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On Friday, Volkswagen made an announcement that many of us were expecting, cutting its massive R&D budget. The company will cut 1 billion Euros (about $1.1 billion) from R&D to prepare itself for the massive fines that will be heading its way in the near future due to the emission scandal.

 

Along with this, Volkwagen announced that it would be capping spending on property, plant and equipment at around 12 billion euros ($12.8 billion) for next year. This is about eight percent smaller than the previous plan put forth by the company. In a statement, Volkswagen CEO Matthias Mueller said a number of projects are being delayed or put on hold, including a new design center in Germany and a paint shop in Mexico.

 

"We are operating in uncertain and volatile times and are responding to this. We will strictly prioritize all planned investments ... anything that is not absolutely necessary will be cancelled or postponed," said Muller.

 

Now a report from German publication WirtschaftsWoche says Volkswagen is considering closing the Dresden, Germany plant to cut more costs. This plant known as the Transparent plant is where Volkswagen currently builds the Phaeton. Currently the plant employs 500 people, but only produces eight Phaetons a week. The Phaeton has never been a big seller for Volkswagen as it only sold 4,000 models last year.

 

If Volkswagen goes forward with closing the Dresden plant, it would move production of the Phaeton to another factory. It would also move the 500 workers to another facility. When reached for comment by Automotive News, Volkswagen neither confirmed or denied the report, only saying the factory was being considered for 'various scenarios'.

 

Source: New York Times, WirtschaftsWoche, Automotive News (Subscription Required), Volkswagen

 

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Volkswagen Group reduces level of capex

• CEO Matthias Müller: "We will strictly prioritize all investments and expenditures"
• Even greater focus on alternative drive technologies and digitalization
  

Wolfsburg, 20 November 2015 - The Volkswagen Group is aligning investment activity in its Automotive Division with the current situation. The aim is for planned investments in property, plant and equipment, investment property and intangible assets, excluding capitalized development costs (capex), to be capped at approximately EUR 12 billion next year. The average figure for the previous planning period was about EUR 13 billion per year.

 

"We are operating in uncertain and volatile times and are responding to this", said Matthias Müller, Chairman of the Board of Management of Volkswagen Aktiengesellschaft, in Wolfsburg on Friday, after a regular meeting of the Company's Supervisory Board. "We will strictly prioritize all planned investments and expenditures. As announced, anything that is not absolutely necessary will be cancelled or postponed."

 

In this context, Müller announced the intention to increase expenditure on alternative drive technologies by approximately EUR 100 million next year. "We are not going to make the mistake of economizing on our future. For this reason we are planning to further increase spending on the development of e-mobility and digitalization", he said. The core focus will be on rapidly developing electric drive systems for the Volkswagen Passenger Cars, Audi and Porsche brands.

 

Most of the capex is earmarked for new products, the continuing rollout and enhancement of the modular toolkits, and the completion of ongoing investments to expand capacity. Examples include product start-ups such as the next-generation Golf, the Audi Q5, the new Crafter plant in Poland, as well as upfront expenditures for the modular electric toolkit (MEB). Approximately 50 percent of capex will be spent on the Group's 28 locations in Germany.

 

Müller also outlined the first projects as examples where investments are being spread out to a greater extent or cut back. For example, construction of the planned new design center in Wolfsburg is being put on hold, saving approximately EUR 100 million. In addition, the construction of a paint shop in Mexico will be reviewed. In the model range, the successor to the Phaeton – a pure-play electric model – is being delayed. "We will review and potentially cancel further expenditures or spread them out to a greater extent in the next few weeks, but without putting our future viability at risk", explained Müller. He added: "Together with the works council representatives we will make every effort to keep our core workforce on board."

 

The joint ventures in China are not consolidated and are therefore not included in the above figures. These companies will maintain their previously announced investment levels and are planning expenditures in the amount of approximately EUR 4.4 billion in 2016. These investments will be financed from the joint ventures' own funds.

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Nearly four years ago, Volkswagen made the pronouncement that it wanted to be the world's largest automaker by 2018. But in light of the diesel scandal, Volkswagen is taking that dream off the table and focusing on trying to survive.

 

Today, Volkswagen Group CEO Matthias Müller announced a new plan called Strategy 2025 that will focus on improving profit rather than volume growth. The plan will be developed over the next few months and will be shown sometime next year.

 

“Many people outside of Volkswagen, but also some of us, did not understand that our Strategy 2018 is about much more than production numbers. A lot of things were subordinated to the desire to be ‘Faster, Higher, Larger,’ especially return on sales,” said Müller in a statement.

 

Along with the announcement of a new plan, Müller outlined some of the key steps that will help the company get off the shaky ground it currently finds itself on.

 

The first step is to reduce the number of models Volkswagen and its sister brands produce. Currently, the Volkswagen group produces over 300 models around the world.

 

"We will review in detail our current portfolio of more than 300 models and examine the contribution that each one makes to our earnings," Müller said to analysts on a call this week.

 

Another priority for Volkswagen will be giving more independence to the brands and regions to allow a "culture of openness and cooperation" to develop.

 

Source: Automotive News (Subscription Required), Car and Driver, Volkswagen

 

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Matthias Müller unveils next steps for the Volkswagen Group

• Support for customers top priority
• Volkswagen looks beyond current crisis
• New strategy to be unveiled in 2016
  

Matthias Müller, Chairman of the Board of Management of Volkswagen Aktiengesellschaft, has announced the five key steps to realign the Group. "We have to look beyond the current situation and create the conditions for Volkswagen's successful further development", said Müller in Wolfsburg on Wednesday. He presented a five point plan that he intends to use so that Volkswagen remains one of the world's leading automobile manufacturers in the future. Müller is confident that "Volkswagen will emerge from the current situation stronger than before". He announced that the cornerstones of the Group's Strategy 2025 will be presented next year.

 

The Volkswagen CEO explained that his top priority is to support the customers affected by the diesel issue. "Our customers are at the core of everything that our 600,000 employees worldwide do", he said. According to Müller, Volkswagen is working intensively to develop effective technical solutions. In contact with the Kraftfahrtbundesamt (KBA – German Federal Motor Transport Authority) the implementation is set to begin in January 2016.

 

Müller's second priority is to systematically drive forward and complete the investigation into what happened. "We must uncover the truth and learn from it", he said, adding that Volkswagen is being extremely thorough in its analysis. For this purpose, audit firm Deloitte has been engaged in addition to the steps already announced. According to Müller, those responsible for what has happened must face severe consequences.

 

Müller's third priority is to introduce new structures in the Volkswagen Group. "The key point is that Group management will be decentralized to a greater extent in the future", he said, with more independence for the brands and regions. Müller stated that the Board of Management will focus on addressing cross-brand strategies, leveraging synergies and ensuring that Group resources are used effectively. "We will review in detail our current portfolio of more than 300 models and examine the contribution that each one makes to our earnings."

 

As his fourth priority, Müller is driving forward a realignment of the Group's culture and management behavior. He noted that the pursuit of perfection, the employees' commitment and social responsibility in the Volkswagen Group must be retained. However, he believes that changes are necessary in how Volkswagen communicates and how it handles its mistakes. "We need a culture of openness and cooperation." Müller also called on everybody at Volkswagen to display more courage, greater creativity and a more entrepreneurial spirit in their dealings with one another.

 

The Volkswagen CEO announced that the fifth priority will be to transform the Group's Strategy 2018 into a Strategy 2025. "Many people outside of Volkswagen, but also some of us, did not understand that our Strategy 2018 is about much more than production numbers. A lot of things were subordinated to the desire to be "Faster, Higher, Larger", especially return on sales." According to Müller, the point is not to sell 100,000 more or fewer vehicles than a major competitor. Instead, the real issue is qualitative growth. Müller announced that the cornerstones of the Group's Strategy 2025 will be developed over the coming months, and that it would be unveiled mid-way through next year.

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Another week has passed and some new information has come to light in the Volkswagen diesel scandal.

 

First off, Volkswagen has confirmed one of their diesel engines doesn't have the cheat. The EA 288 TDI engine used in vehicles for the European-market has been checked out to see if it had the illegal software. In a statement issued by Volkswagen, the engine did not have “software constituting an improper defeat device as defined in laws is installed in vehicles with EA288 EU5 as well as EU6 engines in the European Union with those engines comply with legal requirements and environmental standards."

 

Also, one of the questions that have been up in the air is how would the scandal affect the prices of used Volkswagen TDI models. Kelly Blue Book looked at data from auto auctions before and after the scandal broke. According to their research, the average price of diesel models dropped 16 percent. Average prices of gas models dropped 2.9 percent in the same time.

 

"According to Kelley Blue Book Field Analysts, some auctions are still holding off on selling the affected Volkswagen inventory. While Volkswagen diesel auction prices are in decline, we could see larger fluctuations depending on how this inventory is handled," said Tim Fleming, analyst for Kelley Blue Book.

 

Source: Volkswagen, Kelly Blue Book

 

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Volkswagen confirms: EA288 engines designed for EU5 and EU6 are not affected

• Thorough appraisal of the Diesel emissions issue
  

Volkswagen confirms today that no software constituting an improper defeat device as defined in law is installed in vehicles with EA 288 EU5 as well as EU6-engines in the European Union. Consequently, new vehicles of the Volkswagen Group offered within the European Union with those engines comply with legal requirements and environmental standards.

 

Volkswagen AG is systematically reviewing this issue worldwide. The group strives for a holistic solution for complying with the respective valid standards.

 

After thorough examination it is now confirmed that no software constituting an improper defeat device as defined in law is installed in vehicles with EA 288 EU5-engines. Before, Volkswagen Group has confirmed that new EU6-compliant vehicles offered within the European Union fulfil all legal requirements and environmental standards.

 

Volkswagen customers can visit the corporate websites such as www.volkswagen.de/info, which was set up on October 2, 2015 and enter the chassis number of their vehicle to find out straight away whether their vehicles are affected. Similar customer websites are active in the other EU countries and for the Audi, SEAT and Škoda brands.

 

Work on the technical solutions detailed in the plan of measures is currently proceeding at full speed. Remedial action on the vehicles will begin in January 2016 – at no cost to customers. The measures are currently being developed for each affected series and each affected model year and will first be presented to the responsible authorities. Volkswagen will subsequently inform the owners of these vehicles over the next weeks and months.

 

VOLKSWAGEN DIESEL VEHICLE PRICES DECLINE NEARLY 16 PERCENT, ACCORDING TO KELLEY BLUE BOOK DATA

• New-Car Shopping Activity Also Impacted by Recent Emissions Issue
  

IRVINE, Calif., October 21, 2015 – Kelley Blue Book www.kbb.com, the only vehicle valuation and information source trusted and relied upon by both consumers and the automotive industry, today reports that average auction prices, along with new-car shopping activity on KBB.com, for Volkswagen diesel vehicles have declined four weeks after the diesel emissions issue was announced.

 

The average auction price for Volkswagen diesel models dropped by nearly 16 percent since the news broke of the emissions crisis.[1] The average auction price for the brand's gasoline-powered vehicles declined by 2.9 percent.1 On KBB.com, Volkswagen new-car shopping activity for affected TDI models has decreased on average by 2.4 percent.

 

"According to Kelley Blue Book Field Analysts, some auctions are still holding off on selling the affected Volkswagen inventory," said Tim Fleming, analyst for Kelley Blue Book. "While Volkswagen diesel auction prices are in decline, we could see larger fluctuations depending on how this inventory is handled."

 

Volkswagen Site Metrics from Kelley Blue Book's KBB.com*

• The Volkswagen Golf SportWagen and Golf have seen the most significant declines in shopping activity, with decreases of 6.2 percent and 3.7 percent respectively.
• The Audi A3 and Volkswagen Jetta SportWagen are the only TDI models seeing increases in activity, at 1.6 and 3 percent respectively, which is consistent with segment-level traffic on KBB.com.
• Audi A3 shoppers are increasingly cross-shopping competing luxury models following the announcement. The most highly cross-shopped vehicles are the Lexus NX, BMW 2-Series and Mercedes-Benz CLA. **
  

 

* Kelley Blue Book's KBB.com Site Traffic, Comparing September Pre- (Weeks of August 31-September 13) and Post- (Weeks of September 14-October 18) Announcement Data. Please note: Data is compiled weekly (Monday-Sunday).

 

** Kelley Blue Book's KBB.com Cross-Shopping Data for Week of October 12-18, 2015

 

"During the past four weeks following the emissions announcement, traffic to KBB.com has generally decreased after an initial surge in interest for Volkswagen diesel models, likely because of the stop-sell and negative press," said Arthur Henry, senior manager of Strategic Insights for Kelley Blue Book. "Interestingly, with regard to cross-shopping data, consumers are not looking at fuel-efficient or hybrid vehicles. For example, shoppers interested in the Jetta TDI are looking to the Honda Civic, Mazda3 and Ford Fusion as alternatives, according to cross-shopping data from KBB.com."

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In light of a scandal, the one item a company needs is stability. Unfortunately for Volkswagen, the diesel emission scandal has seemed to bring growing levels of instability. Case in point is the announcement of Dr. Winfried Vahland stepping down. Vahland was picked to become the head of Volkswagen's North American unit only a few weeks back.

 

In a statement released by the automaker, the two had "differing views" on the company's new structure and his departure is "expressly not related" to the emissions scandal.

 

Meanwhile, a report from German publication Spiegel says that at least 30 managers at Volkswagen were involved in cheating emission tests citing information from investigations done by Volkswagen and the law firm Jones Day. The report goes on to say that the number of people who knew about the cheating could expand as the investigations go on.

 

A Volkswagen spokesman told Reuters that the number in Spiegel's report "is completely unfounded."

 

Later this week, Volkswagen CEO Matthias Müller will meet with senior management and update them on the investigation and plan the next move.

 

Source: Skoda, USA Today, Spiegel.de, Automotive News (Subscription Required)

 

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Prof. Dr. Winfried Vahland leaves Volkswagen Group

 

Mladá Boleslav, 14 October 2015 – After 25 years of successful work in Volkswagen Group, most recently as Chairman of ŠKODA, Prof. Dr. Winfried Vahland is leaving the company at his own request. Prof. Vahland will therefore not be taking up the position of overall responsibility for the North American Region (NAR). Differing views on the organisation of the new Group region have led to this decision; this decision is expressly not related to current events on the issue of diesel engines.

 

Prof. Vahland began his work in Volkswagen Group in 1990. After holding several key positions at home and abroad, he took over Group responsibility as President and CEO of Volkswagen in China in 2005 and contributed significantly to the successful new direction of Volkswagen in China. He was appointed Chairman of the Board of Management of ŠKODA in 2010. Under his leadership, ŠKODA implemented the largest growth and model campaign in the brand’s history and positioned ŠKODA sustainably as a successful international high-volume brand.

 

The CEO of Volkswagen Group, Matthias Müller emphasised: “In the last 25 years, Prof. Vahland made a great contribution to the company. We respect his decision and thank him for his exceptional performance.”

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Volkswagen is making some big changes for the future. In a statement released today, the company announced that it would cut 1 Billion Euros (about $1.1 billion) in investments. The statement didn't say would be part of the cuts.

 

Volkswagen also announced that it would be fitting diesel models sold in Europe and U.S. with SCR and AdBlue technology 'as soon as possible'.

 

Further down in the statement, Volkswagen announced that it would put more of a focus on battery and plug-in powertrains for its MQB architecture (what underpins the Golf and the upcoming Tiguan. Along with this, the company is working on a new modular electric “toolkit” that could deliver around 155 to 300 Miles on a charge.

 

Volkswagen has also given a preview of what's in store for the next Phaeton. The statement talks about a specification of the model that will feature a pure electric drive.

 

"The Volkswagen brand is repositioning itself for the future. We are becoming more efficient, we are giving our product range and our core technologies a new focus, and we are creating room for forward-looking technologies by speeding up the efficiency program," said Volkswagen brand chief Herbert Diess.

 

Source: Volkswagen

 

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Volkswagen Brand Board of Management takes strategic decisions

• Accelerated implementation of the efficiency program creates room for reorientation
• Streamlined processes leverage further cost-saving potential, including cuts in fixed costsInvestments to be reduced by 1 billion euros per year compared with planning – combined with prioritization of projects for the future
• Product decisions formulatedNew Phaeton will be electric
• New Modular Electric Toolkit planned
  

The newly-formed Volkswagen Brand Board of Management took further strategic decisions at a special meeting. CEO Dr. Herbert Diess announced major product decisions: a reorientation of the diesel strategy with the most advanced technologies, the development of a standardized electric architecture for passenger cars and light commercial vehicles, and a new approach for the next generation of the Phaeton. Investments are to be reduced by some one billion euros per year, the efficiency program is to be accelerated.
Dr. Herbert Diess underscored: "The Volkswagen brand is repositioning itself for the future. We are becoming more efficient, we are giving our product range and our core technologies a new focus, and we are creating room for forward-looking technologies by speeding up the efficiency program."
Reorientation of the diesel strategy
It was decided to switch over to installing only diesel drives with SCR and AdBlue technology in Europe and North America as soon as possible. Diesel vehicles will only be equipped with exhaust emissions systems that use the best environmental technology.

