Wolfsburg – Volkswagen Aktiengesellschaft will take a 49.9 percent stake in Porsche AG in a first step towards an integrated automotive group with Porsche. This was agreed between Volkswagen and Porsche SE during negotiations on the contracts of implementation relating to the merger of the two companies. The Comprehensive Agreement announced in August referred to an initial participation in Porsche AG amounting to 42 percent. The timetable for the creation of the integrated automotive group remains unchanged: Volkswagen will acquire a participation in the operating business of Porsche by the end of 2009. The merger of Volkswagen AG and Porsche SE is still scheduled to take place during the course of 2011.

The adjustment of the envisaged initial participation reflects the successful progress of negotiations between Volkswagen and Porsche concerning the details of the merger which have been taking place since the Comprehensive Agreement was approved. These negotiations indicate that the projects identified for a closer cooperation have been making swifter progress than initially anticipated. This positive development for both companies, which is an expression of the compelling industrial logic behind the merger, is now to be underscored by a larger participation in Porsche AG. Volkswagen is thus securing a higher share of the increase in the value of Porsche expected from the joint projects at an early stage. At the same time, Volkswagen remains committed to the phased integration of the two companies and is preserving the independence and the interests of Porsche.

Based on the enterprise value calculated for Porsche AG, Volkswagen is expected to pay approximately EUR 3.9 billion for the participation in the company. An increase in Volkswagen’s preferred share capital is planned for the first half of 2010 in order to refinance the participation and maintain Volkswagen’s good credit rating. Shareholders will be requested to adopt a resolution authorizing such an increase at an Extraordinary General Meeting on December 3.

AUDI AG is strengthening its training activities for service employees to further boost the quality of service in Audi repair centers worldwide. The premium carmaker today opened the new Service Training Center in Neckarsulm – the sixth of its kind in Germany. Employees of the roughly 1,700 German Audi Service Centers will be trained at the Center, along with trainers who will prepare there for international assignments. With 80 different training courses and 14 qualification tracks, Audi plans this year to develop its service employees into experts who can provide top service to customers around the world.

“Audi wants to be the world’s leading brand in the area of customer satisfaction. We must therefore set ourselves apart by providing top service and outstanding customer interaction, especially when it comes to service,” said Peter Schwarzenbauer, Audi Board Member for Marketing and Sales. Given the constantly growing complexity of the Audi model range, extensive technical training provides the basis.

But there’s more to providing top service. “We are preparing our employees for the technologies of the future,” Schwarzenbauer said. “We’re training them in innovative, especially fast repair procedures, so they can help our customers more efficiently. But above all, we place a high priority on superior communication skills for all employees.”

Audi now has six training sites distributed throughout Germany, making them easily accessible for the employees of all Audi Service Centers. In 2009, service employees are to receive basic and advanced training during a total of 38,000 training days in 80 training modules. In Neckarsulm, Audi employees will now receive theoretical and practical training in a 5,400 m² facility. Trainees will acquire expertise in the bulk of the 14 Germany-wide qualification tracks, in workshop areas that feature the latest equipment and are outfitted in the new Audi corporate design. A new theme is customer communication for technicians. In complex cases, customers are to have the option of discussing their technical matters directly with an expert, who can find a more targeted approach to the solution than is possible when conferring through an intermediary service consultant. The goal is to save time – and to increase customer satisfaction.

This training is supported through selective training courses developed by Audi, covering areas such as investigating noises. Here, Audi technicians learn to use dialog with customers to quickly locate any “crackling” or “knocking” noises the customer describes. Training in “Clever Repair,” which replaces expensive replacement of a body part through more moderate dent removal – saving time and money – is also intended to immediately boost customer satisfaction. Audi is meanwhile consistently expanding technical training with a view to the brand’s technologies of the future: electric and hybrid drive systems, and lightweight design.

About 1,700 Service Centers throughout Germany send their employees to Audi’s training courses. Another essential service of the Training Center lies in the qualification of the trainers, who will transfer their knowledge to the roughly 100 export markets of the brand with the four-ring logo. The training days are supplemented with continuous self-study programs for Audi technicians, which are supported with specific computer programs and iTV shows – reports conveying information about products and repair procedures, which AUDI AG has been producing for more than four years and broadcasting to all markets via satellite.

BERLIN – Volkswagen AG said Sunday it was indefinitely postponing talks over a planned integration with Porsche SE, but the sports car maker insisted that only the next round had been canceled.

As the power struggle between two of Germany’s leading automobile companies appeared to increase, Volkswagen spokesman Peik von Bestenbostel told The Associated Press that the talks had been put on hold for an undetermined period of time, demanding a more direct engagement from Porsche.

