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German prosecutors said on Tuesday that Daimler, the parent company of Mercedes-Benz, would be fined 870 million euros ($957 million) for violating regulatory requirements by selling about 684000 vehicles that did not comply with nitrogen oxide emissions.

Prosecutors in Stuttgart, Germany, said the fine on Daimler had no impact on ongoing lawsuits involving individuals manipulating engine software used by some of Daimler's diesel cars.

At the same time, Daimler said in a statement that the company will keep its profit forecast unchanged and will not take other legal action, a penalty that resolved Daimler's dispute over illegal problems in Germany.

Regulators around the world have stepped up investigations into car companies since Volkswagen admitted cheating on diesel emissions tests in the US in 2015. In July last year, the German Federal Transport Ministry believed that Daimler had 774000 diesel vehicles suspected of tampering with exhaust fumes in Europe, but in the end, the German government asked Daimler to recall only 238000 diesel vehicles in Germany on the grounds of installing cheating software, mainly Mercedes-Benz Weiting and Mercedes-Benz GLC220d and C220d models. In 2107, Daimler ordered a recall of 3 million vehicles to repair excessive emissions from diesel engines.

In June, the German Transport Ministry said again that Germany ordered Daimler to retrieve 60,000 Mercedes-Benz diesel vehicles as Mercedes-Benz GLK220 because Daimler installed illegal software in its vehicles to operate emission tests.

Daimler cut its 2019 profit forecast and issued a profit warning on June 23, marking the fourth time in a year that Daimler has issued a profit warning for the fourth time in a year as European and US regulators are stepping up investigations into alleged cheating in emissions of Mercedes-Benz diesel cars and spending hundreds of millions of euros on research and development of electric and self-driving cars.

On July 24th, Daimler released its second-quarter results, showing operating income of 42.65 billion euros, up 5% from a year earlier, and a loss of 1.56 billion euros before interest and tax, compared with a profit of 2.6 billion euros in the same period last year. It was Daimler's first quarterly loss since 2010, after the last quarterly loss in 2009.

Daimler revealed in its financial report that the profit of Mercedes-Benz's division was reduced by 770 million euros as a result of the recall, including the Takata airbag recall. In addition, some Mercedes-Benz diesel vehicles involved in emissions fraud also cost it 1.07 billion euros. The two add up to 1.83 billion euros. In addition, Mercedes-Benz sales fell by more than 10, 000 units, resulting in losses of 670 million euros for Mercedes-Benz and 2.05 billion euros for Mercedes-Benz van units.

Kang Linsong, chairman of Daimler AG and head of Mercedes-Benz, said Daimler had set aside a lot of money because of exhaust valve compensation and airbag recalls, while Daimler's new car sales also fell.

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