One problem related to tire bulge has been reported for the 2008 Mercedes Benz E Class. The most recently reported issues are listed below.
I have a new 2008 e350 mercedes with continental contipro contact 265/35 r 18. 97v tires. At 6000 I noticed a bulge on the sidewall. I was told I hit a bump in the road & it wasn't covered under warranty. Now at 7000 miles I noticed yesterday 2 more bulges on the sidewall of 2 additional tires. I was forced to buy a replacement tire at $300. Now I am trying to get compensation from continental or someone to rectify this problem. By the way, there is no damage to the wheels so this has got to be a defect from the tire company.