Volkswagen: Sales, Marketing, and Financial News
11-01-2003, 09:48 AM
#41
Pit Stop?
I don't think Amercians will be willing to accept this car as a VW, even when it clearly outshines it's BMW and MB counterparts for the same pricetag.
If it was badged as an Audi, maybe then would people give it a second glance, but to the average consumer, a $75,000 VW equals an incredibly large waste of money.
I, however, would purchase this car if my financial situation deemed it possible. Just so people would ask me what it was.
If it was badged as an Audi, maybe then would people give it a second glance, but to the average consumer, a $75,000 VW equals an incredibly large waste of money.
I, however, would purchase this car if my financial situation deemed it possible. Just so people would ask me what it was.
11-01-2003, 10:52 AM
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They need to work on making the cars work than making 70k VWs.
I am sure this car will be awesome but people DEMAND prestige and panache when they spend that much $$$$$. A HUGE reason the decent Q45 does not sell. Nor the A-8.
Good cars missing that "badge".
I am sure this car will be awesome but people DEMAND prestige and panache when they spend that much $$$$$. A HUGE reason the decent Q45 does not sell. Nor the A-8.
Good cars missing that "badge".
11-01-2003, 11:29 AM
#43
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yea the car is a fine peice of art and luxury but the VW does not ring a bell in the prestigious luxury car name such as bmw , mercedes, or even audi
B/c when u think of VW u think of millions of teenage girls driving jettas
B/c when u think of VW u think of millions of teenage girls driving jettas
11-02-2003, 02:21 PM
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where does porsche fall on that X? i think someone left it out cause they ARE owned by vw right?
11-02-2003, 06:55 PM
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Originally posted by Python2121
where does porsche fall on that X? i think someone left it out cause they ARE owned by vw right?
where does porsche fall on that X? i think someone left it out cause they ARE owned by vw right?
11-02-2003, 06:56 PM
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Originally posted by cusdaddy
Nope. Porche is independent. It's not owned by any other company. They shared development with the Cayenne and Touareg but that's it
Nope. Porche is independent. It's not owned by any other company. They shared development with the Cayenne and Touareg but that's it
11-02-2003, 10:34 PM
#51
Safety Car
wow loooong discussion
gav you are the master as always
I'll just give my input: yes its an awesome car, and probably well built. No, if I had money for a benz, I wouldnt trade it in for a vw. This is not similar to the GT vs. Ferrari, because gt is a performance machine for the track...the track doesnt care what type of car you have, only how you handle. On the street people care about the mark, moreso than luxary/performance. I mean, if you get an s500 fully decked out, is it absolute shit compared to a rolls royce or a maybach? Yes yea the latter two have incredible luxary, but the brand name is a major selling point.
If this is a shift for VW to a luxary market, kudos for the entry and the great car...but it will take a while. I think they'll have to start by first making their dealerships much more curteous, with full maintenance, luxary loaners, etc, the kind of things you expect from a benz or bmw dealership
course thats just my opinion
gav you are the master as always
I'll just give my input: yes its an awesome car, and probably well built. No, if I had money for a benz, I wouldnt trade it in for a vw. This is not similar to the GT vs. Ferrari, because gt is a performance machine for the track...the track doesnt care what type of car you have, only how you handle. On the street people care about the mark, moreso than luxary/performance. I mean, if you get an s500 fully decked out, is it absolute shit compared to a rolls royce or a maybach? Yes yea the latter two have incredible luxary, but the brand name is a major selling point.
If this is a shift for VW to a luxary market, kudos for the entry and the great car...but it will take a while. I think they'll have to start by first making their dealerships much more curteous, with full maintenance, luxary loaners, etc, the kind of things you expect from a benz or bmw dealership
course thats just my opinion
11-03-2003, 07:54 PM
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Wednesday, the company announced that the new Phaeton luxury sedan from its mainstream Volkswagen brand will have a base price of $64,600 in the United States.
11-03-2003, 07:55 PM
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Originally posted by bkknight369
wow loooong discussion
gav you are the master as always
wow loooong discussion
gav you are the master as always
11-03-2003, 07:58 PM
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Originally posted by Chaptorial
It will sell. People who don't care about brands, if they like the car as a whole they'll buy it.
It will sell. People who don't care about brands, if they like the car as a whole they'll buy it.
