VW developing Golf R400 to production... - Page 2

backeddy · 04-26-2015, 10:26 PM

The Spark! "Where there is a Spark, there is a fire....oh wait, scratch that slogan....."

Stingray · 10-07-2015, 03:17 PM

Uh Oh....

Volkswagen May Cancel Nonessential Cars Like the Golf R400.....

In light of the much talked about Dieselgate scandal, Volkswagen may be in the midst of postponing or completely dropping a few nonessential vehicles altogether. With new CEO Matthias Muller at the helm, Volkswagen could see a dramatic shift in product.

According to Bloomberg, any Volkswagen cars that are “not absolutely necessary will be cancelled or postponed.” Vehicles like the Phaeton, Tiguan GTE, Beetle Dune, and Golf R400, just to name a few.

-----
Bloomberg: VW to Delay, Cancel Non-Essential Investments Due to Scandal
http://www.bloomberg.com/news/articl...cost-cuts-loom

Volkswagen AG Chief Executive Officer Matthias Mueller said the company will delay or cancel non-essential projects as pressure mounts to slash spending in the wake of the diesel-emissions scandal.

“We will review all planned investments, and what isn’t absolutely vital will be canceled or delayed,” Mueller told some 20,000 employees at the German company’s headquarters Tuesday, according to an e-mailed statement of his remarks. “And that’s why we will re-adjust our efficiency program. I will be completely clear: this won’t be painless.”

Fixing about 11 million rigged diesel vehicles is a costly prospect. The 6.5 billion euros ($7.29 billion) Volkswagen already set aside for repairs won’t be enough to cover fines and potential legal damages as well, Mueller said. The company is exploring options from a simple software upgrade to outright replacing some cars. Fines may reach $7.4 billion in the U.S. alone, according to analysts from Sanford C. Bernstein Ltd.

Volkswagen could put a push to gain market share in the North America on hold as long as there’s no clarity on the extent of the costs of fixing the cars and potential fines, said Jose Asumendi, a London-based analyst at JPMorgan Chase & Co. The carmaker outlined plans in March for an investment of about $1 billion to expand its vehicle assembly plant in Mexico’s Puebla state. That work could face a delay, Asumendi said.

“It’s going to to be tough to find projects they could chop that will actually move the needle,” Asumendi said. “What they really need to do is get costs under control.”

Cutback Strategies
Labor leaders have been pushing Wolfsburg-based VW to reel in research and development spending to protect jobs, while management wants personnel expenses reduced as well, people familiar with the situation said before the carmaker published Mueller’s statement. Other options include lowering purchasing expenses and reducing sponsorship activities, with the extent of the measures dependent on the cost of the cleanup, said the people, who asked not to be named because the talks are private.
“We’ll pay extra attention to bonus payments to members of the management board,” Bernd Osterloh, a supervisory board member and head of the works council, told employees at the Tuesday meeting. All projects and investments will need to be examined, and “we’ll have to question everything that’s not economical,” he said.

The shares rose 1.1 percent to 94.50 euros at 2:20 p.m. in Frankfurt. The scandal has wiped 29 billion euros off Volkswagen’s market capitalization.

‘Incredibly Inefficient’
The German company may be forced to tighten an “incredibly inefficient” organization and lop funding out of a $17.4 billion research and development budget that was the world’s biggest last year, about equal to the combined figure at Apple Inc. and the former Google Inc., said Arndt Ellinghorst, a London-based analyst with Evercore ISI. Volkswagen’s R&D spending was higher than at Ford Motor Co. and General Motors Co. combined.

“Where’s the innovation? Obviously not in diesel engines,” Ellinghorst said. “There’s a culture of spending and a lack of focus on efficiency in favor of striving to be bigger.”

Volkswagen’s personnel costs at 16.7 percent of sales are the highest since 1997, while purchasing costs are also at a peak, Ellinghorst said. Half the company’s board is composed of labor representatives, and more than 60,000 people work for Volkswagen in Wolfsburg, where Mueller addressed employees until about midday.

Secure Jobs
The state of Lower Saxony, where VW is based, also has an unusually strong position of leadership in the company, owning about one-fifth of its voting shares. The government must “work with all its strength to secure these jobs,” Lower Saxony Prime Minister Stephan Weil wrote employees in an Oct. 5 letter.

Discussions over savings at Volkswagen are in early stages as the company focuses on repairs to satisfy regulators, the people familiar with the situation said. The company has until tomorrow to present a plan for fixing some 2.8 million diesel vehicles it sold in Germany. About 8 million of the Volkswagen cars that had software designed to cheat U.S. emissions tests were sold in Europe, the company told German lawmakers in an Oct. 2 letter.