Systematic further development of the Modular Transverse Toolkit (MQB)
There will be a major development thrust for the proven MQB standardized technical toolkit, where Volkswagen Passenger Cars holds responsibility for development within the Group network. The focus is on plug-in hybrids with an even greater range, high-volume electric vehicles with a radius of up to 300 kilometers, a 48-volt power supply system (mild hybrid) as well as ever more efficient diesel, petrol and CNG concepts.

 

A new standard with regard to connectivity and driver assistance systems is to be defined.

 

MEB electric toolkit
An MEB electric toolkit for future use in compact segment vehicles is to be developed based on the experience gained with existing vehicle architectures. This will be a multi-brand toolkit suitable for both passenger cars and light commercial vehicles and will thus leverage synergies from other electric vehicle projects in the Group. The standardized system will be designed for all body structures and vehicle types, thus allowing particularly emotional vehicle concepts, and will enable an all-electric range of 250 to 500 kilometers.

Phaeton redefined – the future is electric
The Volkswagen Phaeton has embodied the brand's technological competence and brand ambition from the first generation onward. The future generation of the Phaeton will once again be the flagship for the brand's profile over the next decade. In light of this, the Board of Management redefined the current project. The specification features a pure electric drive with long-distance capability, connectivity and next-generation assistance systems as well as an emotional design.

 

Accelerated efficiency program
Dr. Herbert Diess said: "We are very aware that we can only implement these innovations for the future of the Volkswagen brand effectively if we succeed with our efficiency program and in giving our product range a new focus."
Diess continued: "Together with my Board of Management colleagues and the entire team we are working at top speed on these issues. Time and again, the Volkswagen team has proved it stands united and is fully focused on shaping the future, particularly when times are tough. We have now laid the further foundations for that."

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After a meeting of Volkswagen's Supervisory Board today, Porsche CEO Matthias Müller has been named as the CEO of Volkswagen. Rumors of Müller's appointment have been swirling around for the past week.

 

"My most urgent task is to win back trust for the Volkswagen Group – by leaving no stone unturned and with maximum transparency, as well as drawing the right conclusions from the current situation," said Müller in statement.

 

Müller has a difficult task ahead of him as he'll need to right the ship at Volkswagen due to the ongoing crisis. He will also oversee a massive reorganization of the company. This begins with newly formed North American region structure which combines the USA, Mexico, and Canada. Heading up this structure will be the current chairman of Skoda, Winfried Vahland.

 

Michael Horn, the President and CEO of Volkswagen Group of America will be sticking around, contrary to reports from yesterday.

 

Source: Volkswagen, New York Times, Bloomberg

 

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MATTHIAS MÜLLER APPOINTED CEO OF THE VOLKSWAGEN GROUP

 

Sep 25, 2015

• Müller remains Chairman of Porsche AG until a successor has been found
  

Matthias Müller (62) has been appointed CEO of Volkswagen AG with immediate effect. This was decided by the Supervisory Board at its meeting in Wolfsburg today (Friday). Müller is currently Chairman of Porsche AG in Stuttgart. He will continue in this function until a successor has been found.
The interim Chairman of the Supervisory Board of Volkswagen AG, Berthold Huber, underscored: "Matthias Müller is a person of great strategic, entrepreneurial and social competence. He knows the Group and its brands well and can immediately engage in his new task with full energy. We expressly value his critical and constructive approach."

 

Bernd Osterloh, Chairman of the Group Works Council, commented: "When it comes to leadership appointments the Volkswagen Group does not need hasty decisions. We know and value Matthias Müller for his determination and decisiveness. He does not work on his own, rather he is a team player. That is what Volkswagen needs now."
Matthias Müller said: "My most urgent task is to win back trust for the Volkswagen Group – by leaving no stone unturned and with maximum transparency, as well as drawing the right conclusions from the current situation. Under my leadership, Volkswagen will do everything it can to develop and implement the most stringent compliance and governance standards in our industry. If we manage to achieve that then the Volkswagen Group with its innovative strength, its strong brands and above all its competent and highly motivated team has the opportunity to emerge from this crisis stronger than before."
Matthias Müller was born in Chemnitz (Saxony) on June 9, 1953. He completed his high school education in Ingolstadt followed by an apprenticeship as a toolmaker with AUDI AG. He then studied computer science at Munich University of Applied Sciences. After obtaining his master's degree in computer science, Müller resumed his career with AUDI AG in Ingolstadt in 1978, becoming Head of the Systems Analysis Division in 1984 and Head of Project Management for the Audi A3 in 1993. He assumed responsibility for Product Management at Audi AG, SEAT and Lamborghini in 1995.
Müller moved to Wolfsburg as Head of Product Management of the Volkswagen Group and the Volkswagen brand in 2007 and also became a General Representative of the Volkswagen Group. He has been Chairman of the Executive Board of Dr. Ing. h.c. F. Porsche AG and a member of the Executive Board of Porsche Automobil Holding SE since 2010. In his function as Chairman of the Executive Board of Dr. Ing. h.c. F. Porsche AG, Müller was appointed member of the Board of Management of Volkswagen AG effective March 1, 2015.

 

Matthias Müller's current contract as a Board member of Volkswagen AG will continue to apply in his new function as CEO. This contract runs until the end of February 2020. Matthias Müller succeeds Prof. Dr. Martin Winterkorn, who offered his resignation on Wednesday.

 

THE VOLKSWAGEN GROUP IS RESTRUCTURING: SUPERVISORY BOARD PASSES RESOLUTIONS FOR NEW ORGANIZATION

 

Sep 25, 2015

• Brands and regions to be strengthened
• Vahland moves from Škoda to the Volkswagen brand Board of Management
• De Meo, Maier and Stackmann in new functions
• Board Member for Sales Klingler leaves the Group
• Contract with Board member for Procurement Garcia Sanz extended
  

The Supervisory Board of Volkswagen AG approved a new management structure for the Group and the brands as well as for the North America region today (Friday) in Wolfsburg. The interim Chairman of the Supervisory Board, Berthold Huber, commented: "The new structure strengthens the brands and regions, gives the Group Board of Management the necessary leeway for strategy and steering within the company, and lays a focus on the targeted development of future-oriented fields."

 

Details of major changes:

 

Reorganization of the North America region / Successor Prof. Vahland
The Supervisory Board decided on the reorganization of the Group's activities in North America. The markets in the USA, Mexico, and Canada will be combined and significantly strengthened to form a new North America region. Effective November 1, the Group's activities in the region will be led by Prof. Dr. Winfried Vahland (58), formerly Chairman of the Board of Directors at Škoda, who in this new role becomes a member of the Volkswagen brand Board of Management. Prof. Vahland's successor as Chairman of the Board of Directors at Škoda will be Bernhard Maier (55), until now Board Member for Sales and Marketing of Porsche AG. Michael Horn (52) remains President and CEO of Volkswagen Group of America.

 

Porsche brand group with Bentley and Bugatti
At Group level the management structure will be oriented even more systematically to the modular toolkits. These toolkits feature standardized technical components for each automotive vehicle segment (volume, premium, sport and commercial vehicles). Consequently, a Porsche brand group with Bentley and Bugatti will be established for the sportscar and mid-engine toolkit. The toolkit strategy will come under the even closer guidance of the Group CEO; a separate department will be set up for this purpose. The Audi brand group with Lamborghini and Ducati will be continued as will the Truck Holding, and the Power Engineering and Financial Services business lines. The volume brands Volkswagen (with principal responsibility for the modular transverse toolkit), SEAT, and Škoda will be represented by one member each in the Group Board of Management.

 

New Group functions for efficiency and future-oriented fields
Group functions will concentrate more closely on efficiency and future-oriented fields; organizational units, for example for Group product strategy, new business fields, cooperations and holdings, connected car activities, and CO2 steering, will therefore be set up. According to Huber, "new, strong Group functions, such as for standardization and harmonized production processes, will lay the timely foundations for efficient decision-making. We will become faster and more agile." Furthermore, a Chief Technology Officer will analyze and, if necessary, co-steer technical developments throughout the Group as mandated by the Group Board of Management.

 

Upgrading of brands and regions
At the same time, existing corporate bodies, structures and processes will be streamlined at Group level, in particular by strengthening the brands and regional accountability. To that end the Volkswagen brand will introduce a management structure with four regions, each led by a local CEO with a direct reporting line to the brand Chairman, Herbert Diess.

 

Streamlining the Group Board of Management
The production department at Group level, until now led by Thomas Ulbrich in an interim capacity, will be abolished with immediate effect. This is one consequence of delegating responsibility to the brands and regions. Berthold Huber commented: "Going forward, the brands and regions will also have greater independence with regard to production. So it follows that they should also hold the responsibility for these activities."

 

The interim Supervisory Board Chairman emphasized that "one key point is that we are scaling back complexity in the Group. In recent weeks, we have already undertaken important steps such as separating Group and brand functions." He said the developments of the last few days had underscored the urgency of this project: "We will not lose any time. The new management model will be implemented at the beginning of 2016." This would bring the Board greater freedom to address urgent issues concerning Group strategy, development and steering.

 

Further Board of Management changes
The Supervisory Board extended the contract with Francisco Javier Garcia Sanz (58), Member of the Board of Management of Volkswagen Aktiengesellschaft with responsibility for Procurement, by five years.

 

Christian Klingler (47), member of the Board of Management of Volkswagen Aktiengesellschaft with responsibility for Sales and Marketing and member of the Volkswagen brand Board of Management with responsibility for Sales and Marketing, is leaving the company with immediate effect as part of long-term planned structural changes and as a result of differences with regard to business strategy. This is not related to recent events. The new CEO Matthias Müller will head the Sales department at Group level in an interim capacity until further notice.

 

Jürgen Stackmann (54), previously Chairman of SEAT, will take over Christian Klingler's function as a member of the Volkswagen brand Board of Management. Stackmann is succeeded by Luca de Meo (48), currently Audi AG Board of Management member for Sales and Marketing. These personnel changes become effective from October 1.

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After an emergency meeting held today, Volkswagen CEO Martin Winterkorn announced his resignation amid allegations that the automaker manipulated their diesel vehicles to meet emissions regulations around the world.

 

"As CEO I accept responsibility for the irregularities that have been found in diesel engines and have therefore requested the Supervisory Board to agree on terminating my function as CEO of the Volkswagen Group. I am doing this in the interests of the company even though I am not aware of any wrongdoing on my part," said Winterkorn in a statement.

 

"Volkswagen needs a fresh start - also in terms of personnel. I am clearing the way for this fresh start with my resignation."

 

Since the announcement of Volkswagen's illegal software, the company had lost more than $26 billion in value over the last two days in the stock market.

 

In a statement released by Volkswagen's Supervisory Board, a successor to Winterkorn will be considered at a meeting this Friday. The board also says in their statement that more people could be facing serious trouble in light of this scandal.

 

Source: Volkswagen

 

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Statement by Prof. Dr. Winterkorn
"I am shocked by the events of the past few days. Above all, I am stunned that misconduct on such a scale was possible in the Volkswagen Group.
As CEO I accept responsibility for the irregularities that have been found in diesel engines and have therefore requested the Supervisory Board to agree on terminating my function as CEO of the Volkswagen Group. I am doing this in the interests of the company even though I am not aware of any wrong doing on my part.
Volkswagen needs a fresh start – also in terms of personnel. I am clearing the way for this fresh start with my resignation.
I have always been driven by my desire to serve this company, especially our customers and employees. Volkswagen has been, is and will always be my life.
The process of clarification and transparency must continue. This is the only way to win back trust. I am convinced that the Volkswagen Group and its team will overcome this grave crisis."

 

Statement from the Executive Committee of Volkswagen AG's Supervisory Board

 

In a meeting on Wednesday, September 23, the Executive Committee of the Supervisory Board of Volkswagen AG discussed in detail the manipulation of emissions data of Volkswagen Group diesel engines and came to the following conclusions:

1. The Executive Committee takes this matter extremely seriously. The Executive Committee recognizes not only the economic damage caused, but also the loss of trust among many customers worldwide.
2. The Executive Committee agrees that these incidents need to be clarified with great conviction and that mistakes are corrected. At the same time, the Executive Committee is adamant that it will take the necessary decisive steps to ensure a credible new beginning.
3. The Executive Committee has great respect for Chairman Professor Dr. Winterkorn's offer to resign his position and to ask that his employment agreement be terminated. The Executive Committee notes that Professor Dr. Winterkorn had no knowledge of the manipulation of emissions data. The Executive Committee has tremendous respect for his willingness to nevertheless assume responsibility and, in so doing, to send a strong signal both internally and externally. Dr. Winterkorn has made invaluable contributions to Volkswagen. The company's rise to global company is inextricably linked to his name. The Executive Committee thanks Dr. Winterkorn for towering contributions in the past decades and for his willingness to take responsibility in this criticall phase for the company. This attitude is illustrious.
4. Recommendations for new personnel will be presented at the upcoming meeting of the Supervisory Board this Friday.
5. The Executive Committee is expecting further personnel consequences in the next days. The internal Group investigations are continuing at a high tempo. All participants in these proceedings that has resulted in unmeasurable harm for Volkswagen, will be subject to the full consequences.
6. The Executive Committee have decided that the company will voluntarily submit a complaint to the State Prosecutors' office in Brunswick. In the view of the Executive Committee criminal proceedings may be relevant due to the irregularities. The investigations of the State Prosecutor will be supported in all form from the side of Volkswagen.
7. The Executive Committee proposes that the Supervisory Board of Volkswagen AG create a special committee, under whose leadership further clarifying steps will follow, including the preparation of the necessary consequences. In this regard, the Special Committee would make use of external advice. Further details about this will be decided at the Supervisory Board meeting on Friday.
8. The Executive Committee is aware that coming to terms with the crisis of trust will be a long term task that requires a high degree of consistency and thoroughness.
9. The Executive Committee will work on these tasks together with the employees and the Management Board. Volkswagen is a magnificent company that depends on the efforts of hundreds of thousands of people. We consider it our task that this company regains the trust of our customers in every respect.
   

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In light of the announcement made by the EPA on Friday about certain Volkswagen vehicles equipped with the diesel engine violating emission standards, the German automaker has been at work on damage control. The Detroit News reported on Saturday that the company had pulled all of their ads and videos promoting the diesel engines on their YouTube page and asked dealers to put a stop-sale on Beetle, Jetta, and Passat models equipped with TDI engines. No word on how many vehicles are affected by this.

 

Yesterday, Volkswagen CEO Martin Winterkorn issued a statement apologizing for violating emission standards in the U.S. and said the company would launch an internal investigation.

 

The Board of Management at Volkswagen AG takes these findings very seriously. I personally am deeply sorry that we have broken the trust of our customers and the public. We will cooperate fully with the responsible agencies, with transparency and urgency, to
clearly, openly, and completely establish all of the facts of this case. Volkswagen has ordered an external investigation of this matter," said Winterkorn.

 

Source: The Detroit News, USA Today, Volkswagen

 

Press Release is on Page 2

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STATEMENT OF PROF. DR. MARTIN WINTERKORN, CEO OF VOLKSWAGEN AG

 

Wolfsburg, September 20, 2015 – The U.S. Environmental Protection Agency and the California Air Resources Board (EPA and CARB) revealed their findings that while testing diesel cars of the Volkswagen Group they have detected manipulations thatviolate American environmental standards.
The Board of Management at Volkswagen AG takes these findings very seriously. I personally am deeply sorry that we have broken the trust of our customers and the public. We will cooperate fully with the responsible agencies, with transparency and urgency, to
clearly, openly, and completely establish all of the facts of this case. Volkswagen has ordered an external investigation of this matter.

 

We do not and will not tolerate violations of any kind of our internal rules or of the law.
The trust of our customers and the public is and continues to be our most important asset. We at Volkswagen will do everything that must be done in order to re-establish the trust that so many people have placed in us, and we will do everything necessary in order to reverse the damage this has caused. This matter has first priority for me, personally, and for our entire Board of Management.