I hope it does sell, though I doubt it. The reason I do hope it does sell is becasue:
The more intense the competition at the high end product segment, the better for the "middle end" product segment. If the S class gets better, technologies filter down to the E and C Class cars. Same with all manufacturers. You have to pressure a company with the top models for the rest of us to benefit (unless you can afford 90K vehicles).
11-03-2003, 08:06 PM
#56
Shogun Assassin
I think it will be a tough sell, initially. But if they can get people out of the mindset that VW can't produce luxury autos, then there's no reason this car shouldn't sell, right? 
is Astro still planning on getting one?
is Astro still planning on getting one?
11-28-2003, 08:20 AM
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Volkswagen: Sales, Marketing, and Financial news
Wednesday, November 26, 2003
VW expects U.S. sales to fall 'significantly'
By Bret Okeson and Michael Wudonig / Bloomberg News
FRANKFURT -- Volkswagen AG's sales in the U.S. will fall "significantly" next year as Europe's largest carmaker is hurt by two aging models, the strength of the euro and competitors' discounts, Chief Executive Bernd Pischetsrieder said.
Demand for the compact Jetta and midsize Passat cars will decline before the introduction of new versions in 2005, Pischetsrieder said in an interview. Volkswagen will not increase its sales incentives, now a third of those of competitors. Overall profit should rise next year, helped by growing demand in Western Europe and China, he said.
"With the product changeover and the incentive battle, it's clear sales will fall significantly in the U.S. next year," said Pischetsrieder in Frankfurt, following the broadcast interview. "We won't make any more profit there next year than this year."
Volkswagen's nine-month operating profit fell 99 percent to $10.6 million, or 9 million euros, in North America, which accounted for 17 percent of revenue. Its sales incentives average $1,278 in the U.S. compared with more than $4,000 offered by General Motors Corp., Ford Motor Co. and DaimlerChrysler AG.
"Except for China, the auto market isn't really growing anymore and is driven by new models," said Markus Brueck, who helps manage 10 billion euros at Metzler Investment in Frankfurt and has sold all his Volkswagen shares recently. "Profit at Volkswagen will grow next year, but not so much."
U.S. Sales
The Jetta and the Passat account for 75 percent of Volkswagen's sales in the U.S., the Wolfsburg, Germany-based carmaker's third-largest market after Germany and China.
Pischetsrieder, 55, joined Volkswagen in July 2000, 17 months after resigning as chief executive of Bayerische Motoren Werke AG, where his performance was marred by results at MG Rover Group Ltd., which had losses totaling 6 billion euros over six years. He became Volkswagen chief in April 2002, replacing Ferdinand Piech.
The euro's 12.5 percent advance against the dollar this year was one of the main factors hurting the company's profits in the U.S. Pischetsrieder doesn't expect the euro to fall next year.
"The euro won't weaken against the dollar," said Pischetsrieder. "Whether it's $1.15 or $1.25, it won't come back to parity."
New Golf
Volkswagen introduced a new version of the Golf, its best selling vehicle, last month. The car accounts for about 15 percent of the company's sales. Volkswagen expects to sell 600,000 Golfs next year.
He reiterated the company's forecast that operating profit for 2003 will be less than half of last year's 4.76 billion euros. In the first nine months of the year, Volkswagen net income declined 56 percent to 813 million euros.
"2003 was everything other than a successful year," said Pischetsrieder. "Next year will be better."
Volkswagen sales in the U.S. have fallen 12 percent to 255,699 vehicles so far this year. Pischetsrieder refuses to offer incentives at the same level of competitors because it would hurt the resale value of the cars at a time when Volkswagen is attempting to move its brand upscale. It began selling the Touareg sport-utility vehicle in the U.S. this year and the Phaeton luxury model will be in the U.S. next year.
Hedging
Volkswagen currently hedges about two-thirds of its currency risk, up from about 40 percent in the beginning of the year.
In Western Europe, Pischetsrieder expects demand to pick up in the first half of next year. The German government's proposal to bring forward tax cuts to spur consumer demand may help boost car sales, Pischetsrieder said.
"Show room traffic is picking up, but people are still reluctant to sign contracts," said Pischetsrieder. "The tax cuts may be the trigger point, where people say, ăOK, here is my signature."'
Volkswagen shares have risen 25 percent so far this year, more than any other European carmaker except for Bayerische Motoren Werke AG and Renault SA.
