VOLKSWAGEN MAY BE POSITIONING ITSELF TO ACQUIRE VOLVO DIVISIONS.Byline: Bloomberg News Volkswagen AG Volkswagen AG (VW) Major German automobile manufacturer. It was founded in 1937 to mass-produce a low-priced “people's car” (Volkswagen). After World War II the company was rebuilt with Allied help, and within a decade it was producing half of West Germany's , Europe's largest automaker, has approached Volvo AB to discuss how they might cooperate, Volvo said, though the Swedish carmaker wouldn't confirm a report that the talks might lead to a merger. Both companies declined to characterize last week's talks between VW Chief Executive Ferdinand Piech and Volvo Chief Executive Leif Johansson
Leif Johansson (born March 1, 1951) is the President of AB Volvo and CEO of The Volvo Group (since 1997). He sold Volvo Cars to Ford. He is an alumnus of Chalmers University of Technology. at the Swedish company's headquarters. Analysts said the meeting, initiated by Piech, may have been VW's overture to buy Volvo's profitable heavy-truck business, third-largest in the world, and perhaps its passenger-car unit. With Volvo, Volkswagen would leapfrog Toyota Motor Corp. to become the world's third-largest automaker, giving it more clout to wring lower prices from suppliers and a bigger range of brands including VW, Audi AG, Rolls-Royce, Lamborghini, Skoda and Seat to lure sales from variety-minded rental and corporate clients. ``Volkswagen has always wanted to be No. 3 in the world, and buying Volvo would help them meet this goal,'' said Rolla Kautz-Pan, an auto analyst at BHF Bhf Bahnhof (German: train station) BHF British Heart Foundation (medical charity) BHF Buffered Hydrofluoric Acid BHF Bangladesh Hockey Federation BHF Black Hole Finder (NASA) Bank AG in Frankfurt. ``To be competitive these days on a global scale, an automaker has to be among the top three in the world.'' Gothenburg, Sweden-based Volvo sold 386,440 cars last year; Volkswagen sold about 4.3 million. Its Audi AG division sells cars for slightly less than comparable Volvo sedans, which fetch $20,000 to $35,000 each. Analysts said Volkswagen's main goal in talking to Noun 1. talking to - a lengthy rebuke; "a good lecture was my father's idea of discipline"; "the teacher gave him a talking to" lecture, speech rebuke, reprehension, reprimand, reproof, reproval - an act or expression of criticism and censure; "he had to Volvo is to acquire its heavy-truck division. Such a move into the truck business would help it shield itself partially from the cyclical slump in the passenger-car business. WHO'S WHO Who’s Who biographical dictionary of notable living people. [Am. Hist.: Hart, 922] See : Fame It's hard to tell the carmaker by the nameplate. Here are a few automakers and the car brands they produce that are available in the U.S.: AUTOMAKER BRANDS Volkswagen VW, Audi, Rolls-Royce x and Lamborghini x Mercedes-Benz Mercedes-Benz, Chrysler x General Motors GMC GMC See: Guaranteed Mortgage Certificate , Cadillac, Buick, Oldsmobile, Pontiac, Chevrolet and Saturn Ford Ford, Jaguar, Mazda xx, Kia xx Toyota Toyota, Lexus Nissan Nissan, Infiniti BMW BMW in full Bayerische Motoren Werke AG German automaker. Founded as an aircraft engine manufacturer in 1916, the company assumed the name Bayerische Motoren Werke and became known for its high-speed motorcycles in the 1920s. BMW, Land Rover See LANRover. Renault Renault, Mack trucks Fiat Fiat, Alfa Romeo, Ferrari and Maserati x Pending merger xx Ford owns a stake in Mazda and Kia SOURCE: Bloomberg News; Daily News research CAPTION(S): Box BOX: WHO'S WHO (See text) |
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