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This afternoon, the Environmental Protection Agency (EPA) issued a notice of violation to Volkswagen for skirting clean-air rules on some of their TDI models. The EPA says certain Volkswagen and Audi diesel models from 2009 to 2015 model years had special emission control software that could detect when a car is undergoing EPA emissions testing and turns on the full emissions controls. The software would turn off the controls during real-world driving. This allowed Volkswagen not to equip urea injection and/or more complex emission-control systems onto some of their vehicles.

 

“These violations are very serious, not only because illegal defeat devices results in excess emissions many times the allowable standard, but also because VW was concealing the facts from EPA, the state of California and consumers. We expected better from VW,” said Cynthia Giles, assistant administrator for the EPA’s Office of Enforcement and Compliance Assurance in a conference call.

 

Federal officials say they were notified about the difference in emission levels after researchers at West Virginia University started questioning the emission levels on Volkwagen's diesel models. From there, the EPA and California Air Resources Board opened an investigation.

 

“In September, after EPA and CARB demanded an explanation for the identified emission problems, Volkswagen admitted that the cars contained defeat devices,” the EPA said in a statement.

 

The models in question include,

• 2009 – 2015 Audi A3 TDI
• 2009 – 2015 Volkswagen Beetle TDI
• 2009 – 2015 Volkswagen Golf TDI
• 2009 – 2015 Volkswagen Jetta TDI
• 2014 – 2015 Volkswagen Passat TDI
  

Now the EPA is asking Volkswagen to recall the affected vehicles, though they do note that the vehicles are safe to drive. The EPA hasn't ordered any fines at this time, as the investigation is still ongoing. Federal law allows the EPA to levy a maximum fine of $37,500 per vehicle. With around 482,000 vehicles with the illegal software, Volkswagen could be looking at a maximum fine of $18 billion dollars.

 

"VW is cooperating with the investigation; we are unable to comment further at this time," the company said in a statement.

 

Source: Automotive News (Subscription Required), Green Car Reports, EPA

 

Press Release is on Page 2

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EPA, California Notify Volkswagen of Clean Air Act Violations

 

Release Date: 09/18/2015
Contact Information: press@epa.gov

• Carmaker allegedly used software that circumvents emissions testing for certain air pollutants
  

Washington - Today, EPA is issuing a notice of violation (NOV) of the Clean Air Act (CAA) to Volkswagen AG, Audi AG, and Volkswagen Group of America, Inc. (collectively referred to as Volkswagen). The NOV alleges that four-cylinder Volkswagen and Audi diesel cars from model years 2009-2015 include software that circumvents EPA emissions standards for certain air pollutants. California is separately issuing an In-Use Compliance letter to Volkswagen, and EPA and the California Air Resources Board (CARB) have both initiated investigations based on Volkswagen’s alleged actions.

 

“Using a defeat device in cars to evade clean air standards is illegal and a threat to public health,” said Cynthia Giles, Assistant Administrator for the Office of Enforcement and Compliance Assurance. “Working closely with the California Air Resources Board, EPA is committed to making sure that all automakers play by the same rules. EPA will continue to investigate these very serious matters.”

 

“Working with US EPA we are taking this important step to protect public health thanks to the dogged investigations by our laboratory scientists and staff,” said Air Resources Board Executive Officer Richard Corey. “Our goal now is to ensure that the affected cars are brought into compliance, to dig more deeply into the extent and implications of Volkswagen’s efforts to cheat on clean air rules, and to take appropriate further action.”

 

As described in the NOV, a sophisticated software algorithm on certain Volkswagen vehicles detects when the car is undergoing official emissions testing, and turns full emissions controls on only during the test. The effectiveness of these vehicles’ pollution emissions control devices is greatly reduced during all normal driving situations. This results in cars that meet emissions standards in the laboratory or testing station, but during normal operation, emit nitrogen oxides, or NOx, at up to 40 times the standard. The software produced by Volkswagen is a “defeat device,” as defined by the Clean Air Act.

 

The Clean Air Act requires vehicle manufacturers to certify to EPA that their products will meet applicable federal emission standards to control air pollution, and every vehicle sold in the U.S. must be covered by an EPA-issued certificate of conformity. Motor vehicles equipped with defeat devices, which reduce the effectiveness of the emission control system during normal driving conditions, cannot be certified. By making and selling vehicles with defeat devices that allowed for higher levels of air emissions than were certified to EPA, Volkswagen violated two important provisions of the Clean Air Act.

 

EPA and CARB uncovered the defeat device software after independent analysis by researchers at West Virginia University, working with the International Council on Clean Transportation, a non-governmental organization, raised questions about emissions levels, and the agencies began further investigations into the issue. In September, after EPA and CARB demanded an explanation for the identified emission problems, Volkswagen admitted that the cars contained defeat devices.

 

NOx pollution contributes to nitrogen dioxide, ground-level ozone, and fine particulate matter. Exposure to these pollutants has been linked with a range of serious health effects, including increased asthma attacks and other respiratory illnesses that can be serious enough to send people to the hospital. Exposure to ozone and particulate matter have also been associated with premature death due to respiratory-related or cardiovascular-related effects. Children, the elderly, and people with pre-existing respiratory disease are particularly at risk for health effects of these pollutants.

 

VW may be liable for civil penalties and injunctive relief for the violations alleged in the NOV.

 

The allegations cover roughly 482,000 diesel passenger cars sold in the United States since 2008.

 

Affected diesel models include:

• Jetta (Model Years 2009 – 2015)
• Beetle (Model Years 2009 – 2015)
• Audi A3 (Model Years 2009 – 2015)
• Golf (Model Years 2009 – 2015)
• Passat (Model Years 2014-2015)
  

It is incumbent upon Volkswagen to initiate the process that will fix the cars’ emissions systems. Car owners should know that although these vehicles have emissions exceeding standards, these violations do not present a safety hazard and the cars remain legal to drive and resell. Owners of cars of these models and years do not need to take any action at this time.

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Volkswagen is gearing up expand their Chattanooga, TN plant, and that expansion could add as many as 2,400 jobs. Chattanooga currently builds the North American version of the Volkswagen Passat sedan and the expansion will be to grow capacity to build a new Volkswagen mid-size crossover SUV due in late 2016 as a 2017 model.

 

Part of the expansion will be a new Engineering and Planning center that will bring 200 jobs. The addition to the production facility will add another 1,800 new jobs once the plant is operational.

 

A study by the University of Tennessee Center of Business and Economic research estimates that on top of the 2,000 jobs provided by the plant expansion, another 7,800 job will be added to the economy via indirect jobs at auto parts suppliers and other ancillary jobs in the state.

 

During the construction and tooling phases, which are underway now, there will be around 5,300 temporary jobs added.

 

Volkswagen has shown a few mid-size crossover concepts in the auto show circuit in recent years. While we don't know the planned name yet, expect the SUV to look similar to the Volkswagen CrossBlue Concept and Volkswagen Crosscoupe GTE Concept.

 

Source: VW Media

 

Press Release on Page 2

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Herndon, VA (May 27, 2015) – A University of Tennessee Center of Business and Economic Research (CBER) study released today indicates that the expansion of Volkswagen’s Chattanooga manufacturing facility to produce a new midsize-SUV and the opening of a North American Engineering and Planning Center could create approximately 9,800 jobs and add $370 million in additional annual income, once the plant is fully operational.

 

“The findings in the CBER study demonstrate that the incentive package recently passed by the Tennessee legislature will result in an economic growth multiplier of several times the state’s investment,” said David Geanacopoulos, Executive Vice President for Public Affairs and General Counsel, Volkswagen Group of America, Inc. “We would like to thank Gov. Bill Haslam and Economic and Community Development Commissioner Randy Boyd for their leadership in fostering a business environment within Tennessee that is mutually-beneficial for the state and local economy as well as for companies like Volkswagen that have operations in the state.”

 

In addition to the 2,400 Tennessee workers directly employed by Volkswagen, the study projects that Volkswagen’s $704 million investment in the Chattanooga plant expansion, including the opening of a new North American Engineering and Planning Center, has the potential to:

• Generate $217 million of new income and more than 5,300 indirect and direct jobs in Tennessee during the construction and tooling phase
  

• Create roughly 9,800 jobs, once the plant is fully operational, including 1,800 potential jobs at the production plant, 200 engineering jobs at the VW North American Engineering and Planning Center, as well as positions at auto parts suppliers, and other jobs throughout Tennessee
  

• Be responsible for $370 million in additional annual income, once the plant is fully operational
  

“Extensive supplier linkages and good incomes earned by Volkswagen employees account for the significant employment gains and economic multiplier effects in Tennessee,” said William Fox, the study’s author and Director of the Center for Business & Economic Research at the University of Tennessee. “This includes jobs in many industries across the state, such as grocery stores, restaurants, shopping malls and construction.”

 

Construction for the Volkswagen Chattanooga expansion project is currently underway, and is expected to be completed during the summer of 2016. Production of the Volkswagen midsize-SUV is scheduled to commence at the end of 2016, marking the second Volkswagen model to be produced in Chattanooga, in addition to the Passat.

 

“The study underscores Volkswagen’s commitment to Tennessee, and we are excited to grow our team and the Chattanooga plant as we gear up for the production of our first-ever seven-passenger SUV for the U.S. market,” said Christian Koch, President and CEO, Volkswagen Chattanooga. “We appreciate our partnerships with Hamilton County Mayor Coppinger and Chattanooga Mayor Berke, as well as Governor Haslam, for their ongoing support of Volkswagen’s expansion in Chattanooga.”
The CBER study is commissioned by Volkswagen Group of America. Findings within the study are independent calculations by CBER researchers.

 

A full copy of the new study is available here: http://cber.haslam.utk.edu/pubs/bfox309.pdf.
CBER’s press release is available here: http://tntoday.utk.edu/2015/05/27/ut-study-volkswagen-plant-expansion-add-9800-jobs-state-economy/.

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Breaking news coming out of Germany today as Volkswagen Chairman and grandson of the company's founder, Ferdinand Piëch announced his resignation after losing a public battle to try an oust Volkswagen's chief executive, Martin Winterkorn.

"The members of the Executive Committee have unanimously determined that in view of the background of the last weeks the mutual trust necessary for successful cooperation no longer exists," said Volkswagen's Supervisory Board in a statement today.

"For this reason Professor Dr. Ferdinand K. Piëch has resigned with immediate effect from his position as Chairman of the Supervisory Board and from all his mandates as a Supervisory Board member within the Volkswagen Group."

The battle began earlier this month when Piëch told German publication Der Spiegel: “I am at a distance to Winterkorn.” In other words, your time is up.

But Volkswagen's supervisory board weren't taking the bait.

"The executive committee of the supervisory board of Volkswagen AG states that prof. Dr. Winterkorn is the best possible chairman of the board of management for Volkswagen,” the board said in a statement a few days after Piëch's comment.

Piëch's comment came as a surprise to many, but some believe it has merit. Volkswagen has been having a number of problems ranging from a lack of vision for the future, to struggling in the American marketplace.

Piëch pulled this same stunt back in 2006 when he attacked then-CEO Bernd Pischetsrieder. Although Pischetsrieder was awarded an extension on his contract and got a sudo-apology from Piëch, he was ousted six months after the attack.

Piëch's resignation ends an era at Volkswagen where helped bring the company as a major player in the industry.

For the time being, Berthold Huber will assume interim leadership of the board till a new chairman is found.

Source: Wall Street Journal (Subscription Required), Car and Driver, Volkswagen

Press Release is on Page 2

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Wolfsburg, 2015-04-25

Statement of the Executive Committee of the Supervisory Board of Volkswagen AG

The Executive Committee of the Supervisory Board of Volkswagen AG discussed again today in detail the situation of the Volkswagen Group.

1. The members of the Executive Committee have unanimously determined that in view of the background of the last weeks the mutual trust necessary for successful cooperation no longer exists.

2. For this reason Professor Dr. Ferdinand K. Piëch has resigned with immediate effect from his position as Chairman of the Supervisory Board and from all his mandates as a Supervisory Board member within the Volkswagen Group. In addition, Ms. Ursula Piëch has resigned with immediate effect from all her Supervisory Board mandates within the Volkswagen Group.

3. The position of Chairman of the Supervisory Board will be temporarily assumed by the Deputy Chairman Berthold Huber. Mr. Berthold Huber will chair both the Supervisory Board meeting on May 4 as well as the Annual General Meeting on May 5, 2015.

4. Under the chair of Mr. Berthold Huber the representatives of shareholders and employees will in close cooperation determine the candidate for the new Chairman of the Supervisory Board. The election of the future Chairman of the Volkswagen Supervisory Board will follow a proposal made by members of the Supervisory Board representing shareholders.

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For the past year, there was a far fetched rumor flying around that Volkswagen was working on a high-performance version of the XL1 hyper-efficient vehicle with some help from the recently bought Ducati. Well it seems that wasn't as far fetched as many thought. Meet the Volkswagen XL Sport Concept.

The concept uses a Ducati V-twin engine from of the 1199 Superlegerra motorcycle which is capable of 197 horsepower. Placed into a vehicle with a curb weight of 1,962 pounds, the XL Sport has a power to weight ratio of 9.95:1. Volkswagen quotes figures such as 11,000 rpm redline, 5.7 seconds to hit 60 MPH, and a top speed of 168 MPH.

Aside from the performance and weight, the XL Sport also has aero on its side. The XL Sport has a 0.258 coefficient of drag and a frontal area of only 1.7 square meters, making this one of most aerodynamic vehicles ever built.

A peek under the skin reveals strengthened steel suspension subframes, acing-style pushrod rear shock absorbers, carbon-ceramic brakes, and a set of wider performance tires.

Source: Volkswagen

William Maley is a staff writer for Cheers & Gears. He can be reached at william.maley@cheersandgears.comor you can follow him on twitter at @realmudmonster.

Press Release is on Page 2

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XL SPORT, FEATURING HIGH-TECH DUCATI V-TWIN ENGINE, MAKES ITS DEBUT AT THE PARIS MOTOR SHOW

• 197-horsepower sports car is based on the XL1, has a top speed of 168 mph and promises incredible track performance
  
• XL Sport uses the world's most powerful two-cylinder engine
  
• Better aerodynamics than any other sports car
  
• Ducati Superleggera V-Twin engine revs to 11,000 rpm
  
• Car accelerates from 0 to 62 mph in 5.7 seconds
  
• High-tech engine features titanium connecting rods, desmodromic valvegear, and magnesium-alloy components
  
• Completely new chassis uses a motorsports-derived features
  

Wolfsburg / Paris, October 2014 —There has never been a sports car like the XL Sport concept that is being shown for the first time by Volkswagen at the Paris Motor Show. This is a car that uncompromisingly furthers the development of the lightweight sports car. Based on the XL1, the most fuel-efficient production car of all time, this 168-mph machine is a compelling blend of efficiency and emotion.

The XL Sport houses one of the finest achievements in engine technology—the V-Twin adapted from the new Ducati 1199 Superleggera, the world's most powerful two-cylinder motorcycle. Like the XL1, of which only 250 will be built, the Superleggera is also being manufactured in a limited edition of 500 units, using a process that embraces hand fabrication and high-precision industrial manufacturing. The XL1 and the Superleggera, two icons of lightweight carbon and magnesium design technology, thus unite to create a unique sports car. With the XL Sport, Volkswagen and Ducati impressively demonstrate how high-tech developments can lead to synergies between Volkswagen Group brands.

Pioneering aerodynamics. The Ducati 1199 Superleggera has the best power-to-weight ratio of any production motorcycle in history. In the car world, the XL Sport achieves a similar record—the best ratio between weight (1962 pounds), power (147 kW/197 hp) and aerodynamics (CdA of 0.44 square meters). It’s a combination that allows the car to reach an impressive top speed of 168 mph on just 197 hp.

The vehicle's aerodynamics are one key reason the car performs so well. The coefficient of drag (Cd) of 0.258 and the low frontal area of 1.7 sq m combine to give a CdA of 0.44 sq m, one of the best values ever achieved and a major triumph for Volkswagen's aerodynamicists and designers. The achievement is made all the more impressive due to the fact that the concept's performance-car design brief demanded wide tires, apertures for cooling air, and optimal downforce.

There are a number of individual features that contribute to the XL Sport's arrow-like performance, in addition to the uncompromising styling. These include special vanes that direct the air at the front into specific channels, wheelarch vents, an optimized underbody, lift-reducing air ducts in the hood, an extendable rear spoiler (powered by the same unit as in the Lamborghini Aventador), and adaptive air vents incorporated in the rear hatch.