In the fourth quarter, the company will take a write-off for development costs on models that are selling fewer units than expected, principally the Phaeton. The company has cut its forecast next year for the luxury sedan to 15,000 from a previous 20,000. Volkswagen expects to sell some 3,000 to 3,500 Phaetons in the U.S. next year. The company expects operating profit to rise.
"The fourth quarter will be better than the previous year in comparison with other quarters," Pischetsrieder said.
Scania Stake
Volkswagen owns 34 percent of the voting rights of Scania AB, Europe's fourth-largest truckmaker. Volvo AB, which owns 30.6 percent of the voting rights, has to sell its stake by next April. Pischetsrieder said the carmaker does not intend to increase its stake.
"We're definitely not buying any more shares," said Pischetsrieder.
Volkswagen has 23.3 billion euros in outstanding bonds, according to Bloomberg data. The company's A1 credit rating was put on review for a possible downgrade by Moody's Investors Service on Nov. 7, which cited ă ăincreasing uncertainties about a significant recovery in 2004."
The current rating is the fifth-highest on the 10-step investment-grade scale, putting Volkswagen three levels higher than Ford. A downgrade would most impact the company's bank, which lends money to customers to buy cars.
"Financing costs for the bank would be significantly affected," said Pischetsrieder.
Pischetsrieder said in his free time he preferred to drive a Polo, one of the smallest cars the company sells, outfitted with a more powerful engine than is normally offered.
"Usually in my job, I get driven around," said Pischetsrieder. "Driving the Polo is a great feeling."
VW expects U.S. sales to fall 'significantly'
By Bret Okeson and Michael Wudonig / Bloomberg News
FRANKFURT -- Volkswagen AG's sales in the U.S. will fall "significantly" next year as Europe's largest carmaker is hurt by two aging models, the strength of the euro and competitors' discounts, Chief Executive Bernd Pischetsrieder said.
Demand for the compact Jetta and midsize Passat cars will decline before the introduction of new versions in 2005, Pischetsrieder said in an interview. Volkswagen will not increase its sales incentives, now a third of those of competitors. Overall profit should rise next year, helped by growing demand in Western Europe and China, he said.
"With the product changeover and the incentive battle, it's clear sales will fall significantly in the U.S. next year," said Pischetsrieder in Frankfurt, following the broadcast interview. "We won't make any more profit there next year than this year."
Volkswagen's nine-month operating profit fell 99 percent to $10.6 million, or 9 million euros, in North America, which accounted for 17 percent of revenue. Its sales incentives average $1,278 in the U.S. compared with more than $4,000 offered by General Motors Corp., Ford Motor Co. and DaimlerChrysler AG.
"Except for China, the auto market isn't really growing anymore and is driven by new models," said Markus Brueck, who helps manage 10 billion euros at Metzler Investment in Frankfurt and has sold all his Volkswagen shares recently. "Profit at Volkswagen will grow next year, but not so much."
U.S. Sales
The Jetta and the Passat account for 75 percent of Volkswagen's sales in the U.S., the Wolfsburg, Germany-based carmaker's third-largest market after Germany and China.
Pischetsrieder, 55, joined Volkswagen in July 2000, 17 months after resigning as chief executive of Bayerische Motoren Werke AG, where his performance was marred by results at MG Rover Group Ltd., which had losses totaling 6 billion euros over six years. He became Volkswagen chief in April 2002, replacing Ferdinand Piech.
The euro's 12.5 percent advance against the dollar this year was one of the main factors hurting the company's profits in the U.S. Pischetsrieder doesn't expect the euro to fall next year.
"The euro won't weaken against the dollar," said Pischetsrieder. "Whether it's $1.15 or $1.25, it won't come back to parity."
New Golf
Volkswagen introduced a new version of the Golf, its best selling vehicle, last month. The car accounts for about 15 percent of the company's sales. Volkswagen expects to sell 600,000 Golfs next year.
He reiterated the company's forecast that operating profit for 2003 will be less than half of last year's 4.76 billion euros. In the first nine months of the year, Volkswagen net income declined 56 percent to 813 million euros.
"2003 was everything other than a successful year," said Pischetsrieder. "Next year will be better."
Volkswagen sales in the U.S. have fallen 12 percent to 255,699 vehicles so far this year. Pischetsrieder refuses to offer incentives at the same level of competitors because it would hurt the resale value of the cars at a time when Volkswagen is attempting to move its brand upscale. It began selling the Touareg sport-utility vehicle in the U.S. this year and the Phaeton luxury model will be in the U.S. next year.
