Leonstein
27-09-2005, 02:59
http://news.bbc.co.uk/2/hi/business/4281864.stm
In an attempt to prevent VW (which includes companies like Audi and Lamborghini) from a hostile takeover, the most successful car manufacturer on the planet had stepped in to buy 3 billion dollars worth of VW shares. In Cash.
That's a 20% stake. In Germany, the announcement is being hailed, as VW has recently been in all kinds of trouble, as the very traditional, partly state-owned VW firm announced that it had to cut jobs and restructure. Shortly after, a management scandal rocked the business further.
Wendelin Wiedeking, CEO of Porsche and credited with turning the little Zuffenhausen family business into the most profitable carmaker around, says the decision was made to secure the relationship between the two firms (the Cayenne is built in Bratislava along with the VW Touareg, and both are working on a petrol-electric hybrid engine together), as well as to strengthen Germany as a place of business.
Personally I don't think Wiedeking could do anything wrong. Ever. Not even if he tried.
In every interview he gives he says sensible things, and seems to actually believe in solidarity with employees, as well as strengthening Germany as a whole - all the while making millions.
But what do you say? The British media has, for whatever reason, been rather critical of the move.
Fact is that a formerly state-owned business is now being fully privatised, and the legislation is being dropped accordingly. But does Porsche risk too much here?
In an attempt to prevent VW (which includes companies like Audi and Lamborghini) from a hostile takeover, the most successful car manufacturer on the planet had stepped in to buy 3 billion dollars worth of VW shares. In Cash.
That's a 20% stake. In Germany, the announcement is being hailed, as VW has recently been in all kinds of trouble, as the very traditional, partly state-owned VW firm announced that it had to cut jobs and restructure. Shortly after, a management scandal rocked the business further.
Wendelin Wiedeking, CEO of Porsche and credited with turning the little Zuffenhausen family business into the most profitable carmaker around, says the decision was made to secure the relationship between the two firms (the Cayenne is built in Bratislava along with the VW Touareg, and both are working on a petrol-electric hybrid engine together), as well as to strengthen Germany as a place of business.
Personally I don't think Wiedeking could do anything wrong. Ever. Not even if he tried.
In every interview he gives he says sensible things, and seems to actually believe in solidarity with employees, as well as strengthening Germany as a whole - all the while making millions.
But what do you say? The British media has, for whatever reason, been rather critical of the move.
Fact is that a formerly state-owned business is now being fully privatised, and the legislation is being dropped accordingly. But does Porsche risk too much here?