The world's most powerful two-cylinder engine. The Ducati 1199 Superleggera's V-Twin engine was slightly modified for use in the XL Sport, but is basically the same as the motorcycle’s. Thanks to its tough, lightweight titanium connecting rods, the 1199 cc double-overhead-camshaft engine can rev up to 11,000 rpm. The Superquadro's high speeds are made possible by its extreme bore/stroke ratio of 112 mm by 60.8 mm and the exceptionally short crankshaft stroke associated with it.

In addition, the two four-valve cylinders, which are arranged at an angle of 90 degrees to each other, feature desmodromic valve control (positive valve closure) that is typical of the high-revving Ducati engines and requires the finest of precision engineering to ensure optimum valve clearance. Other features of the world's most powerful two-cylinder engine are the use of magnesium-alloy for the clutch, cylinder head, and oil pan covers, the two throttle valve discs, and the two fuel injectors per cylinder. Last but by no means least, the XL Sport has a newly developed step-down transmission to reduce engine speeds by a factor of 1.86. Torque from the V-Twin engine (99 pound-feet) is transmitted to the rear axle via a seven-speed DSG® dual-clutch automatic transmission. From a standing start, the XL Sport takes 5.7 seconds to reach 62 mph.

Racing chassis. The significantly redesigned chassis, high-revving engine, and aerodynamic performance firmly plant the XL Sport in the racing realm. The chassis incorporates high-strength steel subframes which house upper and lower control arms at the front with pullrod actuation for the dampers, while the control arms at the back have pushrods—similar to the layout for a racing car. The forged magnesium-alloy wheels, which save 53 pounds compared to aluminum-alloy rims, are fitted with 205/40 R18 front and 265/35 R18 rear high-performance tires. The XL Sport has a powerful ceramic brake disc setup.

CFRP body. Because the XL Sport is a sister model to the XL1, it shares the same basic design. Like the XL1, the central monocoque and most of the body panels are manufactured in carbonfiber-reinforced polymer (CFRP) using the RTM (Resin Transfer Molding) process. The monocoque features slightly offset seats for the driver and passenger.

The wing doors of the XL1 and XL Sport are reminiscent of a high-end sports car’s. They are hinged at two points: low on the A-pillars and just above the windshield in the roof frame, so they swivel upwards and slightly forwards as well. The doors also extend far into the roof, giving an exceptionally large amount of entry and exit space. In order to keep the weight as low as possible, the windows are made from polycarbonate and are fixed in place: just a segment of the lower area of the side windows can be opened.

Compelling proportions. Despite sharing its underlying design with the XL1, the XL Sport has a look of its own. The reason for this is that the XL1 was designed for ultimate fuel efficiency, whereas the XL Sport’s design brief included uncompromising driving dynamics. The XL Sport is longer and wider than the XL1 because of the need for additional downforce on a 168-mph car and because of the packaging requirements of the chassis and powertrain. The XL Sport showcased in Paris is 168.9 inches long (versus 153.1 in for the XL1), 72.7 in wide (65.5 in), and 45.4 in mm high (45.4 in). The wheelbase has also been increased to 95.4 in, up from : 87.6 in.

Design concept. As outlined above, the concept car builds on the dynamic and expressive design of the XL1. The surfaces have an even more muscular appearance as they extend over the significantly broader fenders and the large wheels.

The XL Sport’s broad front section is marked out by dual LED headlights and the XL1’s signature LED daytime running lights. The XL Sport features air intakes on either side of the headlights for the vanes which feed the air around the car's front end. In common with the XL1, the front section of the XL Sport does not have a conventional radiator grille, yet it retains the current Volkswagen design DNA, with horizontal lines dominating this area. The cooling air supply for the Ducati engine is via vents in the rear fenders.

Whereas the XL1 is at its widest at the front and tapers towards the rear, the XL Sport is just as wide at the back as at the front. From above, the shape is that of a classic racing car, with a waisted cockpit area. Air intakes and outlets at the A- and B-posts ensure optimal air flow and cooling for the drive unit. Like the XL1, there are no conventional door mirrors: instead, they are replaced by e-Mirrors, small streamlined cameras integrated in the fenders that send images of the surroundings behind the car to two displays inside the vehicle. In front of the rear wheelarches, the 'Motore Ducati' lettering refers to the 1199 Superleggera engine in the rear.

At the rear, the new XL Sport has four specific eye catching features. First, the extremely wide, flat rear has distinctive “shoulders” above the wheels and an extendable rear spoiler that occupies almost the full width. Second, as with the XL1, there is a coupe-shaped roofline without a rear windshield. The rear hatch that merges into the roofline conceals the Ducati engine, the seven-speed DSG transmission and 3.8 cubic feet of luggage space, and incorporates five louvers that open automatically to cool the drive unit. Third, the iconic red LED ribbon follows the shape of the rear section and is framed at the sides by another, vertical, LED element which serves to emphasize the XL Sport’s width. Fourth, there is a black diffuser that merges almost seamlessly into the completely enclosed underbody and is finished at each side with a chrome exhaust tip.

Interior design. The interior of the XL Sport is based on the XL1’s, but has been modified and individualized to conform with the change in the vehicle's mission. For example, the XL Sport boasts a digital instrument cluster that includes a lap timer and oil pressure display. A carbonfiber cowl extends across the top of the instrument cluster to completely eliminate reflections. The XL Sport's steering wheel has decorative red stitching and has been equipped with aluminum-alloy shift paddles to facilitate ultra-quick gear shifts. There are further classy details to add a sporty touch, with anodized aluminum accents around the air vents, the climate control fascia and the DSG shift gate. The seat belts are red, picking up on the theme of the contrasting red stitching on the steering wheel.

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This morning, Volkswagen announced that it will build the upcoming seven-seat crossover at its Chattanooga, Tennessee plant starting in 2016. The seven-seat crossover will see Volkswagen investing $900 million into the plant and add 2,000 jobs. The investment will also include retooling for the plant so it can build vehicles based on the MQB platform.

“The Chattanooga-built midsize SUV will allow us to fulfill the wishes of our dealer network, bringing new customers to our showrooms and additional growth for the brand. We are eager to be entering this growing vehicle segment with a world-class, seven-passenger SUV from Volkswagen,” said Michael Horn, President and CEO Volkswagen Group of America.

Volkswagen has been having a tough time in the U.S. with sales. The German automakers hopes a seven-seat crossover will reverse their fortunes.

That's not the only investment Volkswagen is making into the U.S. The company also announced $7 billion investment in its U.S. operation by 2018. Part of that investment will go to a new R&D facility in Tennessee that will employ 200 engineers.

“The United States of America is and will remain one of the most important markets for Volkswagen. We are now launching the second phase of the Volkswagen campaign in the US,” said Volkswagen CEO Martin Winterkorn.

Source: Volkswagen

William Maley is a staff writer for Cheers & Gears. He can be reached atwilliam.maley@cheersandgears.comor you can follow him on twitter at @realmudmonster.

Press Release is on Page 2

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New Midsize SUV From Volkswagen To Be Produced In Chattanooga

• Winterkorn: “This model will play a key role for Volkswagen’s presence in North America”
  
• Volkswagen Group of America to invest approximately $900 million in the project
  
• Second model to be produced in Chattanooga, in addition to the US-built Passat, starting from the end of 2016
  
• Approximately 2,000 additional jobs to be created
  
• Establishment of a National Research & Development and Planning Center in Chattanooga
  
• Group Works Council Chairman Osterloh to be named a member of the Board of Directors of Volkswagen Group of America
  

Wolfsburg, July 14, 2014 – Within the framework of its Strategy 2018 plan, the Volkswagen Group is expanding its industrial footprint in the US. The Board of Directors of Volkswagen Group of America has decided to award the production of the new midsize SUV to the Chattanooga plant in Tennessee. The Group will be investing a total of approximately US$900 million (€643 million) in the production of a newly developed, seven-passenger SUV, and creating 2,000 additional jobs in the US. About US$600 million (€432 million) will be invested in Tennessee.

“The United States of America is and will remain one of the most important markets for Volkswagen. Over the past few years, we have achieved a lot there. We are now launching the second phase of the Volkswagen campaign in the US. With the midsize SUV, the expansion of the Chattanooga plant and the new development center, the focus is on the wishes of the US customer. This is also a strong signal for the US as an industrial and automobile production location. The Volkswagen brand is going on the attack again in America,” said Prof. Dr. Martin Winterkorn, Chairman of the Board of Management of Volkswagen Aktiengesellschaft, in Wolfsburg.

“The Chattanooga-built midsize SUV will allow us to fulfill the wishes of our dealer network, bringing new customers to our showrooms and additional growth for the brand,” said Michael Horn, President and CEO Volkswagen Group of America. “We are eager to be entering this growing vehicle segment with a world-class, seven-passenger SUV from Volkswagen.”

Apart from investing in the production of a new vehicle, the Chattanooga location is to receive a new, independent National Research & Development and Planning Center of the Volkswagen Group of America for project coordination in the North American market. The objective is to identify customers’ feedback in the market and to integrate them more expeditiously into existing and planned vehicle models. This will lead to the creation of approximately 200 qualified engineers working in Chattanooga. This decision is another element in the investment program that the Volkswagen Group has launched in the region. From 2014 to 2018, the Volkswagen Group will be investing more than US$7 billion in the US and Mexico. It is Volkswagen’s goal to deliver 800,000 vehicles in the US by 2018.

"Today is an exciting day not just for Chattanooga and Hamilton County but for all of Tennessee, and I want to thank Volkswagen for its significant long-term investment in our state,” Governor Bill Haslam said. “The impact of this announcement goes far beyond the 2,000 new jobs because of the large multiplier effect of the automotive industry, and adding an additional manufacturing line and the National Research & Development and Planning Center sends a clear signal that Tennessee can compete with anyone in the global marketplace.”

Christian Koch, CEO and Chairman of Volkswagen Group of America Chattanooga Operations, said: “We are proud to be making the new midsize SUV here. This is fantastic news for the plant and proof of the confidence placed in the workforce that does a great job here making high-quality cars every day.”

At Chattanooga, the new SUV will be integrated into existing plant structures. Existing areas in production will be used for the assembly of the midsize SUV. A total floor space of 50,000 m² (approx. 538,000 sq ft) will be added to the existing production facility. The midsize SUV, which is based on the CrossBlue concept vehicle, was developed especially for the North American market. The CrossBlue made its global debut at the 2013 North American International Auto Show in Detroit.

Today, Volkswagen also announced that the Chairman of the Group Works Council of Volkswagen, Bernd Osterloh, will join the Board of Directors of Volkswagen Group of America, Inc. "We are pleased that Mr. Osterloh has declared his willingness to play a concentrated role in shaping our US strategy in the future. He will represent the views of the workforce. This is in line with the codetermination culture of Volkswagen, which is one of our key success factors,” Prof. Dr. Winterkorn said.

Osterloh stated: "It is important for us that our colleagues in the U.S. know that we also care about the production site and the employment in Chattanooga. I am looking forward to my work on the Board. I am determined to uphold the interests of Volkswagen employees in Chattanooga. The North American market offers considerable opportunities; in my opinion, these have not been pursued with sufficient consistency in the past. With today’s decision to produce the midsize SUV in the USA, we are taking a key step.”

“Hamilton County is pleased to partner with Volkswagen as they create 2,000 new family-wage jobs which will also generate very positive economic ripple effects for residents throughout our community,” said Hamilton County Mayor Jim Coppinger. “By working with Volkswagen to build on the tremendous success of their initial job creation project, we are establishing a foundation for continuing economic growth for years to come.”

“Volkswagen is one of Chattanooga’s largest and most valued employers. They have brought 12,400 living-wage jobs to our region, employed Chattanoogans and helped build our middle class. This expansion will result in a huge capital investment and thousands of new jobs,” said Chattanooga Mayor Andy Berke. “From day one, the City and County have worked hard to see today become a reality, when we can announce that Volkswagen will be adding more jobs, more investment and expanding their presence in Chattanooga.”

“This announcement is great for Chattanooga and great for Volkswagen,” said Ron Harr, president & CEO of the Chattanooga Chamber. “Thanks to Volkswagen’s expansion, we will have a much easier time recruiting additional automotive suppliers to help them build out their supply chain while also cementing Chattanooga as ‘The Center of the Automotive South.’”

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It has been almost a year since Volkswagen introduced the U.S. to the seventh-generation GTI at last year's New York Auto Show. While we have to wait just till June for the GTI to arrive at dealers, the company has revealed the pricing for the hot hatch.

The 2015 GTI will start a price of $25,515 (includes a $820 destination charge) for the S model which gets you a turbocharged 2.0L four-cylinder with 210 horsepower and 258 pound-feet of torque, and a six-speed manual transmission. That will also get you a drive-mode selector, touchscreen radio, LED foglights, and heated front seats. Step to SE model which starts at $27,395 and comes equipped with a sunroof, keyless entry and start, leather, Fender audio system, and automatic headlights. The GTI Autobahn wraps up the lineup with a starting price of $30,415 and will come equipped with navigation, twelve-way power seat for the driver, and automatic air conditioning. The Autobahn will also be available in a four-door, the S and SE will be available in either two or four door.

As for options, all GTIs will be available with the six-speed DSG transmission for $1,100 and the performance pack which adds such goodies as a 10 horsepower boost, an electronically controlled limited-slip differential, and bigger brakes for $1,495. SE and Autobahn models with the performance pack also get adaptive damping.

Source: Volkswagen

Press Release is on Page 2

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VOLKSWAGEN ANNOUNCES PRICING OF 2015 GOLF GTI MODELS, STARTING AT $24,395

• The latest Golf GTI adds more standard equipment and exciting new optional features
  
• Seventh-generation Golf GTI is bigger, lighter, faster, and more fuel-efficient
  
• Price rises just $195 over previous-generation GTI, despite more standard equipment and an increase of 10 horsepower and 51 pound-feet of torque from new EA888 TSI® engine
  
• Golf GTI Performance Package provides a great value at just $1495, includes electronically-controlled torque-sensing limited-slip differential
  
• Dynamic Chassis Control (DCC) adaptive damping to be offered as an option for the first time in the U.S.
  

New York – Today, Volkswagen of America, Inc., announced pricing of the 2015 Golf GTI models. The entry-level S trim starts at $24,395 (plus destination and handling) in two-door form with a six-speed manual transmission, an increase of just $195 over the base price of the previous-generation two-door GTI. Compared with the previous GTI, the all-new 2015 Golf GTI adds the following features as standard equipment:

• Latest EA888 turbocharged and direct-injection TSI® engine offering 210 horsepower (up 10 hp) and 258 pound-feet of torque (an increase of 51 lb-ft)
  
• Driving mode selection feature
  
• VW Car-Net® connected services
  
• Touchscreen radio
  
• Leather-wrapped multifunction steering wheel
  
• Ambient and footwell lighting with LED reading lights
  
• LED foglights
  

The 2015 Golf GTI will be offered in two other trim levels: SE and Autobahn. The SE model starts at $27,395 for the two-door model equipped with a manual transmission. The Autobahn model is available only in four-door form, starting at $29,595 when equipped with the manual transmission. A six-speed DSG® dual-clutch automatic is available as an $1100 option on all Golf GTI models.

Later in the year, Volkswagen will be offering the Performance Package, which includes larger brakes, a torque-sensing electronically-controlled limited-slip differential, and a 10 horsepower boost over the regular GTI, all for just $1495. The Dynamic Chassis Control (DCC) adaptive damping system will also be available later in the 2015 model year on the SE and Autobahn models with the Performance Package.

The seventh-generation Volkswagen Golf GTI manages to do the seemingly impossible. While it's bigger and more spacious than the car that it will replace, it's also lighter and more fuel- efficient. Volkswagen is predicting that the EPA estimated highway fuel economy rating will improve by three miles per gallon, to 34 mpg, for the model equipped with the manual transmission. Based on the new MQB (modular transverse matrix) architecture, the 2015 Golf GTI ends the cycle whereby new versions of a car end up heavier than the models they replace.

The 2015 Golf GTI is 2.2 inches longer and 0.5 inches wider than the current car. It is also 1.1 inches lower, which benefits both aerodynamic performance and the car's proportions. The interior package has been optimized to give 0.6 inches more rear-seat legroom and 1.2 inches of additional shoulder room in the back. The trunk is approximately 10 percent larger than in the car it replaces.

The seventh-generation Golf GTI will go on sale as a 2015 model in June. It will be built at Volkswagen's Puebla, Mexico factory.

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The workers Volkswagen's Chattanooga assembly plant in Tennessee have made their decision on union representation. On Friday night, retired Tennessee Circuit Court Judge Sam Payne released the results of the three day vote which saw workers say no to UAW representation by a vote of 712 people opposed to 626 people in favor.

