2023-05-17 14:37:07 ET
German outlet Handelsblatt reports that Volkswagen ( OTCPK:VWAGY ) is set to unveil a restructuring of its flagship brand to bolster cost-saving efforts.
Per the report, the broad-reaching efforts to trim the fat could result in “at least €3B” in savings, but could bring significantly more in the end as a realignment of the model range is assessed. The outlet indicated that sources made clear that job cuts are not the main focus, but a reduction in build complexity and a non-replacement of retirees will be leveraged primarily. That said, headcount reductions are likely to result, at least to some degree, regardless of the intention, the report states.
The overhaul plans are due for an initial presentation to investors at a June 21 conference, per Handelsblatt .
Outside of the core Volkswagen brand, the company recently noted resilient demand for subsidiary automakers .
For further details see:
Volkswagen to outline multi-billion-euro cost saving program - report