“Before we can take up talks again, it is necessary that Porsche adopts a clearly constructive attitude toward them,” Peik von Bestenbostel said.

But Porsche insisted in a statement Sunday that while a working group meeting Monday on the fusion of the two car makers had been canceled, “The negotiations that were begun last week will continue as planned.”

The wrangling comes on the eve of a meeting by Porsche’s supervisory board, which will bring together VW Chairman Ferdinand Piech and members of the Porsche family — controlling shareholders of Porsche Automobil Holding SE.

Earlier this month, Piech and the Porsche family agreed on a plan to integrate the Porsche car-manufacturing group with Volkswagen, with the independence of the 10 brands of both companies being ensured.

But Piech, a grandson of Ferdinand Porsche, who founded the company that bears his name, questioned the plan on Tuesday by saying Porsche must reduce its debt before an integration could be possible, referring to the euro9 billion ($12.22 billion) in net debt Porsche took on as it brought its stake in Volkswagen up to 51 percent last year.

How best to handle that debt is expected to be the focus of Monday’s supervisory board meeting.

Yet VW also has accused Porsche of withholding information regarding the true expanse of its debts and what it expects to see happen if the two companies merge.

Gunnar Kilian, spokesman for the head of Volkswagen’s works council, Bernd Osterloh, told The Associated Press that constructive negotiations were not possible in the “current environment,” and he urged Porsche to clarify exactly how it envisions the integration process moving forward.

“Before we can proceed, Porsche needs to clarify exactly how they want to proceed in the event of a fusion. In particular, this needs to be discussed with our colleagues at Porsche,” Kilian wrote in an e-mail.

“Everyone at Volkswagen — from the supervisory board to the executive board to the works council — is open for a solution. But Porsche needs to make it clear internally what they hope to achieve.”

SALZBURG, Austria – Porsche SE announced Wednesday it was moving toward creating an “integrated” carmaker with fellow German automaker Volkswagen AG, but emphasized that the high-end sports car company would retain its independence.

The statement came following private meetings in Salzburg of the Piech and Porsche families — the controlling shareholders of Porsche Automobil Holding SE.

Porsche issued a statement in Stuttgart saying that they are now arguing “for the creation of an integrated car manufacturing group.”

Porsche is currently Volkswagen’s largest shareholder with 51 percent and has said it wants to raise that stake to 75 percent — but that goal probably wouldn’t be possible this year given the state of the global economy.

Porsche said the decision came out of “intensive talks about the deepening of the cooperation” which included discussing “the inclusion of capital measures.”

“In the final structure, 10 brands shall stand below an integrative leading company alongside each other, whereby the independence of all brands and explicitly also of Porsche shall be ensured,” the company said.

Porsche said talks would now continue “on this basis” with other stakeholders, including the German state of Lower Saxony.

“It is the aim to develop a corresponding basis for decision-making on the future structure of the common group within the next four weeks,” the company said.

Neither Porsche nor Volkswagen returned repeated calls seeking further details.

Media in Germany have recently reported that Porsche is experiencing financial difficulties stemming from efforts to increase its stake in Volkswagen and falling car sales from the world economic crisis.

At Volkswagen’s annual general meeting April 23, chief executive Martin Winterkorn said “I’m certain that we can and will advance our partnership in the difficult current year 2009,” but wasn’t more specific.

Winterkorn said the two companies together “have the stuff to develop the powerhouse of the international automobile industry.”

German media speculated the key topic was how to combine the two companies as Porsche looks to reduce euro9 billion in debt it took on to gain control of Wolfsburg-based Volkswagen AG, Europe’s biggest automaker by sales.

Porsche recently secured financing for euro10 billion ($13.3 billion) from a number of banks, and is reportedly seeking a further euro2.5 billion in financing.

Porsche Chief Executive Wendelin Wiedeking and Volkswagen supervisory board chief Ferdinand Piech were expected to discuss the options for the two companies, media reports said.

Piech, who owns about 10 percent of Porsche, is the grandson of Ferdinand Porsche, the founder of Porsche.

A supervisory board is the German equivalent of a U.S. board of directors.

The talks come even after Qatar acknowledged it was in discussions about the possibility of buying a stake in Porsche, too.

Sheik Hamad bin Jassem Al Thani was quoted last month by the country’s Al-Arab newspaper as saying that discussions and meetings are ongoing with the luxury sports car maker, but no decision had been reached.