"On behalf of Volkswagen Group of America, I want to thank all of our Chattanooga production and maintenance employees for their participation in this week's vote. They have spoken, and Volkswagen will respect the decision of the majority," said Frank Fischer, CEO and Chairman of Volkswagen Chattanooga.

The decision makes the Chattanooga plant an outlier in Volkswagen's portfolio of plants. Most of them are are unionized, relying on special works councils that represent employees in important business decisions. If the plant had approved the union representation, they would be represented by a work council.

It also deals a heavy blow to the UAW which for the past two years spent a lot of time and money working on trying to get the plant unionized.

"While we certainly would have liked a victory for workers here, we deeply respect the Volkswagen Global Group Works Council, Volkswagen management and IG Metall for doing their best to create a free and open atmosphere for workers to exercise their basic human right to form a union," said UAW President Bob King.

"We commend Volkswagen for its commitment to global human rights, to worker rights and trying to provide an atmosphere of freedom to make a decision. Unfortunately, politically motivated third parties threatened the economic future of this facility and the opportunity for workers to create a successful operating model that that would grow jobs in Tennessee," said UAW Region 8 Director Gary Casteel, who directs the union's Southern organizing.

Source: Automotive News (Subscription Required), UAW, Volkswagen

William Maley is a staff writer for Cheers & Gears. He can be reached at william.maley@cheersandgears.comor you can follow him on twitter at @realmudmonster.

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Historic election brings outside interference in the vote of Chattanooga Volkswagen workers

02/14/14 CHATTANOOGA, Tenn. – Workers at Volkswagen's Chattanooga plant today have voted against union representation that would have led to the establishment of a works council that would have been the first such model of labor-management relations in the United States.

At the end of voting on Friday, Volkswagen workers voted against joining the union in a vote of 712 to 626.

The decision follows three days of voting during an election supervised by the National Labor Relations Board and comes amid a firestorm of interference and threats from special interest groups.

"While we certainly would have liked a victory for workers here, we deeply respect the Volkswagen Global Group Works Council, Volkswagen management and IG Metall for doing their best to create a free and open atmosphere for workers to exercise their basic human right to form a union," said UAW President Bob King.

"We commend Volkswagen for its commitment to global human rights, to worker rights and trying to provide an atmosphere of freedom to make a decision," said UAW Region 8 Director Gary Casteel, who directs the union's Southern organizing. "Unfortunately, politically motivated third parties threatened the economic future of this facility and the opportunity for workers to create a successful operating model that that would grow jobs in Tennessee."

"While we're outraged by politicians and outside special interest groups interfering with the basic legal right of workers to form a union, we're proud that these workers were brave and stood up to the tremendous pressure from outside," said UAW Secretary-Treasurer Dennis Williams, who directs the union's transnational program. "We hope this will start a larger discussion about workers' right to organize."

VOLKSWAGEN CHATTANOOGA EMPLOYEES VOTE AGAINST UNION REPRESENTATION

Feb 14, 2014

Chattanooga, Tenn. (February 14, 2014) - Volkswagen Chattanooga employees have voted in a secret ballot election against United Auto Workers (UAW) representation. Participation in the election was 89 percent. 53 percent of the eligible employees who voted decided against the UAW as their bargaining representative in an election conducted by the National Labor Relations Board (NLRB) between February 12 – 14.

"On behalf of Volkswagen Group of America, I want to thank all of our Chattanooga production and maintenance employees for their participation in this week's vote. They have spoken, and Volkswagen will respect the decision of the majority," said Frank Fischer, CEO and Chairman of Volkswagen Chattanooga. "The election results remain to be certified by the NLRB," Fischer, said.

"Our employees have not made a decision that they are against a works council. Throughout this process, we found great enthusiasm for the idea of an American-style works council both inside and outside our plant," Fischer noted.

"Our goal continues to be to determine the best method for establishing a works council in accordance with the requirements of U.S. labor law to meet VW America's production needs and serve our employees' interests," Fischer said.

Sebastian Patta, Vice President for Human Resources, said: "While there was intense outside interest in this election, our managers and employees inside the plant maintained high quality production and continued to work together in a calm and respectful manner."

"Our commitment to Tennessee is a long term investment. We look forward to continuing to work with the State of Tennessee and the City of Chattanooga to support job creation, growth, and economic development today and into the future," Fischer added.

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William Maley

Staff Writer - CheersandGears.com

December 12, 2013

Surprising news coming from Volkswagen today. Jonathan Browning, CEO of Volkswagen of America has stepped down. In a statement, Volkswagen says Browning has left for personal reasons.

A former executive for Ford and General Motors, Browning became CEO of Volkswagen of America in 2010. During his tenure, Volkswagen saw sales rise 23 percent in 2011 and 30 percent in 2012. This year has seen sales decline five percent through most of this year with sales standing at 373,689 vehicles. Meanwhile, the automotive industry is experiencing growth of eight percent in the same time frame.

Browning's replacement is Michael Horn. Horn has been with Volkswagen since 1990. Before being announced as the new CEO, Horn was the head of VW global after sales.

Source: Automotive News (Subscription Required), Volkswagen

William Maley is a staff writer for Cheers & Gears. He can be reached at william.maley@cheersandgears.comor you can follow him on twitter at @realmudmonster.

Press Release is on Page 2

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Wolfsburg, December 12, 2013 – The Volkswagen Group has made new appointments to several management positions in After Sales and Sales with effect from January 1, 2014.

Michael Horn (51) is to become President and CEO of Volkswagen Group of America. Horn is a business administration graduate and joined Volkswagen in 1990, working on the Group and brand strategy. In 1997, he assumed responsibility for sales in North-Western Europe. He was Head of Sales North West Europe from 1997, Head of Sales and Marketing, Premium-Class Vehicles of the Volkswagen brand from 2001, and Head of Sales for Europe from 2004. In 2009, he was appointed Head of Volkswagen Global After Sales. In his new position, Horn is to succeed Jonathan Browning (54), who is leaving the Group for personal reasons and returning to the UK.

Axel Schulte-Hürmann (52) is to be the new Head of After Sales of the Volkswagen Passenger Cars brand, in which function he is to succeed Michael Horn.Schulte-Hürmann, who holds an engineering degree, joined the Volkswagen Group in 1987. Following various responsible positions in logistics, he was appointed Head of Sales Genuine Parts of the ŠKODA brand in 2001. In 2004, he became Managing Director of Volkswagen Genuine Parts Logistics. Since 2012, he has been Head of Supply Chain, Volkswagen Group Genuine Parts and Service.

Terence Johnsson (52) is to be Head of Overseas Sales with Audi. Johnsson, who holds a degree in business economics, started his career with General Motors in 1984. Following various responsible positions with GM Asia Pacific, he was appointed President and Managing Director with GM Middle East Operations in 2004. From 2008, he was Vice President Sales, Service and Marketing with GM in China. In 2011, Johnsson joined the Volkswagen Group, where he was Head of Volkswagen Passenger Cars Brand Sales, initially for North and South America and then, from August 2013, for North America.

Ludger Fretzen (48) is to be the new Head of Volkswagen Passenger Cars Brand Sales, North America, in which function he succeeds Terence Johnsson. Fretzen, who holds a degree in business administration, joined the Volkswagen Group in 1991. He became sales manager for Scandinavia at Volkswagen Passenger Cars in 1993, moving to Group sales management in 1996. Fretzen was given responsibility for product strategy in the Marketing division in 1998. He was in charge of global product marketing at Volkswagen Passenger Cars from 2000. In 2010, he was appointed CEO of Volkswagen-Audi España S.A.

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William Maley

Staff Writer - CheersandGears.com

August 22, 2013

Volkswagen has officially pulled back the curtain on the next-generation Golf R, making its debut at the Frankfurt Motor Show next month.

The new Golf R packs the same 2.0L turbo-four found under the new Audi S3 with 296 horsepower and 280 pound-feet of torque. Impressive numbers when compared to the outgoing Golf R which packed 256 horsepower and 243 pound-feet of torque. Power is channeled to all four wheels via Haldex system and the choice of either a six-speed manual or dual-clutch transmission.

Other changes to the Golf R include a 0.78 inch drop to the suspension, aggressive body kit, dual exhaust pipes popping out from the middle, and a choice of eighteen or nineteen-inch wheels.

Volkswagen says the Golf R will be going on sale in Europe sometime later this year. No word on when the U.S. will get it, but we're guessing sometime in late 2014 or 2015.

Source: Volkswagen

William Maley is a staff writer for Cheers & Gears. He can be reached at william.maley@cheersandgears.comor you can follow him on twitter at @realmudmonster.

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GOLF R – THE NEW FLAGSHIP

Volkswagen R GmbH workshop

Wolfsburg, August 2013

Power of the Golf R increased to 300 PS Fuel consumption with DSG reduced to 6.9 litres per 100 km

- New TSI propels Golf R with DSG to 100 km/h in 4.9 seconds

- Golf R makes its debut with a new 4MOTION all-wheel drive system and progressive steering

Wolfsburg, August 2013. It is the year of the Golf. The first six months of 2013 have already seen the debuts of the new Golf GTI, Golf GTD, Golf Estate and Golf TDI BlueMotion. Now, Volkswagen is continuing its Golf product offensive with the flagship of the model series – the new Golf R. The sports car is powered by a newly designed 300 PS TSI (221 kW), which is 30 PS stronger but up to 18 per cent more fuel efficient than that in the previous model. Like all three previous Golf R models, the new model also transfers its turbocharged engine power to the road via a permanent all-wheel drive system; in this case, it is the latest version of the 4MOTION system with a fifth-generation Haldex coupling. Delivering pure dynamic performance are a newly configured sport suspension system (body height lowered by 20 mm), the new progressive steering system and "ESC Sport" – which can now be fully deactivated for driving on a race track. Optional highlights include the further developed DCC dynamic chassis control system with the driving profile selector that features a new Race mode.

The Golf R with a manual gearbox reaches 100 km/h after just 5.1 seconds (previous model: 5.7 s); with an automatic dual clutch gearbox (DSG) the sports car completes the classic sprint in an even faster 4.9 seconds. The car's top speed is electronically limited to 250 km/h. Despite the car's exceptionally agile driving performance and 30 PS more power, fuel consumption of the Golf R was reduced from 8.5 to 7.1 l/100 km compared to that of the previous model. CO2 emissions were also improved from 199 to 165 g/km. Even more fuel efficient is the Golf R that is equipped with a Stop-Start system and battery regeneration, together with the optional 6-speed dual-clutch gearbox (DSG). In this configuration, fuel consumption is 6.9 l/100 km (159 g/km CO2). Fuel savings compared to the previous model with DSG (8.4 l/100 km) are 1.5 l/100 km, which represents the mentioned 18 per cent improvement.

The new Golf R is equipped with an extensive package of customised and exclusive features. Along with specially designed bumpers, side sills and 18-inch alloy wheels, the Golf R can also be visually distinguished as an impressive sports car by details such as standard bi-xenon headlights with newly designed LED daytime running lights (in dual-U design), dark red LED rear lights and two-branch exhaust system with four chrome tailpipes. Inside, the Golf R underlines its position as the flagship of the model range with sport seats in a "fabric-Alcantara" material mix, leather-trimmed three-spoke sport steering wheel, ambience lighting, automatic climate control and a radio-CD system with touchscreen. The market launch of the most powerful and fuel-efficient Golf R as a two and four-door car will take place in the fourth quarter of this year.

TSI engine of the Golf R

High-tech turbocharged engine. Like the current Golf GTI, the Golf R is powered by further advanced engine design of the four-cylinder EA888 engine series. Compared to the previous engine, numerous technical details were modified to reduce fuel consumption and emissions and at the same time to increase power and torque values. The engine has a newly designed cylinder head, for example. Compared to the 169 kW / 230 PS Golf GTI Performance, designers boosted engine power of the Golf R by 70 to 221 kW / 300 PS (from 5,500 to 6,200 rpm), creating one of the most powerful four-cylinder engines. Maximum torque has increased 30 Nm to 380 Newton metres; it is available over a broad speed range from 1,800 to 5,500 rpm. To attain these values, the TSI, with a displacement of 1,984 cc, was subjected to a development programme similar to that of a motorsport engine. The following components were modified or completely redesigned compared to the already highly agile GTI engine: the cylinder head (together with exhaust valves, valve seats and springs), pistons, high-pressure injection valves as well as the turbocharger.

Efficient thermal management. The turbocharged direct petrol injection engines of the EA888 series all have innovative detailed solutions such as water-cooled exhaust gas channels running through the cylinder head to the turbocharger (to reduce efficiently full-load fuel consumption) and a dual injection system with direct injection and multi-port injection. Thanks to its new fully-electronic coolant control system, thermal management of the TSI in the Golf R is also much more efficient with a reduced warm-up phase; this reduces friction losses and fuel consumption. In addition, the TSI has variable valve timing with dual camshaft adjustment. In addition, valve lift on the exhaust side can be switched in two stages. This solution enables optimal control of the charge exchange process for better performance, fuel economy and low emissions.

4MOTION all-wheel drive in the Golf R

Fifth-generation Haldex coupling. Permanent 4MOTION all-wheel drive has always been a trait of the Golf R. The latest generation 4MOTION system is now being used in the fourth-generation Golf R. This all-wheel drive system is coupled with a 6-speed gearbox that has a reinforced clutch and short-travel shifting. Another optional feature is automatic shifting with a 6-speed dual-clutch gearbox (DSG) that also offers manual shifting as an alternative.

The 4MOTION all-wheel drive system of the Golf R, further perfected by enhancements such as the Haldex 5 coupling, is activated even before any wheel starts to slip. This eliminates nearly all traction losses. The system achieves this by using an advanced control function based on specific driving conditions. When operating under a relatively low load or when coasting, forward propulsion comes primarily from the front axle, and the rear axle is decoupled. This basic drive layout saves fuel. However, the rear axle of the Golf R can be variably engaged in fractions of a second whenever necessary. This is done via a Haldex coupling, which is activated by an electro-hydraulic oil pump.

Situation-based power distribution. A control unit continually calculates the ideal drive torque for the rear axle and controls how much the multi-plate clutch should be closed by activating the oil pump. The oil pressure increases the contact pressure at the clutch plates in proportion to the torque desired at the rear axle. So, the amount of pressure applied to the clutch plates can be used to vary continuously the magnitude of the transmitted torque. The wheels of the 300 PS Golf R are prevented from spinning even when driving off and accelerating, because the control unit regulates the torque distribution as a function of dynamic axle loads. Activation of the Haldex 5 coupling is based primarily on the engine torque demanded by the driver. In parallel, a driving status identification system within the all-wheel drive control unit evaluates such parameters as wheel speeds and steering angle. If necessary, nearly 100 per cent of the drive torque can be directed to the rear axle.

Four-wheel EDS as transverse locks. In addition to the Haldex coupling that acts as a longitudinal lock, four electronic differential locks (EDS) integrated in the electronic stability control system act as transverse locks. The system briefly brakes a wheel that is slipping, enabling uninterrupted and stable transfer of drive power to the wheel on the opposite side. In the Golf R, the electronic differential locks are implemented at both axles in what is referred to as four-wheel EDS.

XDS+ makes tracking in bends more precise. In addition, the Golf R is equipped with XDS+ at the front and rear axles. This brakes the wheels on the inside of a bend during fast driving through bends, optimising steering behaviour. In the latest version, known as XDS+, this functionality is applied to a larger range of dynamic performance – making the vehicle more agile even when the car is not in an acceleration state. In technical terms, XDS+ is a functional extension of the electronic differential locks. When the car is being driven fast, as soon as the electronics detect excessively light loads on wheels on the inside of a bend, the hydraulics of Electronic Stability Control (ESC) apply brake pressure to this wheel to restore optimal traction. XDS+ thereby operates as a transverse differential lock that compensates for understeer during fast cornering.

ESC Sport. The new Golf R is equipped with the "ESC Sport" function as standard. The system is activated by a two-stage switch on the centre console. When the driver presses this switch briefly, Electronic Stability Control (ESC) switches to the "ESC Sport" mode. In very fast driving with lots of bends – such as on a race track – the ESC system reacts with a delay, which enables even more agile handling properties. When the ESC button is pressed for longer than three seconds, the system is fully deactivated for professional driving on a race track – this deactivation is only available in the Golf R and not in any other models of the Golf series.