FenwickHockey65 · 10-07-2015, 07:30 PM

Bigger picture - nonessential cars could also mean Bugatti.

VW's ridiculous quest to become world's largest automaker is likely what will lead to their doom. That title comes with a curse.

Dizzy82 · 10-07-2015, 07:34 PM

Doesn't do anything for me.

krisprz2010camaross · 10-07-2015, 09:52 PM

Dieselgate doesn't effect me buying a Golf in the future, I know that for sure. Haha

Sent from my iPhone using Tapatalk

FenwickHockey65 · 10-07-2015, 10:22 PM

Quote:

Originally Posted by krisprz2010camaross

Dieselgate doesn't effect me buying a Golf in the future, I know that for sure. Haha

Sent from my iPhone using Tapatalk

VW pulling out of NA could, though.

Their sales suck already. I highly doubt the brand makes VAG any money here. Abandon the market to Porsche and cut your losses.

BMR Sales · 10-08-2015, 11:11 AM

Quote:

Originally Posted by FenwickHockey65

Bigger picture - nonessential cars could also mean Bugatti.

VW's ridiculous quest to become world's largest automaker is likely what will lead to their doom. That title comes with a curse.

http://money.cnn.com/2015/07/28/inve...gest-carmaker/

BMR Sales · 10-08-2015, 11:22 AM

Quote:

Originally Posted by FenwickHockey65

VW pulling out of NA could, though.

Their sales suck already. I highly doubt the brand makes VAG any money here. Abandon the market to Porsche and cut your losses.

The VW Group did $220 Mil in Revenue in 2014. I don't see them pulling out, but I see them doing an Image makeover. Maybe back to the Peoples Car, affordable dependable, you know the thing that Honda has been for the last 20 years.

I think the Fine will be a lot smaller than most people think and paid over a number of years

10-07-2015, 03:17 PM	#16
Stingray just can't get enough Drives: a bunch of fast toys... Join Date: May 2012 Location: SoFla Posts: 3,598 View My Garage	Uh Oh.... Volkswagen May Cancel Nonessential Cars Like the Golf R400..... In light of the much talked about Dieselgate scandal, Volkswagen may be in the midst of postponing or completely dropping a few nonessential vehicles altogether. With new CEO Matthias Muller at the helm, Volkswagen could see a dramatic shift in product. According to Bloomberg, any Volkswagen cars that are “not absolutely necessary will be cancelled or postponed.” Vehicles like the Phaeton, Tiguan GTE, Beetle Dune, and Golf R400, just to name a few. ----- Bloomberg: VW to Delay, Cancel Non-Essential Investments Due to Scandal http://www.bloomberg.com/news/articl...cost-cuts-loom Volkswagen AG Chief Executive Officer Matthias Mueller said the company will delay or cancel non-essential projects as pressure mounts to slash spending in the wake of the diesel-emissions scandal. “We will review all planned investments, and what isn’t absolutely vital will be canceled or delayed,” Mueller told some 20,000 employees at the German company’s headquarters Tuesday, according to an e-mailed statement of his remarks. “And that’s why we will re-adjust our efficiency program. I will be completely clear: this won’t be painless.” Fixing about 11 million rigged diesel vehicles is a costly prospect. The 6.5 billion euros ($7.29 billion) Volkswagen already set aside for repairs won’t be enough to cover fines and potential legal damages as well, Mueller said. The company is exploring options from a simple software upgrade to outright replacing some cars. Fines may reach $7.4 billion in the U.S. alone, according to analysts from Sanford C. Bernstein Ltd. Volkswagen could put a push to gain market share in the North America on hold as long as there’s no clarity on the extent of the costs of fixing the cars and potential fines, said Jose Asumendi, a London-based analyst at JPMorgan Chase & Co. The carmaker outlined plans in March for an investment of about $1 billion to expand its vehicle assembly plant in Mexico’s Puebla state. That work could face a delay, Asumendi said. “It’s going to to be tough to find projects they could chop that will actually move the needle,” Asumendi said. “What they really need to do is get costs under control.” Cutback Strategies Labor leaders have been pushing Wolfsburg-based VW to reel in research and development spending to protect jobs, while management wants personnel expenses reduced as well, people familiar with the situation said before the carmaker published Mueller’s statement. Other options include lowering purchasing expenses and reducing sponsorship activities, with the extent of the measures dependent on the cost of the cleanup, said the people, who asked not to be named because the talks are private. “We’ll pay extra attention to bonus payments to members of the management board,” Bernd Osterloh, a supervisory board member and head of the works council, told employees at the Tuesday meeting. All projects and investments will need to be examined, and “we’ll have to question everything that’s not economical,” he said. The shares rose 1.1 percent to 94.50 euros at 2:20 p.m. in Frankfurt. The scandal has wiped 29 billion euros off Volkswagen’s market capitalization. ‘Incredibly Inefficient’ The German company may be forced to tighten an “incredibly inefficient” organization and lop funding out of a $17.4 billion research and development budget that was the world’s biggest last year, about equal to the combined figure at Apple Inc. and the former Google Inc., said Arndt Ellinghorst, a London-based analyst with Evercore ISI. Volkswagen’s R&D spending was higher than at Ford Motor Co. and General Motors Co. combined. “Where’s the innovation? Obviously not in diesel engines,” Ellinghorst said. “There’s a culture of spending and a lack of focus on efficiency in favor of striving to be bigger.” Volkswagen’s personnel costs at 16.7 percent of sales are the highest since 1997, while purchasing costs are also at a peak, Ellinghorst said. Half the company’s board is composed of labor representatives, and more than 60,000 people work for Volkswagen in Wolfsburg, where Mueller addressed employees until about midday. Secure Jobs The state of Lower Saxony, where VW is based, also has an unusually strong position of leadership in the company, owning about one-fifth of its voting shares. The government must “work with all its strength to secure these jobs,” Lower Saxony Prime Minister Stephan Weil wrote employees in an Oct. 5 letter. Discussions over savings at Volkswagen are in early stages as the company focuses on repairs to satisfy regulators, the people familiar with the situation said. The company has until tomorrow to present a plan for fixing some 2.8 million diesel vehicles it sold in Germany. About 8 million of the Volkswagen cars that had software designed to cheat U.S. emissions tests were sold in Europe, the company told German lawmakers in an Oct. 2 letter.