Hedging
Volkswagen currently hedges about two-thirds of its currency risk, up from about 40 percent in the beginning of the year.
In Western Europe, Pischetsrieder expects demand to pick up in the first half of next year. The German government's proposal to bring forward tax cuts to spur consumer demand may help boost car sales, Pischetsrieder said.
"Show room traffic is picking up, but people are still reluctant to sign contracts," said Pischetsrieder. "The tax cuts may be the trigger point, where people say, ăOK, here is my signature."'
Volkswagen shares have risen 25 percent so far this year, more than any other European carmaker except for Bayerische Motoren Werke AG and Renault SA.
In the fourth quarter, the company will take a write-off for development costs on models that are selling fewer units than expected, principally the Phaeton. The company has cut its forecast next year for the luxury sedan to 15,000 from a previous 20,000. Volkswagen expects to sell some 3,000 to 3,500 Phaetons in the U.S. next year. The company expects operating profit to rise.
"The fourth quarter will be better than the previous year in comparison with other quarters," Pischetsrieder said.
Scania Stake
Volkswagen owns 34 percent of the voting rights of Scania AB, Europe's fourth-largest truckmaker. Volvo AB, which owns 30.6 percent of the voting rights, has to sell its stake by next April. Pischetsrieder said the carmaker does not intend to increase its stake.
"We're definitely not buying any more shares," said Pischetsrieder.
Volkswagen has 23.3 billion euros in outstanding bonds, according to Bloomberg data. The company's A1 credit rating was put on review for a possible downgrade by Moody's Investors Service on Nov. 7, which cited ă ăincreasing uncertainties about a significant recovery in 2004."
The current rating is the fifth-highest on the 10-step investment-grade scale, putting Volkswagen three levels higher than Ford. A downgrade would most impact the company's bank, which lends money to customers to buy cars.
"Financing costs for the bank would be significantly affected," said Pischetsrieder.
Pischetsrieder said in his free time he preferred to drive a Polo, one of the smallest cars the company sells, outfitted with a more powerful engine than is normally offered.
"Usually in my job, I get driven around," said Pischetsrieder. "Driving the Polo is a great feeling."
11-28-2003, 01:34 PM
#60
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I love it when European companies bleed because of the soft dollar strategy US economists are following lately. Hilarious to see how vulnerable they are...
Of course the opposite is happening with the yen...
Of course the opposite is happening with the yen...
03-04-2004, 04:18 AM
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Volkswagen Pays For "Piech's Folly."
by Peter M. DeLorenzo
Volkswagen Pays For "Piech's Folly."
Detroit. Ferdinand Piech, the oftentimes brilliant but wildly egomaniacal engineer who in his earlier years was responsible for some of the greatest Porsche racing cars ever built, including the magnificent 908/3 (my personal favorite) and the legendary 917, and who ran Volkswagen with an iron fist before ascending to the chairmanship of VW's supervisory board, has now solidified his legacy in such an unexpectedly negative way that no one could have imagined it possible even five years ago.
"Piech's Folly" - which was a grandiose platform strategy scheme to turn VW into a manufacturer of ultra-luxury vehicles, in a bold attempt to establish VW as the world's premier automotive brand - has only succeeded in taking VW's eye off of the ball and caused the company to fall behind in its core markets. While Piech's "vision" unleashed a series of cars like the new $70,000+ VW Phaeton (including a costly new assembly facility in Dresden), the Bentley Continental GT (still yet to arrive in showrooms), the Audi A8, a new "more affordable" Lamborghini, the Gallardo (and an offshoot for Audi), and the ultimate waste of time, money and resources - the $1 million Bugatti Veyron (which still may not get built) - the wheels have come off for VW around the world.
VW sales were down 32 percent in January in the U.S. and a new, aggressive package of incentives is on the way to keep the brand from going into a freefall here. Meanwhile, VW's crucial, bread-and-butter car, the Golf, has been a lackluster performer since the fifth generation of the vehicle made its debut in the European market last fall, and now VW is having to slow production and add incentives to try to prop up flagging demand on its home turf. This would have been unthinkable for VW in the past.
Current VW CEO Bernd Pischetsrieder, who inherited this mess from Piech, will be faced with some very tough questions at the Geneva Auto Show this week, as members of the media are beginning to circle like sharks in the water, questioning the strategy of his predecessor while noting that the company's profit is plunging precipitously. And if Pischetsrieder and his handlers were smart, he would avoid getting into any explanations about the "why" of all of it and instead just go over the steps being taken to try to pull VW out of this mess right now.