Sport suspension of the Golf R

Synthesis of sportiness and comfort. The Golf R has a sport suspension setup that is individually tuned to the 300 PS all-wheel drive car. Compared to the base Golf, its ride height was lowered by 20 mm, which makes the Golf R 5 mm lower than the GTI. In the Golf R, a MacPherson-type front suspension (spring struts) with a newly developed low wishbone and track-stabilising scrub radius delivers optimal handling and steering properties and well-balanced vibration behaviour. The multi-link rear suspension of the all-wheel drive Golf R was enhanced in numerous areas; among other improvements, Volkswagen perfected this modular high-performance suspension's lateral rigidity, which is necessary for steering, by implementing new bearing tuning of the steering link.

Dynamic performance. Engineers designed the basic tuning of the running gear of the new Golf R for maximum driving fun combined with extraordinary driving stability and good long touring comfort. Compared to the previous model, steering response was made even more agile with direct steering gear ratios by the car's progressive steering system. In addition, maximum attainable speeds were significantly increased when driving through bends. The running gear was tuned to be more neutral for this purpose, avoiding understeering all the way up to the car's performance limits.

The new calibration of the all-wheel drive system makes a decisive contribution towards achieving neutral handling. Response times of the Haldex coupling were minimized, and the drive torques that occur in specific driving situations were optimized for maximum neutrality, avoiding self-steering effects even under high load. The result is more uniform and predictable steering response in bends.

To attain optimal mechanical grip, stiffness values were precisely controlled for springs and anti-roll bars and intentionally designed not to be too stiff. In conjunction with the extremely fine adjustment of damper characteristics, the new Golf R shows an exceptional ability to follow the line the driver wants to drive precisely – on both flat and uneven route profiles. This makes handling very precise and smooth up to performance limits. The car's neutral handling in curves is also combined with very good driving stability thanks to the innovative layout of all running gear components. This excellent driving stability is especially noticeable in lane changes and load alterations. In tuning the new Golf R, the development team also focused on harmonious and predictable reactions of the running gear.

Ride comfort. Along with dynamic performance, suspension comfort was perfected compared to the previous model. The running gear harmoniously absorbs both small and large unevenness of the road surface. With the very large spread of positive properties mentioned – direct, neutral and stable handling combined with a high level of ride comfort – the running gear of the Golf R delivers a unique synthesis of maximum dynamic performance and ideal long touring capabilities.

Progressive steering. Like the Golf GTI, the Golf R is equipped with the newly developed progressive steering system as standard. Drivers do not need to turn the steering wheel as much to turn a desired radius; they also do not need to reach over the steering wheel as often in tight bends. With progressive steering, it takes 2.1 turns of the wheel (380°) to reach the end stop; with the standard steering system of less powerful Golf models it takes 2.75 turns (500°). Background: Conventional steering systems operate with a constant gear ratio. The new steering of the Golf R meanwhile operates with a progressive steering gear ratio. This perceptibly reduces steering effort in manoeuvring and parking. On country roads with lots of bends, and when making turns, the driver experiences a plus in dynamics due to the more direct layout.

DCC. The new Golf R can be ordered with the second generation of DCC dynamic chassis control as an option. DCC offers the three driving modes 'Comfort', 'Normal' and 'Sport', which are now selected and displayed via the touchscreen on the centre console as part of the "Driving Profile Selector" functionality. In "Sport" mode, even more dynamic handling is implemented.

The DCC system adaptively controls the damper valves via a further developed and refined control algorithm for setting the damper characteristics. DCC takes input signals from wheel displacement sensors and accelerometers as well as vehicle information from the Chassis-CAN bus to compute these values and adaptively adjust the optimal damping force for every driving situation. Moreover, damping forces are selectively applied to the four wheels individually. With the new generation of DCC, it is now also possible to fully independently vary rebound and compression damping for transverse dynamic manoeuvres – a significant benefit in optimising vehicle dynamics.

Driver profile selector with Race mode. New in the Golf R is the Driving Profile Selector that is a standard feature of DCC. A total of four programmes are available, and five driving programmes in conjunction with DCC: "Eco", "Normal", "Individual" and the special "Race" mode that was specially tailored to the Golf R. In combination with DCC, "Comfort" mode is also available. All modes were specifically tuned for application in the Golf R.

In "Race" mode, damping is increased (which further reduces movements of the body structure), and engine response and shift points of the (optional) DSG are configured to be even more dynamic. In the "Individual" driving profile, the driver can individually combine mode settings for the various single components. When in the "Eco" driving profile, on the other hand, the engine controller, air conditioning and other auxiliary units are controlled for optimal fuel economy. Vehicles with DSG also have a coasting function in Eco mode. When the driver releases the accelerator pedal – e.g. when slowing down to a traffic light or on route segments with descents – the DSG disengages and the engine idles, which enables optimal utilisation of the kinetic energy of the Golf R.

Brakes. The extremely durable brakes were also adapted to the higher power levels of the Golf R. Here, Volkswagen uses a 17-inch system with internally ventilated discs and black brake callipers (with "R" logo) at all four wheels. In front, the brake pistons have a diameter of 60 mm, while 42 mm pistons are used at the rear. The 30 mm thick brake discs of the front wheels have a diameter of 340 mm; the rear discs are 22 mm thick and 310 mm in diameter.

Exterior of the Golf R

Customised styling. Volkswagen R GmbH has developed numerous new exterior details for the flagship Golf. They include the bumpers, side sills, rear diffuser, chrome dual tailpipes of the exhaust system (left and right of the diffuser), layout and lighting design of the bi-xenon headlights and standard 18-inch and optional 19-inch alloy wheels.

Front end. The Golf R can be distinguished from the front by a new bumper design with exceptionally large air inlets, modified radiator grille (with "R" logo) and newly developed daytime running lights that are integrated into the housings of the bi-xenon headlights. The LED daytime running lights form a distinctive dual "U" design beneath the dual headlights.

Side profile. From the side, the Golf R is characterised by newly designed 18-inch "Cadiz" alloy wheels with size 225/40 tyres, black brake callipers with "R" logo, side sill panels in "R" style painted in body colour, "R" badges on the front wings and "Matt chrome" door mirror caps. The sports car may also be ordered with optional 19-inch alloy wheels; Volkswagen R GmbH also offers "Cadiz" wheels in this size; in addition, "Pretoria" wheels are exclusively available in 19-inch format as "flow-forming" wheels (especially lightweight and sturdy) in motorsport design.

Rear section. Rear details that define the look of the new Golf R include smoked LED rear lights with a distinctive light-coloured stripe in the middle, diffuser in "R" design, four chrome tailpipes and an "R" logo on the boot lid.

Eight colours. The range of exterior paints comprises eight body colours. A new paint was created specifically and exclusively for the Golf R: "Lapis Blue Metallic". Alternative colour choices are "Pure White", "Tornado Red", "Night Blue", "Limestone Grey Metallic", "Reflex Silver Metallic", "Deep Black Pearl Effect" and "Oryx White".

Interior of the Golf R

Sport seats in cloth/Alcantara with carbon-look leather. As in the three previous Golf R models, Volkswagen R GmbH has extensively customised and upgraded the interior of the new model as well. This most powerful Golf is equipped with what are known as top sport seats (front). The middle panels are designed in "Race" fabric ("Titan Black") with black backstitching. Meanwhile, the side panels are executed in Alcantara ("Crystal Grey"). The outer surfaces of the seats and the head restraints are designed in "Clip" cloth upholstery ("Titan Black"). Decorative seams in "Crystal Grey" form a contrast to the dark areas. An "R" logo is embossed on the backrests of the front seats.

As an option, Volkswagen also offers a Nappa-carbon leather package. Here, the outer seat surfaces, inner side support panels and head restraints are all upholstered in dark "Carbon" Nappa leather. Meanwhile, the middle seat panels may be ordered in either dark or light Nappa leather ("Anthracite" or "Modern Grey"). The decorative seams are "Crystal Grey" in the leather upholstery version as well. Leather is also used to trim the upper and lower grip zones of the three-spoke sport steering wheel in "R" design. Last but not least, the steering wheel's lower cross bar has a chrome "R" logo. Here too, all leather elements are upgraded by decorative stitching in the contrasting colour "Crystal Grey".

The decorative inlays of the dashboard and door trim panels feature the "Carbon Touch" design; ambience lighting is also integrated in the door trim panels as standard. The door sill guards are illuminated as well (in blue). The pedals and foot supports are also designed in stainless steel look as standard. Customisation extends down to the floor mats, which have upgraded piping in a contrasting colour.

Instruments in "R" design. The instruments and the start menu of the touchscreen on the centre console were also customised. To give a sporty feel from the very start, when the ignition is switched on the illuminated light-blue needles of the tachometer and speedometer sweep once across the entire scale to the end pin – in the case of the speedometer to the 320 km/h mark. The instrument needles are also automatically illuminated as soon as the driver's door is opened. The touchscreen of the radio or radio-navigation system (Composition Touch radio is standard) shows an animated "R" logo as a start screen. Also new and upgraded with an "R" badge is the accessory used to start the Golf R: the ignition key, specifically its case; it represents perfection in the smallest details.

Radio and radio-navigation systems. Volkswagen is equipping the Golf R with redesigned radio and radio/navigation systems. All systems have a touchscreen as standard. The new device generation is available in three different display sizes: 5 inches, 5.8 inches and 8 inches. For the first time, Volkswagen is implementing displays that have proximity sensors (5.8-inch display and above): as soon as the driver or front passenger moves a finger near to the touchscreen, the system automatically switches from display mode to input mode. The display mode shows a screen that is reduced to just the essentials. In the operating mode, on the other hand, the elements that can be activated by touch are specially highlighted to simplify intuitive operation. The displays also have a function that lets users scroll through lists or browse CD covers in the media library with a wipe of the hand.

Car-Net. Car-Net is offered for the Golf R in conjunction with the Discover Pro radio-navigation system and the "Premium" mobile phone interface. It consists of a set of new mobile online services. For example, Car-Net lets drivers integrate highly up-to-date traffic information into dynamic route guidance and input online Points of Interest (POI) into the navigation system. It also integrates the 360-degree panoramic street perspective images of Google Street View. Realistic photographic satellite images can also be displayed, which are based on the Google-Earth™ map service (Google Maps).

Overview– quick facts

Key aspects in alphabetical order

• Automatic gearbox: - 6-speed DSG

• Cargo capacity: - 343 litres to 1,233 litres

• Character: - Flagship with racing DNA

• Colours: - "Tornado Red", "Pure White", "Lapis Blue Metallic", "Reflex Silver Metallic", "Limestone Grey Metallic", "Night Blue Metallic", "Deep Black Pearl Effect" and "Oryx White Mother of Pearl Effect"

• Drive system: - All-wheel drive

• Driver assistance and performance systems: - Electronic Stability Control (ESC) including ABS, brake assist, traction control, XDS+ electronic differential lock, four-wheel EDS, engine - drag torque control, countersteering assist (standard) - ESC Sport (ESC mode, e.g. for race courses) - Driver Alert System (standard) - Automatic post-collision braking system (standard) - Progressive steering (standard) - ParkPilot (standard) - Tyre pressure monitoring indicator (standard) - DCC dynamic chassis control - ACC plus adaptive cruise control Front Assist surroundings monitoring system with City Emergency Braking - Dynamic Light Assist dynamic main beam control - Driving profile selector including Race mode - Light Assist main beam control - Cruise control system - PreCrash occupant protective system - Rear Assist - Lane Assist lane-keeping assistant - Road sign recognition

• Engines – petrol: 2.0 TSI with output of 221 kW / 300 PS

• Equipment line: - R

• Infotainment: - Standard radio: "Composition Touch" (5-inch screen) - "Composition Colour" radio (5-inch screen) - "Composition Media" radio (5.8-inch screen) - "Composition Media" radio with navigation function "Discover Media" (5.8-inch screen) - "Discover Pro" radio-navigation system (8-inch screen) - Dynaudio sound system - Car Net (Online services)

• Market launch, Europe: - Fourth quarter of 2013

• Prices (Germany): - Golf R – from 38,325 euros

• Production location: Wolfsburg plant

• Running gear: - Front: MacPherson strut suspension - Rear: modular performance suspension - Progressive steering

• Standard gearbox: 6-speed manual gearbox

• Wheels: - Standard wheels: 18-inch "Cadiz" alloy wheels - Optional wheels: 19-inch "Cadiz" alloy wheels and "Pretoria"

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William Maley

Staff Writer - CheersandGears.com

August 8, 2013

Volkswagen announced this week that the 2015 Beetle, Golf, Jetta, and Passat will come with a new turbodiesel engine. The aptly named EA288 TDI Clean Diesel will take the place of the current 2.0L TDI engine. Performance specs are 150 horsepower (up ten horsepower from the current engine) and 236 pound-feet of torque.

Volkswagen made a number of changes to the engine that improves throttle response and lower emissions thanks to a complex exhaust-gas recirculation system and integrating the intercooler and the EGR valve with the intake manifold.

The engine will arrive in the second half of 2014.

Source: Volkswagen

William Maley is a staff writer for Cheers & Gears. He can be reached at william.maley@cheersandgears.comor you can follow him on twitter at @realmudmonster.

Press Release is on Page 2

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08.06.2013

VOLKSWAGEN GROUP OF AMERICA UNDERLINES DIESEL STRATEGY WITH NEW ENGINE LINE

• Fuel efficient EA288 engine will debut second half of 2014 in the 2015 Golf, Jetta, Passat and Beetle
  

Herndon, VA - Oliver Schmidt, General Manager, Energy and Environmental Office, Volkswagen Group of America confirmed the timing of the company’s newest, most fuel-efficient, TDI Clean Diesel engine, designated EA288. During a speech delivered at the Management Briefing Seminars in Traverse City, Mich., Schmidt announced that the new engine will power the 2015 Golf, Beetle, Passat, Jetta, which are set to hit dealer showrooms in the second half of 2014.

The announcement underscores Volkswagen Group of America’s continued success with diesel technology: Year-to-date the Volkswagen Group of America has sold more than 47,000 clean diesel vehicles, including more than 10,000 in the month of July alone. This represents nearly 78 percent of the diesel sales for passenger cars in the United States this year.

“The Volkswagen Group is a leader in clean diesel technology,” said Schmidt. “With the introduction of the new EA288 engine, we are excited that our family of TDI Clean Diesel vehicles is continuing to improve and will be even more clean, fuel efficient and powerful. “

The new EA288 will eventually replace all the 2.0-liter TDI Clean Diesel engines fitted in Audi and Volkswagen TDI Clean Diesel models. The engine is a turbocharged, common-rail, direct-injection four-cylinder engine that makes 150 horsepower—an increase of 10 hp over the current engine—and 236 pound-feet of torque. This powerplant shares only the bore spacing with the previous diesel engine that shared the same designation. A number of changes have been made to help reduce emissions, such as: use of a complex exhaust gas recirculation system (with high pressure EGR and a cooled low-pressure EGR); integration of the water-cooled intercooler and the EGR valve with the intake manifold, which also improves throttle response; and packaging the exhaust after-treatment components close to the engine by combining the DPF with the SCR Catalyst.

The engine also has a number of modifications to help minimize friction and optimize fuel economy: there are low-friction bearings for the camshaft and balancer shafts, piston rings that have less pre-tension, and the oil pump is a two-stage device with volumetric flow regulation.

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William Maley

Staff Writer - CheersandGears.com

July 10, 2013

Volkswagen has announced their 2014 lineup and the big news is that the 2.5L will be bidding farewell in the Beetle, Jetta, and Passat. In its place will be a new 1.8L turbocharged four-cylinder with 170 horsepower and 184 pound-feet of torque. While the 1.8T has about the same horsepower as the outgoing 2.5, it has about seven more pound-feet of torque. The 1.8T will be available in the Jetta and Passat SEL at the start. The rest of the Passat lineup and Beetle will follow.

The 2014 Jetta also trades in its torsen-beam rear suspension for an independent rear suspension, which should improve the driving dynamics.

Other items of note for the 2014 Volkswagen lineup

• Volkswagen's R-Line lineup will now include the Tiguan, Touareg, and Beetle Convertible.
  
• VW Car-Net which adds security and convenience features such as crash notification, roadside assistance, stolen vehicle location assistance, remote vehicle access, vehicle health report, and more. Car-Net will be available on Beetle, Beetle Convertible, CC, Eos, Jetta, Passat, and Tiguan
  
• All 2014 Volkswagen models will be able to run E85 fuel.
  

Source: Volkswagen

William Maley is a staff writer for Cheers & Gears. He can be reached at william.maley@cheersandgears.comor you can follow him on twitter at @realmudmonster.

