Volkswagen Group
Encyclopedia
Volkswagen Group is a German multinational
automobile manufacturing
group. , Volkswagen was ranked as the world’s third largest motor vehicle manufacturer and Europe's largest.
The Group's parent company
Volkswagen Aktiengesellschaft, usually abbreviated to Volkswagen AG, develops vehicles and components for all marques of the whole group, and also manufactures complete vehicles for the Volkswagen Passenger Cars
and Volkswagen Commercial Vehicles
marques. , 50.73% of the voting rights in Volkswagen AG were held by Porsche Automobil Holding SE, which is also the parent company of Porsche AG. Volkswagen Group is divided into two primary divisions
: the Automotive Division, and the Financial Services Division. The Group consists of 342 Group companies, which are involved in either vehicle production or other related automotive services.
is Volkswagen Group's original marque, and the Group's other major subsidiaries
include passenger car marques such as Audi
, Bentley
, Bugatti, Lamborghini
, Porsche
, SEAT
, and Škoda
. Volkswagen AG also has operations in commercial vehicle
s, owning Volkswagen Commercial Vehicles
, along with a controlling stake in the Swedish
truck and diesel engine
manufacturer Scania AB, and a 55.9% stake in MAN SE. Volkswagen AG and Porsche SE
reached an agreement in August 2009 that the merger
of Porsche SE with Volkswagen would be completed in the course of 2011.
Rooted in Europe
, the Volkswagen Group operates worldwide. In 2010, Volkswagen Group's largest single country market was China
with 1,924,649 units delivered, followed by Germany
with 1,038,596 units. Divided by regions, Western Europe
is the largest market of the Volkswagen Group with 2,902,948 units in 2010, followed by Asia-Pacific
with 2,145,787 units and South America
with 907,778 units delivered in 2010.
Deutsche Arbeitsfront
(German Labour Front). The purpose of the company was to manufacture the Porsche Type 60, later better known as the Volkswagen Beetle
. On 16 September 1938, the company was renamed Volkswagenwerk GmbH ("Volkswagen Factory limited liability company").
During World War II
the Volkswagen plant near Fallersleben
primarily manufactured the military Kübelwagen (Porsche Type 82) and the related amphibious Schwimmwagen (Type 166), both of which were derived from the VW Beetle. Only a small number of Beetles were made during this time period. The plant also manufactured the V-1 flying bomb, also known as the "Buzz Bomb" or "Doodlebug", making the plant a major bombing target for the Allied forces. Much of the workforce at the plant was slave labor, primarily from eastern Europe.
After the Second World War in Europe, in June 1945, Major Ivan Hirst
of the British Army
Royal Electrical and Mechanical Engineers
(REME) took control of the bomb-shattered factory, and tried to dismantle it and ship it home. However, no British car manufacturer was interested; "the vehicle does not meet the fundamental technical requirement of a motor-car ... it is quite unattractive to the average buyer ... To build the car commercially would be a completely uneconomic enterprise". In 1948, the Ford Motor Company
was offered Volkswagen, but Ernest Breech, a Ford executive vice president said he didn't think either the plant or the car was "worth a damn." As part of the Industrial plans for Germany
, large parts of German industry, including Volkswagen, were to be dismantled. Total German car production was set at a maximum of 10% of the 1936 car production numbers. The company survived by producing cars for the British Army, and in 1948, the British Government handed the company back over to the German state, where it was managed by former-Opel
chief Heinrich Nordhoff
.
Production of the Type 1 Volkswagen Beetle
started slowly after the war due to the need to rebuild the plant and because of the lack of raw materials, but production grew rapidly in the 1950s and 1960s. The company began introducing new models based on the Beetle, all with the same basic air-cooled, rear-engine, rear-drive platform. These included the Volkswagen Type 2
in 1950, the Volkswagen Karmann Ghia
in 1955, the Volkswagen Type 3
in 1961, the Volkswagen Type 4
in 1968, and the Volkswagen Type 181 in 1969.
