Porsche Volkswagen Drama

By Automotive Staff | March 11, 2008
It seemed that Porsche would finally be able to take control of Volkswagen. Though Porsche's 31% stake in Volkswagen makes it the largest shareholder, its is not yet in the position for majority control. And if the situation is as caustic as described by insiders, Porsche faces an uphill battle. Bernd Osterloh, head of the works council at VW, and 'defender' of VW's workers, denounces Wendelin Wiedeking, the man who orchestrated Porsche's move to take control of VW in the first place. Citing fears of a future where Porsche controls Germany's largest automaker, the situation has led to vicious infighting. Also fueling the fires is Ferdinand Piëch, a major shareholder at Porsche and chairman at VW, who has often had free reign at VW, would suddenly find that moves that he'd like to make within VW could be denied by Wolfgang Porsche, chairman of the Porsche family who are the majority controllers of the Porsche brand and who, in turn, endorse Wendelin Wiedeking. And the big stink? Ferdinand Piëch himself is part of the extended Porsche family as grandson of Ferdinand Porsche and nephew of Ferry Porsche, the man behind the Porsche car as we know it today. Oh, wait. Further complicating matters, politicians in VW's home town wish to reinstate laws which would give union the power to veto any moves or factory closures. Our take? It's like a horrible German soap opera. Without the evil twin, of course. via Financial Times
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