10-07-2015, 07:30 PM	#17
FenwickHockey65 General Motors Aficionado Drives: 2023 GMC Canyon, 2023 Expedition Join Date: Aug 2008 Location: Florida Posts: 37,375 View My Garage	Bigger picture - nonessential cars could also mean Bugatti. VW's ridiculous quest to become world's largest automaker is likely what will lead to their doom. That title comes with a curse. __________________ 2023 GMC Canyon Elevation 2023 Ford Expedition SSV (State-Issued)

10-07-2015, 07:34 PM	#18
Dizzy82 Drives: 2011 1LT/RS A6 RJT SuperCharged Join Date: Mar 2011 Location: 87114 Posts: 3,501 View My Garage	Doesn't do anything for me. __________________ Power is worthless without control. *The 2nd* protects the 1st.** BMR sub frame brace, BMR tunnel brace, LSR sways, LSR CM ca & tl, Sphon ExD el, GM tower brace, Megan EZ Streets, Goodridge Stainless Steel Braided brake lines, PowerStop D/S rotors & pads, Doug Thorty Ceramic Shorties, Magnaflow x-pipe, MRT V2.0, KICKER PowerStage sub & amp, Infinity speakers & tweeters, Viteese Throttle Controller, Viteese Paddle Shifters, ACS T2 Splitter, ACS T2 Ports/Quad LED lights, VDI kit, Havoc diffuser, IPF ECU/TRANS tuned, IPF/KPE Supercharged. 364RWHP/297RWTQ

10-07-2015, 09:52 PM	#19
krisprz2010camaross Drives: 2010 Camaro 2ss/Rs Transformers Join Date: Aug 2014 Location: Yorba Linda, California Posts: 1,561	Dieselgate doesn't effect me buying a Golf in the future, I know that for sure. Haha Sent from my iPhone using Tapatalk __________________ YouTube:Krisprz garage Insta:kris__perez & krisprz_garage LS3 conversion Vararam intake(tune model) Kooks LT headers & cats delete Corsa ZL1 3" exhaust RedBarn Racing Tune CMS Stage 3 Cam AFR CNC ported heads MSD Spark plug wires LNC-2000 Launch controller NGK TR6 Spark Plugs 1le strut tower brace-TPIS spacers Nick Williams 102mm throttle body Fast lsxr 102 intake manifold Slp 25% UDP Katech Tensioner Pulley Circle D 3600-3700 multi disk Stall GM 3.91 gears DDS carbon fiber driveshaft ZL1 fuel pump & injectors Flex fuel sensor(91/E85) https://wheelwell.com/kris-perez

04-26-2015, 10:26 PM	#15
backeddy Banned Drives: 2011 Boxster Spyder (best car ever) Join Date: Aug 2014 Location: San Jose, Ca Posts: 1,529	The Spark! "Where there is a Spark, there is a fire....oh wait, scratch that slogan....."