In 1960, upon the flotation of part of the German federal government's stake in the company on the German stock market, its name became Volkswagenwerk Aktiengesellschaft
(usually abbreviated to Volkswagenwerk AG).
On 1 January 1965, Volkswagenwerk acquired Auto Union GmbH
from its parent company Daimler-Benz
. The new subsidiary went on to produce the first post-war Audi
models, the Audi F103
series, shortly afterwards.
Another German manufacturer, NSU Motorenwerke AG
, was merged into Auto Union on 26 August 1969, creating a new company, Audi NSU Auto Union AG (later renamed AUDI AG in 1985).
From the late 1970s to 1992, the acronym V.A.G was used by Volkswagen AG as a brand for group-wide activities, such as distribution and leasing. Contrary to popular belief, "V.A.G" had no official meaning, and was never the name of the Volkswagen Group.
On 30 September 1982, Volkswagenwerk made its first step expanding outside of Germany by signing a co-operation agreement with the Spanish car manufacturer SEAT, S.A.
.
In order to reflect the company's increasing global diversification from its headquarters and main plant (the Volkswagenwerk in Wolfsburg
), on 4 July 1985, the company name was changed again – to Volkswagen Aktiengesellschaft (Volkswagen AG).
On 18 June 1986, Volkswagen AG acquired a 51% controlling stake in SEAT making it the first non-German subsidiary of the Volkswagen Group. On 23 December the same year, it became the Spanish company's major shareholder by increasing its share up to 75%.
In 1990 – after purchasing its entire equity – Volkswagen AG took over the full ownership of SEAT making the company a wholly owned subsidiary, and on 28 March 1991 another step to the expansion of the group's activities was made through the signing of a joint venture partnership agreement with Škoda automobilová a.s.
of Czechoslovakia
, accompanied with the acquisition of a 30% stake in the Czech car manufacturer, raised later on 19 December 1994 to 60.3% and the year after, on 11 December 1995, to 70% of its shares.
Three prestige automotive marques were added to the Volkswagen portfolio in 1998: Bentley
, Lamborghini
and Bugatti.
On 30 May 2000, Volkswagen AG – after having gradually raised its equity share – turned Škoda Auto into a wholly owned subsidiary.
From 2002 up to 2007, the Volkswagen Group's automotive division was restructured so that two major Brand Groups with differentiated profile would be formed, the Audi Brand Group focused on more sporty values – consisted of Audi, SEAT and Lamborghini – and the Volkswagen Brand Group on the field of classic values – consisted of Volkswagen, Skoda, Bentley and Bugatti – with each Brand Group's product vehicles and performance being respectively under the higher responsibility of Audi and Volkswagen brands.
acquired an 18.53 percent stake in the business, and in July 2006, Porsche increased that ownership to more than 25 percent. Analysts disagreed as to whether the investment was a good fit for Porsche's strategy.
On 26 March 2007, after the European Union
moved against a German law that protected Volkswagen Group from takeovers, Porsche took its holding to 30.9 percent, triggering a takeover bid under German law. Porsche formally announced in a press statement that it did not intend to take over Volkswagen Group, setting its offer price at the lowest possible legal value, but intended the move to avoid a competitor taking a large stake, or to stop hedge funds dismantling Volkswagen Group, which is Porsche's most important partner. On 3 March 2008, Porsche announced that it has decided to increase its Volkswagen AG stake up to 51 percent, which would be completed before the end of the year. This was announced just hours after VWAG declared it would take a majority stake in the Swedish truck and engine maker Scania.