Press Release is on Page 2

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07.10.2013

MODEL YEAR 2014: MORE EFFICIENT DOWNSIZED ENGINES AND AN EXTENDED R-LINE RANGE HEAD THE CHANGES

New 1.8-liter turbocharged and direct-injection TSI® engine to feature in Jetta, Beetle, and Passat, replacing the 2.5-liter five cylinder. R-Line® range expands to five models.

• Jetta SE and SEL models are fitted with new 170-horsepower 1.8-liter engine, offering a manufacturer predicted highway fuel economy improvement of 16 percent
  
• All Jetta models now have independent rear suspension
  
• VW Car-Net™ connected services introduced across a broad range of models
  
• New 1.8-liter engine in the Beetle has manufacturer predicted highway fuel economy improvement of 17 percent
  
• Sporty Beetle GSR® special edition offers dramatic appearance package
  
• Beetle R-Line model replaces Turbo, adding new bumpers, badging, and optional 19-inch wheels and Bi-Xenon headlights
  
• Passat trims are revised and new 1.8-liter engine replaces 2.5-liter unit, starting in the SEL model
  
• R-Line added to the Tiguan range
  
• Touareg R-Line joins the lineup
  
• All VW models are now E15 capable
  

Herndon, VA - After three years of incredible growth and a slew of new product introductions, 2013 is a year of consolidation for Volkswagen of America. Nevertheless, it’s also a year in which some very important product changes will occur. Chief among these for the 2014 model year is the introduction of the EA888 1.8-liter turbocharged and direct-injection four-cylinder TSI® engine, which will gradually replace the 2.5-liter five-cylinder naturally aspirated powerplant fitted to the Jetta, Beetle, and Passat models. This new engine produces 170 hp and 184 pound-feet of torque: this is the same power as the 2.5, but the torque is improved by seven lb-ft, delivered much lower in the rev range.

Volkswagen pioneered the use of small-displacement turbocharged and DI engines in the U.S. market: the implementation of the new EA888 gasoline unit will help ensure that more than 90 percent of the cars sold by Volkswagen in the U.S. have these highly efficient powerplants. The engine is built in a new, state-of-the-art factory in Silao, Mexico that is part of Volkswagen’s ongoing $5 billion investment in the North American market.

The new TSI engine will be fitted to the Jetta range and the Passat SEL initially, to be followed by the rest of the Passat lineup and the Beetle later in the model year. The new engine is expected to offer significant highway fuel mileage gains over the 2.5-liter unit.

The popular Beetle range has a number of new additions for 2014. The most significant is the introduction of the retro-themed GSR (German for “Yellow Black Racer”) that will be sold as a limited-edition model. Because the base Beetle now has a turbocharged engine, the previous Turbo models have been re-branded with the R-Line® moniker.

The R-Line range itself has been extended to five vehicles. The Beetle Convertible R-Line, Touareg R-Line, and Tiguan R-Line all go on sale this fall, joining the existing Beetle Coupe R-Line and the CC R-Line.

Volkswagen will introduce its VW Car-Net™ connected services this fall as part of the 2014 model lineup. Available on Beetle, Beetle Convertible, CC, Eos, Jetta, Passat, and Tiguan models, VW Car-Net offers a wealth of security and convenience features, including crash notification, roadside assistance, and stolen vehicle location assistance. In addition, VW Car-Net adds: remote vehicle access; boundary and speed alerts; a vehicle health report; and an enhanced POI service on vehicles equipped with a navigation system. Most of the features can be administered through a handy smartphone app.

Finally, all Volkswagen models are E15 capable, across all powertrains for 2014.

CARS

Beetle

• Beetle GSR goes on sale as a limited-edition model
  
• Base 2.5-liter engine is replaced by 170-hp 1.8-liter turbocharged four cylinder during the 2014 model year
  
• Highway fuel economy predicted by manufacturer to improve by up to 17 percent with the 1.8-liter engine
  
• Beetle Turbo lineup now becomes the Beetle R-Line
  
• VW Car-Net connectivity becomes available
  
• Rearview camera fitted to top-of-the-line models (late availability)
  

Then as now, the GSR features a unique interior with a yellow/black theme, sport seats, and a leather-wrapped sport steering wheel. The black-trimmed leather seating surfaces and high-grip leather-wrapped steering wheel both have contrasting yellow stitching. Other interior changes include a GSR shift lever, a leather-wrapped handbrake, and black floormats with contrasting yellow embroidery. A badge on the steering wheel is marked with the special-edition number (1 through 3500) to emphasize the uniqueness of the car.

The base Beetle’s 2.5-liter engine will be phased out later in the 2014 model year and replaced by a new, locally sourced, turbocharged 1.8-liter four-cylinder engine. This will produce 170 horsepower and 184 pound-feet of torque and is expected to offer highly competitive fuel economy. Electro-mechanical power steering replaces the 2.5’s hydraulic setup.

The Beetle Turbo lineup is renamed as the R-Line for 2014, adding aggressively styled bumpers front and rear as well as R-Line exterior badging and R-Line sill kickplates. The top R-Line Sunroof and Sound with Navigation also features unique 19-inch aluminum-alloy wheels, Bi-Xenon headlights with LED DRLs, and leather seating surfaces; black interiors also get an R-Line badge on the steering wheel and a “metallic finish” dash pad. All Beetle R-Line models and the GSR are fitted with the latest version of the EA888 2.0-liter turbocharged four-cylinder engine, which makes 210hp.

Among other changes to the Beetle, the TDI® with Sunroof model is removed from the lineup, while a rearview camera will be available on the Sunroof, Sound, and Navigation trim levels on the Beetle, Beetle TDI Clean Diesel, and Beetle R-Line models.

Beetle Convertible

• Beetle receives 170-horsepower turbocharged 1.8-liter engine in place of 2.5-liter unit partway through 2014 model year
  
• Beetle Turbo Convertible is renamed the Beetle R-Line Convertible
  
• Rearview camera on top-of-the-line Convertible models (late availability)
  
• VW Car-Net connectivity becomes available
  

Like the Beetle Coupe, the Turbo Convertible range is renamed the R-Line. The topline R-Line with Sound and Navigation has additional R-Line-specific features, such as unique 19-inch aluminum-alloy wheels, Bi-Xenon headlights with LED DRLs, and leather seating surfaces: black interiors add an R-Line badge on the steering wheel and a “metallic finish” dash pad.

The base 2.5-liter engine will be phased out in favor of a 1.8-liter TSI unit that is expected to offer significantly better highway and overall fuel economy figures. Finally, the topline trim in each engine configuration—Beetle Convertible, Beetle TDI Convertible, and Beetle R-Line Convertible—will feature a rearview camera later in the model year.

CC

• VW Car-Net becomes available on all CC models
  
• New 2.0T Executive trim joins lineup, while Sport model replaces Sport with Lighting Package
  
• Rearview camera added to Sport and R-Line trim (late availability)
  
• V6 Executive models get Keyless access with push-button start, “Easy Open” motion-activated trunk opener, and new 18-inch “Lakeville” alloy wheels
  

For 2014, a new 2.0T Executive trim joins the lineup and gains: the RNS® 510 premium navigation system with four-year SiriusXM® Traffic and three-month trial to SiriusXM TravelLink™; Keyless access and push-button start; “Easy Open” motion-activated trunk opener; leather seating surfaces; sunroof; rearview camera; 18-inch “St.Louis” alloy wheels; ambient lighting; engineered ebony interior trim, and available Truffle Brown interior. At the same time, the Sport with Lighting Package is replaced by the Sport model. This package includes LED daytime running lights and the Adaptive Front-lighting System (AFS), the RNS 315 navigation system, and a rearview camera (late availability).

Eos

For 2014, the Eos incorporates minor changes over the 2013 models.

• VW Car-Net becomes available on all trims
  
• RNS 315 navigation system is added to the Komfort and Sport trims
  
• Keyless access with push-button start added to the Sport model
  
• Lux model is discontinued
  

Golf/GTI

There will be a limited number of 2014 Golfs and GTIs sold in the U.S. market, as four-door models only.

Jetta

• New 1.8-liter turbocharged and direct-injection four-cylinder engine replaces 2.5-liter five cylinder; electro-mechanical power steering replaces a hydraulic setup
  
• Jetta 1.8T, 2.0, and TDI models receive rear multilink suspensions
  
• Media Device Interface (MDI) cable moved from glovebox to center console on SE and higher trims
  
• VW Car-Net becomes available on SE with Connectivity and higher trims
  
• Rearview cameras added to SEL, TDI Premium, and TDI Premium and Navigation
  
• 30th Anniversary edition GLI (late availability)
  
• Jetta Hybrid SE, SEL and SEL Premium trims receive new high-resolution MFI display in the instrument cluster
  

The best-selling model in Volkswagen’s lineup receives a number of key enhancements for 2014, including powertrain, chassis, and technology updates.

The SE model will add a new 1.8-liter turbocharged and direct-injection four-cylinder engine, electro-mechanical power steering, a multilink independent rear suspension, SiriusXM® Satellite Radio, and power reclining front seats. The SE with Connectivity trim adds the option of VW Car-Net connected services, while the SE with Connectivity and Sunroof adds Keyless access with push-button start.

The SEL trim is now available with an automatic transmission only. It also offers VW Car-Net, a rearview camera, the RNS 315 navigation system, and the Fender® Premium Audio System.

Similar to the 1.8-liter gasoline trims, all TDI Clean Diesel models will offer VW Car-Net, a relocated MDI cable (now in the center console), and new independent rear suspension. TDI Premium and Premium and Navigation trims also get a rearview camera. The performance-driven Jetta GLI model now has the relocated MDI cable and the option of VW Car-Net, as well as the latest 210-hp version of the EA888 2.0-liter turbocharged engine.

Volkswagen’s first hybrid compact, the Jetta Hybrid, was launched late last year. For 2014, updates are minimal and include the availability of VW Car-Net and the addition of a new high-resolution color MFI display in the instrument cluster.

Jetta SportWagen

For 2014, the Jetta SportWagen incorporates only minor changes over the 2013 models.

• All models receive LED license-plate lights
  
• TDI trims gain a rearview camera
  

Passat

For 2014, the 2.5-liter five-cylinder engine will be replaced by a 1.8-liter turbocharged and direct-injection four-cylinder engine that makes 170 hp and 184 lb-ft of torque. Along with the engine comes a change from hydraulic to electro-mechanical power steering. Other changes include:

• Wolfsburg Edition carries over from 2013; now includes leather-wrapped steering wheel, shift knob, and parking brake
  
• VW Car-Net connectivity system available on Wolfsburg and higher trims
  
• Two-tone seats available on all SE trims
  
• Rearview camera introduced on SE and higher trims
  
• Keyless access with push-button start and new “Bristol” 18-inch wheels available on select SE trims.
  
• A Sport trim will be introduced later this year. Details will be released closer to launch
  
• MDI now standard on Wolfsburg Edition and higher trims
  

MINIVAN, SUVs

Routan

For 2014, the Routan carries over unchanged as a fleet model only.

Tiguan

• Tiguan R-Line model added to the lineup
  
• VW Car-Net connectivity option widely available across trim lines
  
• Introduction of Fender Premium Audio System on R-Line and SEL trims
  
• Content added across the Tiguan lineup; Keyless access with push-button start, Climatronic® automatic air conditioning, MDI with iPod® cable, and rearview camera
  

The Tiguan R-Line joins the expanded lineup of R-Line models. This performance and appearance package adds aggressive styling and a sport suspension. The exterior is further enhanced with 19-inch aluminum-alloy Mallory wheels, an R-Line roof spoiler, body-color side skirts, and R-Line badging. The interior receives R-Line front door kickplates, a flat-bottomed leather-wrapped multifunction steering wheel with paddle shifters, black headliner, and stainless steel pedals. Additionally, the Tiguan R-Line offers Bi-Xenon headlights with LED DRLs and leather seating surfaces.

Overall, there is added value across the Tiguan lineup with enhanced SE and SEL models, as well as a new SE with Appearance trim line. The SE adds heated seats, leatherette seating surfaces, and an MDI with iPod® adapter; the SE with Appearance’s added features include Keyless access with push-button start and a rearview camera; and the SEL adds the Fender Premium Audio System.

Touareg

• R-Line model features special interior and exterior styling, sport suspension
  
• Rear hatch now has “Easy Open” feature on all models except Sport and R-Line
  
• Area-view camera feature on Executive and Hybrid models
  
• LED taillights on the Executive models
  
• Keyless access with push-button start now fitted to more than 90 percent of Touareg models
  
• Trailer hitch now standard on all Touareg models except V6 Sport and R-Line
  

The most important addition to the Touareg lineup for the 2014 model year is the R-Line, which is based on the Lux trim for V6 and TDI Clean Diesel models. This model adds a sport suspension, 20-inch “Mallory” aluminum-alloy wheels, and a bevy of exterior and interior enhancements. On the outside, the R-Line model receives: R-Line badging; LED taillights; sportier front and rear bumpers; and side skirts. Inside, the R-Line gets brushed aluminum trim, stainless-steel pedals, a black headliner, an R-badged steering wheel, and unique sill kickplates.

Sport with Navigation and Lux models receive Keyless access with push-button start, while all models except the R-Line and Sport have a new “Easy Open” motion-activated trunk opening feature, which is a real boon to owners who have their hands full and want to access the cargo area.

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By William Maley

Staff Writer - CheersandGears.com

January 25, 2013

Today, Volkswagen announced that the seventh-generation Volkswagen Golf for the North and South American Market will be built at Volkswagen's plant in Puebla, Mexico. Production will begin sometime in the first quarter of 2014 and will help provide additional capacity for Volkswagen's Wolfsburg and Zwickau plants.

The move is part of Volkswagen's plan to sell 800,000 vehicles in the U.S. by 2018.

Volkswagen's North America chief Jonathan Browning said the move will help the German automaker make “further strides towards the goal of building more than 75 percent of the cars Volkswagen of America sells in the North American region.”

The seventh-generation Golf arrives in the U.S. in the first half of 2014.

Source: Volkswagen

William Maley is a staff writer for Cheers & Gears. He can be reached at william.maley@cheersandgears.comor you can follow him on twitter at @realmudmonster.

Press Release is on Page 2

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VOLKSWAGEN ANNOUNCES PRODUCTION OF THE GOLF IN MEXICO

- The next-generation Golf will be manufactured in Puebla, Mexico, for North and South American markets

Puebla, Mexico / Herndon, VA -

Volkswagen announced today that it will begin to produce the next-generation Golf at its Volkswagen de México manufacturing facility in Puebla, Mexico. Production of the seventh-generation Golf will commence at the company’s plant in Mexico in the first quarter of 2014.

Localization has become increasingly important in automotive manufacturing as a way to safeguard against currency fluctuations and to be closer to the market in which the manufacturer sells. Golf models made at Volkswagen de México’s plant will be supplied to the North and South American markets.

“The Puebla, Mexico plant offers an excellent economic basis for Volkswagen production operations and is a well-established automotive manufacturing facility with a record of efficiency and high quality,” said Hubert Waltl, Member of the Board of Management of the Volkswagen Passenger Cars Brand with responsibility for Production. “With its existing infrastructure, competitive cost structures and free trade agreements, Mexico is the ideal location to produce the Golf for the American market.”

The decision to produce the Golf in Mexico builds on Volkswagen’s strategy for the North American market. Investments of more than $5 billion are planned in the U.S. and Mexico in the next three years, thereby laying the foundation for further growth in the North American market. Key investments are the opening of new plants in Silao, Mexico, for the 1.8- and 2.0-liter turbocharged EA888 engines and the planned Audi production facility in San José Chiapa, Mexico.

“Producing the Golf in Puebla, Mexico signals a continued commitment to the North American market and allows Volkswagen to make further strides towards the goal of building more than 75 percent of the cars Volkswagen of America sells in the NAFTA region,” said Jonathan Browning, President, Volkswagen of America, Inc. “For more than 40 years, Puebla has been manufacturing quality Volkswagens for the U.S. and markets around the world and we are thrilled that the next-generation Golf will be added to the production line.”

The Volkswagen Golf, the company’s best-selling vehicle globally, was unveiled at the Paris Motor Show in September 2012. This seventh-generation version of one of the world’s most popular cars offers more features, improved safety, and more performance than the outgoing vehicle and is actually lighter than its predecessor. The Golf’s unmistakeable state-of-the art styling is evolutionary and timeless, and provides clear lineage to previous Golfs. The new Golf design is more sophisticated and longer lived than any other compact in the world. The Golf is slated to go on sale in the United States in the first half of 2014.

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William Maley

Staff Writer - CheersandGears.com

October 3, 2012

Volkswagen made some big announcements today concerning a new model that will be premiering at the 2012 Los Angeles Auto Show and pricing for another model.