Because at the end of the day the "why" is quite clear.
The "why" for VW revolves around the fact that its former chairman - a wild, egomaniacal presence who never, ever heard the word "no" and who ran roughshod and unfettered over everyone in his quest to impose his "vision" on every aspect of the company - is single-handedly responsible for the precarious position VW finds itself in right now.
And anyone who thinks VW will be able to recover from this in a few quarters is kidding themselves. Intensifying competition from the Asian car companies is starting to really be felt in Europe, for one thing, and a newly invigorated GM presence (although they have a long way to go) is sure to spell trouble for VW over there. Not to mention the fact that VW won't have any new products here in the U.S. market to replace the Golf and the Jetta for at least a year, while they continue to try to figure out how to get people interested in the slow-selling Phaeton (incentive leases are coming).
Ferdinand Piech - the man whose legacy should have been solidified around the many engineering achievements over his career and who is now safely ensconced as the all-powerful chairman of the VW supervisory board, where he's far, far away from the tough questions and the sticky concepts like responsibility and accountability - is now saddled with being the man behind one of the biggest corporate "face-plants" in automotive history.
"Piech's Folly" indeed.
Volkswagen Pays For "Piech's Folly."
Detroit. Ferdinand Piech, the oftentimes brilliant but wildly egomaniacal engineer who in his earlier years was responsible for some of the greatest Porsche racing cars ever built, including the magnificent 908/3 (my personal favorite) and the legendary 917, and who ran Volkswagen with an iron fist before ascending to the chairmanship of VW's supervisory board, has now solidified his legacy in such an unexpectedly negative way that no one could have imagined it possible even five years ago.
"Piech's Folly" - which was a grandiose platform strategy scheme to turn VW into a manufacturer of ultra-luxury vehicles, in a bold attempt to establish VW as the world's premier automotive brand - has only succeeded in taking VW's eye off of the ball and caused the company to fall behind in its core markets. While Piech's "vision" unleashed a series of cars like the new $70,000+ VW Phaeton (including a costly new assembly facility in Dresden), the Bentley Continental GT (still yet to arrive in showrooms), the Audi A8, a new "more affordable" Lamborghini, the Gallardo (and an offshoot for Audi), and the ultimate waste of time, money and resources - the $1 million Bugatti Veyron (which still may not get built) - the wheels have come off for VW around the world.
VW sales were down 32 percent in January in the U.S. and a new, aggressive package of incentives is on the way to keep the brand from going into a freefall here. Meanwhile, VW's crucial, bread-and-butter car, the Golf, has been a lackluster performer since the fifth generation of the vehicle made its debut in the European market last fall, and now VW is having to slow production and add incentives to try to prop up flagging demand on its home turf. This would have been unthinkable for VW in the past.
Current VW CEO Bernd Pischetsrieder, who inherited this mess from Piech, will be faced with some very tough questions at the Geneva Auto Show this week, as members of the media are beginning to circle like sharks in the water, questioning the strategy of his predecessor while noting that the company's profit is plunging precipitously. And if Pischetsrieder and his handlers were smart, he would avoid getting into any explanations about the "why" of all of it and instead just go over the steps being taken to try to pull VW out of this mess right now.
Because at the end of the day the "why" is quite clear.
The "why" for VW revolves around the fact that its former chairman - a wild, egomaniacal presence who never, ever heard the word "no" and who ran roughshod and unfettered over everyone in his quest to impose his "vision" on every aspect of the company - is single-handedly responsible for the precarious position VW finds itself in right now.
And anyone who thinks VW will be able to recover from this in a few quarters is kidding themselves. Intensifying competition from the Asian car companies is starting to really be felt in Europe, for one thing, and a newly invigorated GM presence (although they have a long way to go) is sure to spell trouble for VW over there. Not to mention the fact that VW won't have any new products here in the U.S. market to replace the Golf and the Jetta for at least a year, while they continue to try to figure out how to get people interested in the slow-selling Phaeton (incentive leases are coming).
Ferdinand Piech - the man whose legacy should have been solidified around the many engineering achievements over his career and who is now safely ensconced as the all-powerful chairman of the VW supervisory board, where he's far, far away from the tough questions and the sticky concepts like responsibility and accountability - is now saddled with being the man behind one of the biggest corporate "face-plants" in automotive history.