On 16 September 2008, Porsche announced that the company had increased its stake in Volkswagen AG to 35 percent. As of October 2008, Porsche held 42.6 percent of Volkswagen AG's ordinary shares, and holds stock option
s on another 31.5 percent. On 28 October 2008, Porsche announced that they effectively held over 74 percent; 42.6 percent actual shares, and the rest as convertible options. It was announced on 7 January 2009 that Porsche now owns 50.76 percent of Volkswagen AG. Volkswagen AG briefly became the world's most valuable company, as the stock price rose to over €1,000 per share as short sellers tried to cover their positions.
The share ownership of Volkswagen AG is distributed as follows:
, and are listed under the 'VOW' and 'VOW3' stock ticker symbols
. First listed in August 1961, the shares were issued at a price of DM 350 per DM 100 share, Volkswagen AG shares are now separated into two different types or classes: 'ordinary shares
' and 'preference shares
'. The ordinary shares are now traded under the WKN
766400 and ISIN DE0007664005 listings, and the preference shares under the WKN 766403 and ISIN DE0007664039 listings.
Volkswagen AG shares are also listed and traded on other major domestic and worldwide stock exchange
s. In Germany's domestic exchanges, since 1961 these include those in Berlin
, Düsseldorf, Hamburg, Hanover, Munich
and Stuttgart
. International exchanges include those in Basel (listed in 1967), Geneva (1967), Zürich (1967), Luxembourg
(1979), London
(1988), and New York
(1988).
Since the start of trading in 1961, Volkswagen AG shares have been subjected to two stock split
s – the first was on 17 March 1969 when they were split at a ratio of 2:1, from a DM 100 share to a DM 50 share. The second split occurred on 6 July 1998, the DM 50 share being converted into a share of no overall nominal value, at a ratio of 1:10.
From 23 December 2009, Volkswagen AG preferred shares replaced its ordinary shares in the DAX
index.
The worldwide ranking of automakers is compiled once per year by the International Organization of Motor Vehicle Manufacturers OICA. In 2010, the Volkswagen Group ranked third on the list with 7.3 million units produced globally.
The European ranking of automakers is compiled monthly by the European Auto Manufacturers' Association ACEA. By the end of 2010, the Volkswagen Group was the number one automaker in Europe with 2.8 million units sold in the EU27. Volkswagen has held the top spot in Europe uninterrupted for more than two decades.
By the middle of 2011, former global leader Toyota had fallen to place three, with GM first and Volkswagen second. However, the annual ranking is established once per year, with the OICA list usually published in late July or early August of the following year. Officially, the 2010 ranking will remain in place until the 2011 ranking is announced by summer of 2012.
Germany AUDI AG
, the Audi Group, and the Audi marque: 99.55% ownership; the Audi marque is the sole active marque of the former Auto Union
, bought from Daimler-Benz
on 30 December 1964.
Italy Automobili Lamborghini S.p.A.
, and the Lamborghini marque: 100% ownership by Audi AG; company was bought in June 1998.
Bentley Motors Limited
, and the Bentley marque: 100% ownership by Volkswagen AG; the company (at the time known as Rolls-Royce
& Bentley Motors Ltd.) was bought on 28 July 1998 from Vickers
, but did not include the 'Rolls-Royce
' brand name. The Rolls-Royce
marque was subsequently restarted by BMW
who had licensed the brand from Rolls-Royce plc
.
France Bugatti Automobiles S.A.S., and the Bugatti marque: 100% ownership via the Volkswagen France subsidiary, Bugatti Automobiles S.A.S. was created after Volkswagen Group purchased the right to the Bugatti marque.
Spain SEAT, S.A.
, and the SEAT marque: 100% ownership since 1990; initially in 1982 a co-operation agreement with Audi AG; 51% and 75% ownership in 1986, being the first non-German subsidiary of the Volkswagen Group.
Czech Republic Škoda automobilová a.s.
, Škoda Auto, and the Škoda marque: 100% ownership since 2000; initially in 1991 a co-operation agreement and 30% ownership; 60.3% and 70% ownership on 1994 and 1995 respectively
Germany Volkswagen Passenger Cars
, and the Volkswagen marque: the founding marque of the company, 100% ownership.
