he said. “In the next few months we will find a date and sit together and discuss a friendly conclusion to realize this industrial logic in the truck business.”