Mercedes-AMG, commonly known as AMG, is the high-performance division of Mercedes-Benz. AMG independently hires engineers and contracts with manufacturers to customize Mercedes-Benz AMG vehicles. Mercedes-AMG is headquartered in Affalterbach, Baden-Wurttemberg, Germany. AMG was originally an independent engineering firm specializing in performance improvements for Mercedes-Benz vehicles. DaimlerChrysler AG took a controlling interest in 1999, then became sole owner of AMG in 2005. Mercedes-AMG is now a wholly owned subsidiary of Daimler AG. AMG models typically have more aggressive looks, a higher level of performance, better handling, better stability and more extensive use of carbon fibre than their regular Mercedes-Benz counterparts. AMG models are typically the most expensive and highest-performing variant of each Mercedes-Benz class. AMG variants are usually badged with two numerals, as opposed to regular Mercedes-Benz vehicles, which have three (e.g., C 63 as opposed to C 300). The numbers do not always indicate engine size accurately, but are rather a tribute to earlier heritage cars such as the 300SEL 6.3 litre, for example newer-model AMG V8s such as the C 63 actually have 4.0L V8s. AMG was founded as a racing engine forge in 1967 under the name AMG (AMG Engine Production and Development, Ltd.), by former Mercedes-Benz engineers Hans Werner Aufrecht and Erhard Melcher in Burgstall an der Murr, near Stuttgart. The letters "AMG" stand for Aufrecht, Melcher and GroBaspach (Aufrecht's birth town). In 1976 most of AMG moved to Affalterbach, with the racing-engine development remaining at the old location in Burgstall. At this time Erhard Melcher ceased to be a partner, but continued to be an employee at the Burgstall location. In 1993, with AMG having become a high-profile purveyor of modified Mercedes-Benz cars, Daimler-Benz AG and AMG signed a contract of cooperation, allowing AMG to leverage Daimler-Benz's extensive dealer network and leading to commonly developed vehicles. On 1 January 1999 DaimlerChrysler, as it was called between 1998 and 2007, acquired 51 percent of AMG shares, and AMG was renamed to Mercedes-AMG. Racing engine development was divested and continues to exist in Burgstall under the name HWA. On 1 January 2005 Aufrecht sold his remaining shares to DaimlerChrysler, and since then Mercedes-AMG GmbH has been a wholly owned subsidiary of Daimler AG.