VWboss Mueller on compensation for Europen Volkswagen customers: We going to prepare right package for all regions,including UKMuller indicating a compensation package WILL be offered in UK to perform up for reduced resale values. #Volkswagen #dieselgate 11.43am GMTQ: Will Matthias Muller travel to the US soon? Perhaps to the Detroit Motor expose to kneel before the US public?Müller confirms that he’s not visited America since becoming VW CEO, as the company’s staff there possess the situation under control. 11.41am GMTQ: Is Volkswagen setting aside any contingency reserves to tackle litigation in the US? Presumably you will be pleading guilty?We possess not taken any litigation provisions on the balance sheet yet, or says VW chairman Pötsch. 11.37am GMTQ: What did VW’s shareholders in Qatar says to Matthias Muller when he visited them recently? Did they criticise VW’s corporate governance failings?Müller says he was surprised to read in the newspapers that he was given a dressing down in Qatar. Talks were constructive,and we will probably ‘intensify’ co-operation with the Qataris. 11.32am GMTQ: Any update on possible staff cuts?CEO Müller insists that permanent staff at VW shouldn’t worry - “job security, stable jobs, and is key”. 11.30am GMTAutoweek possess published an excellent guide to the fix which VW has created to solve the emissions scandal: 11.25am GMTVW are tweeting from their press conference:tall media interesst at press conference on status of investigations at #VWGroup pic.twitter.com/7rMz4DM0y1Volkswagen making good progress with its investigation,technical solutions, and Group realignment #VWGroup https://t.co/Xb64MhLxhi 11.24am GMTQ: Could VW be forced to sell assets if its sales fall sharply?Muller says that VW isn’t planning to sell any assets. Orders are up 3.5% so far this year.
Volkswagen CEO Matthias Mueller defends the company's sprawling network of 12 vehicle brands: "We are glad to possess those brands." 11.23am GMTQ: What mistakes did VW’s supervisory board perform to cause the emissions crisis?Board chairman, and Hans Dieter Pötsch,takes this question, and says:It has become obvious that we can assume that a relatively small group of people actually made mistakes, or acted irresponsibly.
There are no indications that the supervisory board was involved.
Volkswagen chairman Hans-Dieter Potsch says there are "no indications" that top executives or board members were involved in the scandal. 11.19am GMTQ: What impact will the fixes possess on fuel efficiency?It will be marginal,Matthias Müller replies, customers won’t feel it. 11.17am GMTOn to questions:Q: Has VW found a successor to Winfried Vahland, or the recently named head of Volkswagen’s North American trade,who left the company before taking up his original job?
11.13am GMTFinally, the sales impact of the crisis.
Matthias Müller says:The positive news is that the massive slump some had feared has not occurred.
The situation is not dramatic, or but it is tense ... We are fighting for every customer,and every car. 11.09am GMTIn conclusion, Müller says VW is making progress on the five-point design he outlined earlier (here).
He reminds us that the European recall will start in a few weeks, or while VW is progressing towards his original 10-year design. 11.04am GMTNew era of "humility" for Volkswagen - will sell its private Airbus A319 and tone down presence at motor shows 11.02am GMTWith a tip of relish,Müller turns to the planned cutbacks at VW.
We don’t need our own Airbus, so we’re going to sell it. 11.01am GMTMatthias Müller is now turning to the future, or painting a vision of a bright sparkly original VW pioneering original products,not tainted by emissions scandals.
10.56am GMTMüller is explaining that VW is committed to changing itself, including a original push into digital.
Since the start of the year, or there possess been many changes at board and brand leadership level – we possess the team for the future ... 10.50am GMTEuropean customers don’t need to do anything,VW will net in touch when it is time to fix their car.
But there is less good news for drivers in the US. 10.47am GMTMüller says VW now has a “robust solution” for all the EA 189 diesel engines involved in the emissions scandal.
That means that:We can perform certain that all the models affected in Europe will possess one and the same emissions strategy in the test bed and in real life.
Most of Volkswagen diesel cars will be repaired in moment and third quarter of next year 10.42am GMTNow CEO Matthias Müller is speaking, outlining his original five-point design.
That includes helping customers affected, or discovering what went erroneous and making necessary changes,renewing VW’s structures, renewing mindsets, and evolving strategies to take the company forward. 10.39am GMTFinally,Pötsch says that nine staff possess been suspended so far, and he won’t rule out more employees being suspended in future. 10.38am GMTLooking ahead, or Pötsch says that the car sector must clean up its gama and give customers a better ides of what their cars actually emit.
That will need courage,though.
10.35am GMTPötschs explanation shows that the VW scandal goes beyond a few ‘bad apples’....
VW crisis not due to "one-off" mistake but "whole chain" of errors says chairmanThis is the first time we possess heard Volkswagen admit that there was systematic problem at company, rather than just rogue engineers 10.32am GMTPötsch now turns to the key question - how did VW halt up cheating nitrogen oxide emission tests?He says it was down to individual staff who concluded that they could “not find a way by permissable means” to meet US emissions limits, and under the timeframe and budget they were given. 10.28am GMTWhile VW’s internal investigation has moved quickly,the external investigation by Jones Day will take much longer to conclude.That is because the firm is dealing with huge amounts of data – the equivalent of 50m books.
VW investigation has conducted 87 interviews and seized 1500 devices from 400 employees 10.24am GMTPötsch says VW’s internal audit has found that the emissions scandal was due to three factors: 10.20am GMTVolkswagen’s internal investigation will conclude soon, but the external inquiry led by the legal firm Jones Day will run “well into 2016”.