Germany Volkswagen Commercial Vehicles
(VWCV), or : 100% ownership; started operations as an independent entity in 1995. VWCV/VWN is in charge of all commercial vehicle
developments within the Group, and has control over Scania AB and is a major shareholder in MAN SE.
Sweden Scania AB
, and the Scania marque (controlling shareholder): Acquired July 2008 becoming the 9th marque of the Group, 70.94% of voting rights .
Germany MAN SE, and the MAN marque (controlling shareholder): Acquired July 2011 becoming the 10th marque of the Group, 55.9% of voting rights .
Note: From July 1998 until December 2002, the Group's Bentley division also sold cars under the Rolls-Royce
marque, under an agreement with BMW
, which had bought the rights to the Rolls-Royce name, but not the Rolls-Royce operations. From 2003, only BMW has been able to make cars under the Rolls-Royce marque.
The Group also owns five inactive marques, via Audi AG: Auto Union
(the Auto Union company, together with NSU Motorenwerke AG
(NSU), were merged into "Audi NSU Auto-Union AG" in 1969. The name was shortened to "Audi AG" in 1985, and the interlocked four-ring badge from Auto Union is still used by Audi AG).
Dampf-Kraft-Wagen (DKW)
Horch
NSU Motorenwerke AG
(NSU) – bought in 1969 by Volkswagen AG, and merged into Audi AG; the NSU brand has not been used since 1977. However, the current Audi AG shares trade under the ticker symbol "NSU".
Wanderer
These heritage marques are retained and managed through the companies Auto Union GmbH and NSU GmbH, both of which are 100% owned by Audi AG.
out of bankruptcy protection. In November 2009, the Supervisory Board of Volkswagen AG approved the acquisition of assets of Karmann, and plan to restart vehicle production at their Osnabrück
plant in 2012.
's issued shares on 15 January 2010. Suzuki intends to invest up to one half of the amount received from Volkswagen into shares of Volkswagen.
house Italdesign Giugiaro
.
In only less than three months, the transaction had been completed making the Italian firm a member of the Volkswagen Group.
(more commonly known as Porsche AG) in a first step towards an 'integrated automotive group' with Porsche. The merger of Volkswagen AG and Porsche SE was scheduled to take place during the course of 2011. On 8 September 2011, it was announced that the planned merger "cannot be implemented within the time frame provided for in the Comprehensive Agreement." As reasons, unquantifiable legal risks, including a criminal probe into the holding's former management team were given. Both parties "remain committed to the goal of creating an integrated automotive group with Porsche and are convinced that this will take place."
, with investments having included the 2008 Summer Olympics
, the 2014 Winter Olympics
, as well as the David Beckham Academy
. Volkswagen AG wholly owns the Bundesliga
football side VfL Wolfsburg
; and the company is also the shirt sponsor of Major League Soccer
club D.C. United
.
Multinational corporation
A multi national corporation or enterprise , is a corporation or an enterprise that manages production or delivers services in more than one country. It can also be referred to as an international corporation...
automobile manufacturing
Automotive engineering
Modern automotive engineering, along with aerospace engineering and marine engineering, is a branch of vehicle engineering, incorporating elements of mechanical, electrical, electronic, software and safety engineering as applied to the design, manufacture and operation of motorcycles, automobiles,...
group. , Volkswagen was ranked as the world’s third largest motor vehicle manufacturer and Europe's largest.
The Group's parent company
Parent company
A parent company is a company that owns enough voting stock in another firm to control management and operations by influencing or electing its board of directors; the second company being deemed as a subsidiary of the parent company...