"Piech's Folly" indeed.
03-04-2004, 08:07 PM
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I said it in a previous thread months ago, but I truly believe they will be studying Piech's last moves at VW as case studies in Business schools as bad managment practices. I work in the corporate world, so I've seen similar (but far less sizable) examples of this happen in the past. A person's ego can sometimes take over their brain.
03-04-2004, 08:24 PM
#63
wow, whats the corporate world like?
03-04-2004, 09:16 PM
#64
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Originally posted by cusdaddy
I truly believe they will be studying Piech's last moves at VW as case studies in Business schools as bad managment practices.
I truly believe they will be studying Piech's last moves at VW as case studies in Business schools as bad managment practices.
03-04-2004, 09:19 PM
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Originally posted by CLovis
wow, whats the corporate world like?
wow, whats the corporate world like?
03-09-2004, 07:01 PM
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Shares in Europe's largest carmaker Volkswagen have fallen sharply after the company warned of weak profits and immediate job losses.
"The operating profit for the first quarter of 2004 will be, to coin a phrase, miserable," said Volkswagen Group chairman Bernd Pischetsrieder.
VW's automotive division's workforce is to be cut by 3.5%, or 5,000 jobs.
But sales this year should rise slightly thanks to the launch of several new car models.
In a widely anticipated move, Dr Pischetsrieder announced plans to cut costs by 4bn euros (£2.68bn; $4.94bn) over the next four years.
With it, there would be sharp cuts in future investment in its many marques, which include Audi, VW, Seat and Skoda, as well as Bentley, Bugatti and Lamborghini.
Profits for the year are nevertheless expected to be lower this year than they were in 2003, Dr Pischetsrieder predicted, blaming tough price competition, the strength of the euro and the weak economy, particularly in its home market Germany.
"It is undoubtedly an ambitious goal to aim at topping the 2003 operating profit before special items of some 2.5bn euros this year," he said.
Much of the bad news from Volkswagen had been expected, but the markets still reacted by sending VW's shares spiralling to 38.20 euros, down 3% on the day.
"Today's news is a shock even though they have recently tried to prepare people for some bad news," said Gerald Roessel, fund manager with Invesco Asset Management.
"The shares are falling steeply because of the negative outlook which has disappointed the market again."
"The operating profit for the first quarter of 2004 will be, to coin a phrase, miserable," said Volkswagen Group chairman Bernd Pischetsrieder.
VW's automotive division's workforce is to be cut by 3.5%, or 5,000 jobs.
But sales this year should rise slightly thanks to the launch of several new car models.
In a widely anticipated move, Dr Pischetsrieder announced plans to cut costs by 4bn euros (£2.68bn; $4.94bn) over the next four years.
With it, there would be sharp cuts in future investment in its many marques, which include Audi, VW, Seat and Skoda, as well as Bentley, Bugatti and Lamborghini.
Profits for the year are nevertheless expected to be lower this year than they were in 2003, Dr Pischetsrieder predicted, blaming tough price competition, the strength of the euro and the weak economy, particularly in its home market Germany.
"It is undoubtedly an ambitious goal to aim at topping the 2003 operating profit before special items of some 2.5bn euros this year," he said.
Much of the bad news from Volkswagen had been expected, but the markets still reacted by sending VW's shares spiralling to 38.20 euros, down 3% on the day.
"Today's news is a shock even though they have recently tried to prepare people for some bad news," said Gerald Roessel, fund manager with Invesco Asset Management.
"The shares are falling steeply because of the negative outlook which has disappointed the market again."
03-11-2004, 09:08 AM
#73
it amazes me how the product of such a poor decision managed to make it all the way to production without anyone tanding up and saying 'hey, you know, call me crazy here, but ya think anyone's gonna actually buy a 90k dollar VW?'
reminds me of the aztek debacle.
reminds me of the aztek debacle.
03-12-2004, 08:23 PM
#74
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VW started out as the "peoples car" providing cheap transportation for the masses. They were good at it too.
The Golf is the continuation of this cheap "peoples car". They had better get back to the basics of what they were once good at or it might get even uglier.
I own a 79 VW bus, but I don't think I'd ever consider owning one of vw's current offerings.
Sounds like it's going to get interesting...
The Golf is the continuation of this cheap "peoples car". They had better get back to the basics of what they were once good at or it might get even uglier.