We'll start with the new model first.

Volkswagen revealed the new Beetle convertible a month ahead of its official unveiling at the L.A. Auto Show. The soft-top has a similar roofline to the normal Beetle when its up. Want to put the top down, it will only take about ten seconds. Also, Volkswagen engineered a system that will pop two computer-actuated bars behind the rear seat within four milliseconds in the event of a rollover.

The engine lineup will be the same as the Beetle, which includes,

• 2.5L five-cylinder (170 HP, 177 lb-ft of torque)
  
• 2.0L turbo-four (200 HP, 207 lb-ft of torque)
  
• 2.0L turbodiesel (140 HP, 235 lb-ft of torque)
  

The 2.5L can be equipped with a six-speed automatic, while the 2.0L Turbo and diesel can be equipped with a six-speed manual and a dual-clutch transmission.

Next: Jetta Hybrid Pricing

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Also today, Volkswagen announced pricing for the new Jetta Hybrid. The hybrid comes equipped with a turbocharged, direct-injected 1.4L four-cylinder mated to an electric motor. Total output is 170 HP and 184 lb-ft of torque going through a seven-speed dual-clutch transmission. Stats for the hybrid are 0-60 in nine seconds and estimated fuel economy of 45 MPG.

A base Jetta Hybrid will run you $25,790 (includes a $795 destination charge) and it will include 15-inch alloy wheels, power windows, automatic climate control, power windows, a CD player with Bluetooth and an auxiliary port, and a leather-wrapped steering wheel. One caveat with the base Jetta Hybrid, its a special order model only.

The rest of the lineup follows,

• Jetta Hybrid SE ($27,785): LED taillights, power recline front seats, Media-Device Interface (MDI) and iPod® cable; Premium VIII touchscreen radio with color energy flow display in center console, SiriusXM® Satellite Radio, and keyless access with push-button start
  
• Jetta Hybrid SEL ($30,120): 16-inch alloy wheels, power tilt and slide sunroof, RNS 315 radio and navigation, heated front washer nozzles, heated front seats, and a six-way power driver’s seat.
  
• Jetta Hybrid SEL Premium ($31,975): Bi-Xenon headlights with LED Daytime Running Lights and the Active Front-Lighting System (AFS), foglights with cornering light, 17-inch alloy wheels, the Fender® Premium Audio System with subwoofer, and a rearview camera.
  

William Maley is a staff writer for Cheers & Gears. He can be reached at william.maley@cheersandgears.com or you can follow him on twitter at @realmudmonster.

Press Releases are on Page 3 and 4

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VOLKSWAGEN UNVEILS THE NEW BEETLE CONVERTIBLE

Volkswagen reveals images of the latest version of its iconic convertible ahead of the 2012 Los Angeles Auto Show

Herndon, VA, Oct 3, 2012 - Today, Volkswagen unveils the latest Beetle Convertible, the third-generation of the iconic VW ragtop. Like its predecessors—the type 15 from 1949 and the 2003 New Beetle Convertible—the curvaceous convertible offers the perfect combination of practicality and fun for four.

In creating the latest version of the Beetle Convertible, Volkswagen has reinterpreted the Beetle Convertible’s timeless design with a sportier and more dynamic silhouette, just as it did with the latest Beetle coupe. The combination of a flatter roofline and a more upright windshield gives the car a shape that’s more closely aligned with the first generation of Beetle convertibles.

Volkswagen decided to stick with a traditional soft-top rather than incorporate a folding hardtop on the car. When the top is down, it lies flat, giving good rear visibility. Although the top looks compact when furled, it’s actually wide and long when in place, an action that takes a little over 10 seconds at the touch of a button.

Inside, the Beetle Convertible retains the design cues that have made the latest Beetle such a hit with consumers, such as the body-color dashboard and the stylish gauges and trim. The spacious cabin has space for four full-size adults and is able to carry plenty of luggage: a fold-down split rear bench seat increases the practicality even further.

In any Volkswagen, safety is paramount and to that end, the company has developed an Automatic Rollover Support System. Two roll-over bars are concealed behind the back of the rear bench seat, activated by the computer that deploys the airbags in the case of a crash.

Along with the fixed A-pillars, they provide effective protection for the occupants of all four seats within milliseconds. Driver and front passenger combined head-thorax airbags are also among the standard equipment.

The new Beetle Convertible will be available in the United States with three engine options. The entry-level powerplant is the familiar 2.5-liter five-cylinder engine that makes 170 horsepower and 177 pound-feet of torque, mated to a six-speed automatic transmission. Volkswagen’s fuel-efficient 2.0-liter TDI® Clean Diesel four-cylinder engine makes 140 hp and 236 lb-ft, but just as importantly delivers an EPA estimated fuel economy figure of 41 mpg on the highway with the six-speed manual transmission. (A six-speed DSG® dual-clutch automatic is also available with this engine.) Finally, the 2.0-liter turbocharged TSI® four-cylinder, which makes 200 hp and 207 lb-ft, can be ordered with either a six-speed manual or DSG automatic.

Beetle Convertible pricing for the U.S. will be announced closer to launch, which occurs in the last quarter of 2012.

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VOLKSWAGEN ANNOUNCES 2013 JETTA HYBRID PRICING

The latest member of the Jetta family offers competitive pricing, excellent fuel economy, and the fun-to-drive nature expected of a Volkswagen

• Jetta Hybrid starts at $24,995*, with SE priced from $26,990

• Most fuel-efficient Jetta in the lineup with manufacturer estimated combined fuel economy of 45 mpg**

• World’s first hybrid to use a seven-speed dual-clutch automatic transmission

• Fastest compact hybrid in its class with an estimated 0-60 mph of less than 9.0 seconds

• Drives as a full EV at speeds of up to 44 mph

• Premium features include LED taillights and Daytime Running Lights, plus Bi-Xenon headlights

• Jetta range now extended to five different powertrains, providing a German-engineered compact sedan for everyone

Herndon, VA, Oct 3, 2012 - Volkswagen of America, Inc. today announced pricing for the 2013 Jetta Hybrid, expected to be the most fuel-efficient Jetta in the lineup. Powered by an all-new, high-tech, 1.4-liter turbocharged and direct-injected TSI® engine mated to a zero-emissions electric motor, the Jetta Hybrid has a combined output of 170 horsepower and 184 pound-feet of torque. The innovative powertrain also features a seven-speed DSG® dual-clutch automatic transmission.

The Jetta Hybrid can be driven in pure electric mode at speeds of up to 44 mph and for a distance of up to 1.2 miles, depending on operating conditions. With a manufacturer estimated combined fuel economy of 45 miles per gallon** and a 0-60 mph time of less than 9.0 seconds, this newest addition to the Jetta family demonstrates that being fuel-efficient doesn’t have to come at the cost of performance or fun. The Jetta Hybrid will be available starting at $24,995* and will go on sale in the last quarter of 2012.

The 2013 Jetta Hybrid model range:

Hybrid (available by order only)

The Hybrid trim has an MSRP of $24,995. Standard equipment includes a 1.4-liter turbocharged TSI engine; 27-hp electric motor; seven-speed dual-clutch DSG automatic transmission; front and rear disc brakes; Daytime Running Lights; power and heated exterior mirrors;15-inch aluminum-alloy wheels with all-season tires; rear spoiler and rear diffuser; unique grille; hybrid badging on front, sides and rear; power windows with one-touch up/down; hybrid interior accents; six-way manually adjustable front seats; Climatronic® automatic climate-control; Bluetooth ® technology; auxiliary input jack; trip computer; RCD 310 radio with CD player and six speakers; leather-wrapped multifunction steering wheel; 60/40 folding rear seat; tilt/telescoping steering wheel column; temperature display; and front, side and Side Curtain Protection® airbags.

Hybrid SE

The 2013 Jetta Hybrid SE starts at $26,990. In addition to all of the equipment offered on the Hybrid trim, it adds: LED taillights; power recline front seats; Media-Device Interface (MDI) and iPod® cable; Premium VIII touchscreen radio with color energy flow display in center console; SiriusXM® Satellite Radio; and keyless access with push-button start.

Hybrid SEL

The Hybrid SEL has an MSRP of $29,325 and features 16-inch aluminum-alloy wheels with all-season tires; a power tilt and slide sunroof; RNS 315 radio and navigation; heated front washer nozzles; heated front seats; and a six-way power driver’s seat.

Hybrid SEL Premium

The Hybrid SEL Premium retails for $31,180. Compared to the Hybrid with Navigation, it adds Bi-Xenon headlights with LED Daytime Running Lights and the Active Front-Lighting System (AFS); foglights with cornering light; 17-inch aluminum-alloy wheels with all-season tires; the Fender® Premium Audio System with subwoofer; and a rearview camera.

All prices exclude destination charges of $795 per vehicle.

*Available by order only

**Manufacturer estimate of fuel economy only; EPA results may vary

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William Maley

Staff Writer - CheersandGears.com

September 4, 2012

Please give a warm welcome to the seventh-generation Volkswagen Golf, introduced today in Germany. Volkswagen says the next-generation Golf offers "more features, even better safety, and more performance."

The design of the new Golf is an evolution of the last-generation Golf, with sharper lines, an smaller grille, and other changes.

"One of the keys to the Golf’s success lies in its continuity. There are a handful of cars with a design that, like the Golf’s, has been refined, tweaked and enhanced down the decades and thus become timeless." said Walter de Silva, Head of Design for Volkswagen AG.

The big story with the Golf is the weight-loss. Volkswagen dropped almost 220 lbs from new model thanks to the new MQB platform and other weight saving measures. The new Golf also features more high-strength steel in the body.

As for the European market, the Golf will come a range of gasoline and diesel engines, and the choice between of six-speed manual and six-/seven-speed DSG transmission. The European market model will also include a load of new safety tech.

The new Golf will be shown at the Paris Motor Show later this month with sales beginning later on. Information about when and what will be the U.S. Golf will come sometime next year.

Source: Volkswagen

Press Release is on Page 2

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Herndon, VA, Sep 4, 2012 - Volkswagen today unveiled the new Golf, its best-selling car, at a press conference in Berlin, Germany. This seventh-generation version of one of the world’s most popular cars is striking in that it offers more features, even better safety, and more performance than the outgoing vehicle, while breaking the cycle of being heavier than its predecessor.

Overcoming the weight spiral

Indeed, the latest Golf is up to 220 pounds lighter than the outgoing car, thanks to careful focus on weight savings in all aspects of the car’s construction, from the electrical architecture through to the engines and the body-in-white. The air conditioning unit is, for example, six pounds lighter than the old car’s; the seats have shed 15 pounds; and the body-in-white is 51 pounds lighter. One major reason for the bodyshell’s weight loss is the extensive use of high- and ultra-high strength steels. The share of the high-strength steels overall has gone from 66 percent in the previous Golf to 80 percent in the new one. Of this, the share of ultra-high-strength steel has gone from six to 28 percent.

Better fuel efficiency

One benefit of lowering the Golf’s weight is better fuel economy: the European-market 1.4 TSI® that uses a 140-horsepower, turbocharged, 1.4-liter engine fitted with cylinder de-activation gets a European Cycle combined fuel consumption figure of 49 mpg, while the base 105-horsepower TDI® Clean Diesel engine delivers 62 mpg on the EC combined cycle.

Longer, lower, wider

The new Golf is 2.2 inches longer than the old car, with an overall length of 167.5 inches. Similarly, the wheelbase has grown by 2.3 inches to 103.8 inches. Since the front wheels are now located 1.7 inches further forward, the proportions are sportier, the crash structure is improved, and the interior package further optimized. The new car is 0.8 inches lower and 0.5 inches wider than the old car.

Improved interior

The new Golf is more spacious, with a passenger compartment that is 0.6 inches longer than before, giving 0.6 inches more rear kneeroom. Shoulder room is improved by 1.2 inches in both the back and front of the car. Cargo capacity has also been enhanced, while the load area is more accessible.

A key feature of the interior is a new infotainment system, which incorporates a five-inch touchscreen, even on entry-level European models. At the top end, the Golf features a navigation system which has a large, eight-inch touchscreen.

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William Maley

Editor/Reporter - CheersandGears.com

June 11, 2012

Volkswagen will complete the Beetle trio with the new diesel model coming out this August. Prices for the Beetle diesel will begin at $23,295 (excluding $770 destination charge) for a six-speed manual and $24,395 for a six-speed DSG dual-clutch automatic transmission.

That gets you a 2.0L inline-four diesel, producing 140 HP and 236 lb-ft of torque. EPA fuel economy rating for the 2.0L diesel 32 City/41 Highway.

Standard features for the Beetle TDI include one-touch power windows, cruise control, leatherette seating, Bluetooth wireless connectivity, leather- wrapped steering wheel with audio controls, three-color ambient lighting, keyless entry with push-button start, satellite radio, and Volkswagen's MDI with iPod cable and auxiliary input jack.

The next step up from the base Beetle TDI is the Beetle TDI with Sunroof, which adds a sunroof and Volkswagen touch-screen Premium VII sound system. The Beetle TDI with Sunroof begins at $24,895 for the manual and $25.995 for the automatic.

The top spec Beetle TDI with Sunroof, Sound, and Navigation adds Volkswagen’s RNS 315 audio and navigation interface, as well as an upgraded Fender amplifier and speakers. Pricing for this model starts at $26,195 for the manual and $27,295 for the automatic.

Press Release is on Page 2

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FUEL-EFFICIENT BEETLE TDI® CLEAN DIESEL COUPE PRICED FROM $23,295

The only Clean Diesel offering in the compact coupe category goes on sale in August

• Volkswagen’s sixth TDI® Clean Diesel model available in the U.S.

Herndon, VA, Jun 11, 2012 - Volkswagen of America, Inc. today announced pricing for the Beetle TDI® Clean Diesel coupe. The Beetle TDI is the third model in the Beetle lineup and joins the 2.5-liter five-cylinder and 2.0-liter turbocharged gasoline models, which launched to great acclaim in 2011. The Beetle TDI features VW’s 2.0-liter turbocharged, direct-injection Clean Diesel engine that produces 140 horsepower and 236 pound-feet of torque. When equipped with a manual transmission, the model has manufacturer fuel economy estimates of 41 mpg highway and 32 mpg city.

Model Lineup

Three trims are available with the TDI® Clean Diesel powertrain. All models feature a standard six-speed manual transmission with Volkswagen’s acclaimed six-speed DSG® dual-clutch automatic transmission as an option. All three are very well equipped, with standard features such as power windows with one-touch up/down; cruise control; V-Tex Leatherette seating; front-center armrest; the “Käeferfach” secondary glovebox; Bluetooth® technology; leather-wrapped multifunction steering wheel with audio controls; three-color ambient lighting; auxiliary instrument package; Keyless entry with push-button start; SiriusXM Satellite Radio®; and a Media Device Interface with iPod® cable.

TDI

Manual $23,295

Automatic $24,395

The base TDI model comes standard with unique 17-inch aluminum-alloy wheels, all the equipment listed above, and an interior and exterior chrome package. The standard RCD310 audio system has an AM/FM radio, CD player, Bluetooth® technology, SiriusXM Satellite Radio® and eight speakers

TDI with Sunroof

Manual $24,895

Automatic $25,995

This model adds a panoramic tilt/slide sunroof and Volkswagen’s touchscreen Premium VIII radio to the Beetle TDI trim.

TDI with Sunroof, Sound, and Navigation

Manual $26,195

Automatic $27,295

In addition to the above features, the top model includes the RNS 315 navigation system and the award-winning Fender® Premium Audio system.

All prices exclude a destination charge of $770.

2013 Beetle TDI Pricing

Model

Price

Features

TDI

manual

automatic

$23,295

$24,395

2.0L 140 hp TDI® engine, six-speed manual transmission; 17-inch alloy wheels; power windows with one-touch up/down; cruise-control; V-Tex leatherette seating; trip computer; front center-armrest; auxiliary instrument package; keyless access with push-button start; RCD 310 eight-speaker sound system with aux-in and Media Device Interface with iPod® cable; SiriusXM® Satellite Radio; three-color ambient lighting

+ Six-speed DSG® transmission

TDI w/ Sunroof

manual

auto

$24,895

$25,995

(Includes Beetle TDI features)

+ Panoramic sunroof with power tilt and slide

+ Six-speed DSG® transmission

TDI w/ Sunroof, Sound, and Navi

manual

auto

$26,195

$27,295

(Includes TDI w/ Sunroof features)

+ RNS 315 touchscreen navigation, Fender Premium Audio System

+ six-speed DSG® transmission

Destination

$ 770

All Prices Exclude Destination Charge