I'm going out further on a limb here, guess like crazy and give you MY understanding! The real truth is out there somewhere...
'Way back when, numbers like 170, 180, 190, 200, 220, etc. were models. All gasoline cars had carburetors, so there is nothing else worth putting on the trunk. Hmm, well, a diesel is different, so it is logical to add a D. Ja, und higher performance of any kind is special, so we add an "S"
Then comes fuel injection, E for Einspritzen. Most engines used carburetors, but injection was cool, high performance and different so we add an E. 220SE means special with fuel injection!
As fuel injection became common and carburetors disappeared, the E was also in danger of losing a job. Aha! Let's make it, and the S, separate classes and use numbers for models.
Ja, but our model numbers are beginning to correspond, only roughly, to displacement. Will that be a problem?
Of course not! Nobody will have trouble with 190E, 260E and 300E models with the same engine displacement!. No worries if a 300D has a 2.5 or 3.0 litre engine, mit 5 or 6 zylinders. If T means station wagon, it can also mean turbocharged diesel! Ve either have sold too few station wagons or we ordered too many Ts.
380SE, 400E, 420SEL, 500E and 560E start to make sense, and correspond better to engine displacement.
OK, everyone comfortable? Gut! Lets make some more changes.
E, S, SL, SLK, CLK and M solidify as classes, but we must reverse the order so class is first and the number is engine displacement and everyone will know this is the newer MB model. E320, E430, S320, ML320, etc. are born.
Please flame me gently if I've gotten it too far wrong.
"You can always tell a German, but you can't tell him much"


BCingU, Jim