I own a 79 VW bus, but I don't think I'd ever consider owning one of vw's current offerings.
Sounds like it's going to get interesting...
04-15-2004, 12:01 PM
#75
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German state mulls selling Volkswagen stake
German state mulls selling Volkswagen stake - - Reuters / April 14, 2004
FRANKFURT -- The German state of Lower Saxony could sell its stake in Europe's biggest carmaker, Volkswagen AG, in three years, the state's economics minister was quoted as saying on Wednesday.
German weekly magazine Capital quoted Walter Hirche, a member of the junior coalition partner FDP, as saying in an interview that the state's stake of about 20 percent of VW's voting rights was negotiable in the long run.
"I could certainly imagine in the future that two large shareholders, as in the case with DaimlerChrysler, acquire the majority of voting rights," Hirche said.
Germany's biggest bank, Deutsche Bank AG, and the Gulf Emirate of Kuwait between them control about 19 percent of rival automaker DaimlerChrysler AG.
Hirche said however that the ruling Christian Democrat party and his liberal FDP party were not in agreement over a possible sale, adding that a change would "definitely not (happen) within the next three years," during the term of the current legislature.
Both Hirche and state premier Christian Wulff are members of VW's supervisory board.
Wulff's office was not reachable for a comment. But sources close to the state government said Hirche's comment was an "individual opinion".
VW's workers' council asked Wulff to revoke his minister's comments and to make clear the state stood by its stake in the carmaker, its head Klaus Volkert said in a statement.
FRANKFURT -- The German state of Lower Saxony could sell its stake in Europe's biggest carmaker, Volkswagen AG, in three years, the state's economics minister was quoted as saying on Wednesday.
German weekly magazine Capital quoted Walter Hirche, a member of the junior coalition partner FDP, as saying in an interview that the state's stake of about 20 percent of VW's voting rights was negotiable in the long run.
"I could certainly imagine in the future that two large shareholders, as in the case with DaimlerChrysler, acquire the majority of voting rights," Hirche said.
Germany's biggest bank, Deutsche Bank AG, and the Gulf Emirate of Kuwait between them control about 19 percent of rival automaker DaimlerChrysler AG.
Hirche said however that the ruling Christian Democrat party and his liberal FDP party were not in agreement over a possible sale, adding that a change would "definitely not (happen) within the next three years," during the term of the current legislature.
Both Hirche and state premier Christian Wulff are members of VW's supervisory board.
Wulff's office was not reachable for a comment. But sources close to the state government said Hirche's comment was an "individual opinion".
VW's workers' council asked Wulff to revoke his minister's comments and to make clear the state stood by its stake in the carmaker, its head Klaus Volkert said in a statement.
04-30-2004, 10:54 AM
#76
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Maserati to Volkswagen? Signs point to sale of Italian automaker
Maserati to VW? Signs point to sale of Italian automaker - - By AUTOWEEK
No one is out-and-out saying 'no' when we ask and even we have to admit that all the signs are pointing to an eventual majority sale of Maserati to Volkswagen Group.
It's no secret VW wants the Quattroporte platform for future Phaeton-size vehicles. Nor that the 2006 Maserati Coupe and Spyder will have several Audi components on them, particularly when it comes to all on-board electronics and a version of quattro all-wheel drive. Maserati is also sharing Audi dealers in certain markets and benefiting from Audi client services and financing structures.
Ferrari-Maserati boss Luca Cordero di Montezemolo is now head of the ultra-powerful Italian union Confindustria -- a full-time job that keeps him away from Modena and Maranello. Between this and the fact that Maserati sales are falling well behind forcasts in all markets may signal a move to divest from Maserati in favor of VW leading the show.
A Modena source says, “This is not a surprise to hear and it’s something that has definitely been talked about since we [VW and Maserati] started our technology swap.” A Maranello contact adds, “It’s feeling like it could happen at any time now. Nothing sure yet, but the signs are everywhere.”
No one is out-and-out saying 'no' when we ask and even we have to admit that all the signs are pointing to an eventual majority sale of Maserati to Volkswagen Group.
It's no secret VW wants the Quattroporte platform for future Phaeton-size vehicles. Nor that the 2006 Maserati Coupe and Spyder will have several Audi components on them, particularly when it comes to all on-board electronics and a version of quattro all-wheel drive. Maserati is also sharing Audi dealers in certain markets and benefiting from Audi client services and financing structures.