Volkswagen Aktiengesellschaft, usually abbreviated to Volkswagen AG, develops vehicles and components for all marques of the whole group, and also manufactures complete vehicles for the Volkswagen Passenger Cars
Volkswagen
Volkswagen is a German automobile manufacturer and is the original and biggest-selling marque of the Volkswagen Group, which now also owns the Audi, Bentley, Bugatti, Lamborghini, SEAT, and Škoda marques and the truck manufacturer Scania.Volkswagen means "people's car" in German, where it is...
and Volkswagen Commercial Vehicles
Volkswagen Commercial Vehicles
Volkswagen Commercial Vehicles , , is a German manufacturer of commercial vehicles. Originally part of the Volkswagen Passenger Cars company, it is now a separate brand and marque of the Volkswagen Group....
marques. , 50.73% of the voting rights in Volkswagen AG were held by Porsche Automobil Holding SE, which is also the parent company of Porsche AG. Volkswagen Group is divided into two primary divisions
Division (business)
A division of a business entity is a portion of that business that operates under a different name. It is the equivalent of a corporation or limited liability company obtaining a fictitious name or "doing business as" certificate and operating a business under that fictitious name...
: the Automotive Division, and the Financial Services Division. The Group consists of 342 Group companies, which are involved in either vehicle production or other related automotive services.
Overview
Volkswagen Passenger CarsVolkswagen
Volkswagen is a German automobile manufacturer and is the original and biggest-selling marque of the Volkswagen Group, which now also owns the Audi, Bentley, Bugatti, Lamborghini, SEAT, and Škoda marques and the truck manufacturer Scania.Volkswagen means "people's car" in German, where it is...
is Volkswagen Group's original marque, and the Group's other major subsidiaries
Subsidiary
A subsidiary company, subsidiary, or daughter company is a company that is completely or partly owned and wholly controlled by another company that owns more than half of the subsidiary's stock. The subsidiary can be a company, corporation, or limited liability company. In some cases it is a...
include passenger car marques such as Audi
Audi
Audi AG is a German automobile manufacturer, from supermini to crossover SUVs in various body styles and price ranges that are marketed under the Audi brand , positioned as the premium brand within the Volkswagen Group....
, Bentley
Bentley
Bentley Motors Limited is a British manufacturer of automobiles founded on 18 January 1919 by Walter Owen Bentley known as W.O. Bentley or just "W O". Bentley had been previously known for his range of rotary aero-engines in World War I, the most famous being the Bentley BR1 as used in later...
, Bugatti, Lamborghini
Lamborghini
Automobili Lamborghini S.p.A., commonly referred to as Lamborghini , is an Italian car manufacturer. The company was founded by manufacturing magnate Ferruccio Lamborghini in 1963, with the objective of producing a refined grand touring car to compete with established offerings from marques like...
, Porsche
Porsche
Porsche Automobil Holding SE, usually shortened to Porsche SE a Societas Europaea or European Public Company, is a German based holding company with investments in the automotive industry....
, SEAT
SEAT
SEAT, S.A. is a Spanish automobile manufacturer founded on May 9, 1950 by the Instituto Nacional de Industria , a state-owned industrial holding company....
, and Škoda
Škoda Auto
Škoda Auto , more commonly known as Škoda, is an automobile manufacturer based in the Czech Republic. Škoda became a wholly owned subsidiary of the Volkswagen Group in 2000, positioned as the entry brand to the group...
. Volkswagen AG also has operations in commercial vehicle
Commercial vehicle
A commercial vehicle is a type of motor vehicle that may be used for transporting goods or passengers. The European Union defines "commercial motor vehicle" as any motorised road vehicle, which by its type of construction and equipment is designed for, and capable of transporting, whether for...
s, owning Volkswagen Commercial Vehicles
Volkswagen Commercial Vehicles
Volkswagen Commercial Vehicles , , is a German manufacturer of commercial vehicles. Originally part of the Volkswagen Passenger Cars company, it is now a separate brand and marque of the Volkswagen Group....