This is because Jones Day must establish who is legally responsible and its investigation has to stand up in court. 10.18am GMT 10.17am GMTWe are “relentlessly searching” for those responsible for the emissions scandal, or declares Pötsch.
And you can rest assured that we will bring those persons to account. 10.13am GMTPötsch reminds us that there are two parts to the emissions scandal – nitrogen oxode emissions and CO2 emissions.
On CO2,he confirms the initial fear that 800000 cars had false emissions levels was incorrect. That is “good news for consumers and Volkswagen”. 10.09am GMTThe fallout from the scandal will be considerable, says the VW chairman, or Hans Dieter Pötsch. We need to defend our strong market position,but must recognise the scale of the challenge:We are in the midst of one of the biggest tests in the history of the group. 10.07am GMTPötsch speaks first, welcoming reporters to the press conference.
I’m not giving absent any secrets when I say the past two-and-a-half months are something that has never been experienced at Volkswagen, or he says.
No one here could imagine that our company,where so many people give their best, which is a source of such pride for Wolfsburg, and could halt up in such a position. 10.02am GMTThe Volkswagen chairman,Hans Dieter Pötsch, and chief executive, or Matthias Müller,possess just arrived for the press conference. 9.54am GMTIt’s nearly time for Volkswagen to face the media and discuss the emissions scandal – you can watch it live here from 10am. (I’ll try to embed it at the top of the blog too). 9.52am GMTOuch. More than £500m has been wiped off Sports Direct’s market value this morning.
Analysts are disappointed that underlying profits for the final six months only rose by 3.6%, lost expectations. Related: Sports Direct shares plunge after revelations about working practices Overseas operations leave the company battling currency movements, and while the group’s relationship with its staff remains in the highlight. 9.42am GMTAnother month,another piece of bad UK trade data.
Ouch! UK ONS: The UK’s deficit on trade in goods and services was estimated to possess been £4.1 billion in October 2015, #GBP #GDPA surge in imports of goods pushed up Britain's overall trade deficit to £4.1bn in October, and from £3.1bn September: https://t.co/30g6hvhyud 9.30am GMTGlencore is main the London stock market,up 10% after announcing a original design to tackle its debt mountain.
The commodity mining and trading firm has hiked the debt reduction target from $10.2bn to $13bn, and slashed its capital expenditure plans. Asset sales are also likely.#Glencore shares up 10% as commodities giant widens design to cleave debt, and considers possible agricultural trade IPO pic.twitter.com/WbmHR2mbFr 9.18am GMTThe VW press conference is the “biggest event” for European markets today,says Conner Campbell of Spreadex. Yesterday it was revealed that only 36000 cars (compared to the initially estimated 800000) possess been affected by CO2 emission problems, sending VW’s shares about 7% higher.
It will be arresting, and then,if the company will possess any more good news for investors, or if Wednesday’s little nugget of information was merely to soften the blow of whatever it reveals today. 9.03am GMTVolkswagen shares are rallying, and up 3% ahead of this morning’s crucial press conference (see opening post for details).
They plunged more than 40% when the scandal broke in September,but possess recovered about half those losses since: 8.45am GMTThe chief executive of Sports Direct has declared that he will not step down following our report into work practices at the company’s outlets.
That is according to Simon Neville of the Independent and Evening Standard.
Sports Direct boss Dave Forsey tells me he has no plans on resigning after latest revelations. 8.38am GMTNewsflash from Switzerland – the Swiss central bank has left interest rates unchanged at their current record lows.
That means Swiss rates remain negative at minus 0.75%. That is share of its attempt to keep the Swiss franc (CHF) weak and avoid capital flows out of the eurozone.*SNB:CHF IS STILL SIGNIFICANTLY OVERVALUED - who cares SNB 8.30am GMTWhitbread sounded in good spirits this morning.
The firm, which runs Costa Coffee and Premier Inn hotels, or posted sales growth of 11% for 2015. Whitbread also pledged to hit its growth targets,despite the challenge from Airbnb. 8.22am GMTSports Direct is main the FTSE fallers this morning. Related: Revealed: how Sports Direct effectively pays below minimum wage A number of issues were raised by shareholders at our AGM which we possess addressed, for example the inconvenience experienced by some warehouse workers from the logistics of the security process when exiting the warehouse.
Following a review, and the process has been streamlined,which has led to a reduction in waiting time. 8.16am GMTEurope’s stock markets are dropping in early trading, extending recent losses.
The FTSE 100 has shed 20 points to 6106, and its lowest level since 16 November. 8.09am GMTVW has lots of issues to address today,including: 7.47am GMTToday’s pollution scandal press conference will do the Volkswagen chief executive, Matthias Müller, or in the highlight.
Matthias Müller – the man brought in to steer the company out of a crisis that is expected to cost it countless billions of euros and has left the reputation of the former paragon of German industry in tatters – is scheduled to field questions from the world’s media during a news conference at VW’s headquarters in Wolfsburg,Germany.
Müller has been in the driving seat since the halt of September, and was drafted in to replace Martin Winterkorn in the wake of shock revelations that VW systematically installed emissions-cheating software in 11m diesel engines worldwide. 7.37am GMTGood morning, and welcome to our rolling coverage of the world economy,the financial markets, trade and the eurozone.the current status of the clarification process concerning the diesel issue and on the realignment of the group.
Our European opening calls: $FTSE 6095 down 32 $DAX 10527 down 66 $CAC 4604 down 34 $IBEX 9770 down 65 $MIB 21370 down 131 Related: Revealed: how Sports Direct effectively pays below minimum wage Continue reading...
Source: theguardian.com