Ferrari-Maserati boss Luca Cordero di Montezemolo is now head of the ultra-powerful Italian union Confindustria -- a full-time job that keeps him away from Modena and Maranello. Between this and the fact that Maserati sales are falling well behind forcasts in all markets may signal a move to divest from Maserati in favor of VW leading the show.
A Modena source says, “This is not a surprise to hear and it’s something that has definitely been talked about since we [VW and Maserati] started our technology swap.” A Maranello contact adds, “It’s feeling like it could happen at any time now. Nothing sure yet, but the signs are everywhere.”
04-30-2004, 04:13 PM
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Wow.. VW looking to pick up another really expensive brand. I seriously doubt that's what they need. Why not put some of the $$ into making reliable cars that are reasonably priced instead of putting so much money and resources into these halo cars.
Geez.. They already have Lamborghini, Bugatti, Bentley, Audi. Do they really need another?
Geez.. They already have Lamborghini, Bugatti, Bentley, Audi. Do they really need another?
05-03-2004, 09:51 AM
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Volkswagen sells stake to Arabs
VW sells stake to Arabs - - By Jim Burt - - Source: The Car Connection
Volkswagen and Abu Dhabi agreed Thursday that the Gulf emirate will acquire a stake, perhaps as much as 10 percent, in the German carmaker. "We agree on everything that we jointly have in mind in terms of investment and joint economic activity," Sheikh Hamed bin Zayed al Nahyan, Abu Dhabi's economics minister, told reporters at the carmaker's headquarters.
The meeting at VW's Wolfsburg, Germany headquarters was marred by a bomb threat at the Wolfsburg rail station. Under the deal, Abu Dhabi's state-owned Mubadala Development Co., Volkswagen and an unamed Saudi investor will purchase LeasePlan, Europe's leading car fleet-management firm, from Dutch bank ABN Amro for $2.4 billion. LeasePlan would be one of VW's biggest acquisitions, giving it control of a firm that manages about 1.2 million vehicles and made net profit of 193 million euros last year.
Abu Dhabi's purchase of a stake in VW would fund the carmaker's 50-percent share of the LeasePlan venture and gain the automaker a shareholder ally as pressure mounts on Berlin to scrap anti-takeover defenses at the company. The European Commission has been posturing about ending a law that gives VW's home state of Lower Saxony effective control of the company with a voting stake of 20 percent. That stake goes back to the period just after World War II when the state took part ownership in order to recapitalize the company that was under the control of the Nazi Party. Lower Saxony has been making noise about selling all or part of its stake and may sell Abu Dhabi a block of shares instead of selling them on the open market.
LeasePlan would be one of VW's biggest acquisitions, giving it control of a firm that manages about 1.2 million vehicles and made net profit of 193 million euros last year.
Volkswagen and Abu Dhabi agreed Thursday that the Gulf emirate will acquire a stake, perhaps as much as 10 percent, in the German carmaker. "We agree on everything that we jointly have in mind in terms of investment and joint economic activity," Sheikh Hamed bin Zayed al Nahyan, Abu Dhabi's economics minister, told reporters at the carmaker's headquarters.
The meeting at VW's Wolfsburg, Germany headquarters was marred by a bomb threat at the Wolfsburg rail station. Under the deal, Abu Dhabi's state-owned Mubadala Development Co., Volkswagen and an unamed Saudi investor will purchase LeasePlan, Europe's leading car fleet-management firm, from Dutch bank ABN Amro for $2.4 billion. LeasePlan would be one of VW's biggest acquisitions, giving it control of a firm that manages about 1.2 million vehicles and made net profit of 193 million euros last year.
Abu Dhabi's purchase of a stake in VW would fund the carmaker's 50-percent share of the LeasePlan venture and gain the automaker a shareholder ally as pressure mounts on Berlin to scrap anti-takeover defenses at the company. The European Commission has been posturing about ending a law that gives VW's home state of Lower Saxony effective control of the company with a voting stake of 20 percent. That stake goes back to the period just after World War II when the state took part ownership in order to recapitalize the company that was under the control of the Nazi Party. Lower Saxony has been making noise about selling all or part of its stake and may sell Abu Dhabi a block of shares instead of selling them on the open market.
LeasePlan would be one of VW's biggest acquisitions, giving it control of a firm that manages about 1.2 million vehicles and made net profit of 193 million euros last year.