Porsche shares were up 1.2 percent to close in Frankfurt at euro56.95, while Volkswagen shares were down 0.4 percent to euro232.69.

Source: Associated Press

RUF has been tuning Porsches since it opened its doors in 1932, but never would have anyone expected the brand to become its own recognized car maker. In the 1990s, RUF became huge with the aftermarket tuning industry by making high profile 911s and eventually, even Boxters.
Now well into the 21st century, RUF has branched out onto tuning every single model that Porsche releases, under its own roof. The newest addition to this trend has been the Porsche Cayenne, being rebuilt and recrafted into what RUF would call the “Dakara”. RUF’s version of the Porsche Cayenne has visual differences on the chassis as it is considerably widebodied and the headlights are straight from a Porsche 911. These sports car headlights may seem out of place because you say, this is not a sports car right? Wrong.
The 22 inch custom five spoke wheels assure that traction and power transfer of the mighty turbo V8 gets to the ground effectively. Power is set at 600 hp and torque is even more impressive since we see 659 lb-ft/lbs at only 3,000 rpm. This huge powerplant propels the Dakara to 60 mph in 4.8 seconds and can easily go back to 0 with the help of carbon ceramic brakes. Front and rear cameras assure that you don’t wreck the meticulously crafted body treatment and also help you park.
As far as we’re concerned, we like the Dakara and think that it actually looks very aggressive, can’t wait to see one on the road!

German tuner Gemballa has always been coming out with some of the most radical looks in the aftermarket industry, but it is rare for the tuner to go back and make “improvements”.
The engineers at Gemballa have updated their Mirage GT package and have created the “Carbon Edition”, developing 670 hp and good for 208 mph.
From a standstill, the Mirage Carbon will hit 60 clicks in 3.6 seconds (compared to 3.9 stock and 0 to 120 in 9.7 seconds. The total car weight will go down although official numbers will remain under wraps until official unveiling. We can’t wait!

The exterior of the Porsche Panamera is certainly controversial, but what about its interior? Well, it’s a little more conventional. Porsche has released the first ever photos of the car’s cabin, ahead of the official debut at the Geneva Motor Show. There’s no shortage of luxury or high-tech features, and the official starting price of $89,000 is certainly better than what was rumored a few months ago.

Porsche says that the Panamera is 76 inches in width, making it an especially wide sedan. A Mercedes-Benz S-Class, by comparison, is less than 74 inches wide. The Panamera measures 55.8 inches in height and 195.7 inches in length. This makes for a roomy interior, especially for just four passengers. The cabin is complete with 18-way adjustable front seats, and 8-way adjustable rear seats.

The entry-level powerplant will be Volkswagen’s 3.6-liter six-cylinder engine with 300 horsepower. The ‘S’ model will deliver 400 hp from a 4.8-liter V8, and the Turbo variant will offer an estimated 500 horses. The Panamera S will start at $89,000, while the all-wheel-drive 4S will cost $93,800. The Turbo will ring in at $132,600, which is slightly more than a Cayenne Turbo. U.S. sales are to begin in October.

The rear-wheel drive Panamera S has can sprint from zero to 60 mph in 5.2 seconds on its way to a top speed of 175 mph. The Panamera 4S can hit 60 in 4.8 seconds and achieves the same top speed. The all-wheel drive Panamera Turbo sets a zero to 60 time of 4 seconds flat and a top test-track speed of 188 mph.

All models are equipped with Porsche’s new PDK dual-clutch gearbox. Porsche is also planning a hybrid variant of the Panamera, though the automaker failed to disclose any further details. The turbocharged version will come standard with all-wheel-drive. Rear wheel drive will be standard otherwise with four-wheel propulsion a line-wide option.

The newest GT3 race car has proven to be a legendary model for both enthusiasts and professionals alike. The 2009 GT3 RSR has many juicy updates that make this newest version one of the most exciting and eye-pleasing since we can only remember.

Various aerodynamic tweaks have been thought through along with much lighter ceramic brakes, a new self adjustable pit-in blinker, a newly relocated oil filter and a air jack has been installed.

The infamous 6 cylinder motor has also been bored from 3.8 liters to 4.0 and puts out an astonishing 450 hp at 7,800 rpm. Torque is rated at 317 lb-ft at 7,200 rpm and is identical to last year’s figures. Porsche states that the car’s redline is limited at 9,000 rpm and power is distributed much smoother throughout the power band. Porsche has long been a contender in sports car racing and this RSR will guarantee a competitive edge slatted to play with the competition. Prices are set at a mere $494,000 (USD) and the first orders will be completed within the next 2 months.