, along with a controlling stake in the Swedish
Sweden
Sweden , officially the Kingdom of Sweden , is a Nordic country on the Scandinavian Peninsula in Northern Europe. Sweden borders with Norway and Finland and is connected to Denmark by a bridge-tunnel across the Öresund....
truck and diesel engine
Diesel engine
A diesel engine is an internal combustion engine that uses the heat of compression to initiate ignition to burn the fuel, which is injected into the combustion chamber...
manufacturer Scania AB, and a 55.9% stake in MAN SE. Volkswagen AG and Porsche SE
Porsche
Porsche Automobil Holding SE, usually shortened to Porsche SE a Societas Europaea or European Public Company, is a German based holding company with investments in the automotive industry....
reached an agreement in August 2009 that the merger
Mergers and acquisitions
Mergers and acquisitions refers to the aspect of corporate strategy, corporate finance and management dealing with the buying, selling, dividing and combining of different companies and similar entities that can help an enterprise grow rapidly in its sector or location of origin, or a new field or...
of Porsche SE with Volkswagen would be completed in the course of 2011.
Rooted in Europe
Europe
Europe is, by convention, one of the world's seven continents. Comprising the westernmost peninsula of Eurasia, Europe is generally 'divided' from Asia to its east by the watershed divides of the Ural and Caucasus Mountains, the Ural River, the Caspian and Black Seas, and the waterways connecting...
, the Volkswagen Group operates worldwide. In 2010, Volkswagen Group's largest single country market was China
People's Republic of China
China , officially the People's Republic of China , is the most populous country in the world, with over 1.3 billion citizens. Located in East Asia, the country covers approximately 9.6 million square kilometres...
with 1,924,649 units delivered, followed by Germany
Germany
Germany , officially the Federal Republic of Germany , is a federal parliamentary republic in Europe. The country consists of 16 states while the capital and largest city is Berlin. Germany covers an area of 357,021 km2 and has a largely temperate seasonal climate...
with 1,038,596 units. Divided by regions, Western Europe
Western Europe
Western Europe is a loose term for the collection of countries in the western most region of the European continents, though this definition is context-dependent and carries cultural and political connotations. One definition describes Western Europe as a geographic entity—the region lying in the...
is the largest market of the Volkswagen Group with 2,902,948 units in 2010, followed by Asia-Pacific
Asia-Pacific
Asia-Pacific or Asia Pacific is the part of the world in or near the Western Pacific Ocean...
with 2,145,787 units and South America
South America
South America is a continent situated in the Western Hemisphere, mostly in the Southern Hemisphere, with a relatively small portion in the Northern Hemisphere. The continent is also considered a subcontinent of the Americas. It is bordered on the west by the Pacific Ocean and on the north and east...
with 907,778 units delivered in 2010.
History
Volkswagen was founded on 28 May 1937 as the Gesellschaft zur Vorbereitung des Deutschen Volkswagens mbH ("Society for the preparation of the German People's Car", sometimes abbreviated to Gezuvor) by the NaziNazism
Nazism, the common short form name of National Socialism was the ideology and practice of the Nazi Party and of Nazi Germany...
Deutsche Arbeitsfront
German Labour Front
The German Labour Front was the National Socialist trade union organisation which replaced the various trade unions of the Weimar Republic after Adolf Hitler's rise to power....
(German Labour Front). The purpose of the company was to manufacture the Porsche Type 60, later better known as the Volkswagen Beetle
Volkswagen Beetle
The Volkswagen Type 1, widely known as the Volkswagen Beetle or Volkswagen Bug, is an economy car produced by the German auto maker Volkswagen from 1938 until 2003...
. On 16 September 1938, the company was renamed Volkswagenwerk GmbH ("Volkswagen Factory limited liability company").
During World War II
World War II
World War II, or the Second World War , was a global conflict lasting from 1939 to 1945, involving most of the world's nations—including all of the great powers—eventually forming two opposing military alliances: the Allies and the Axis...
the Volkswagen plant near Fallersleben
Fallersleben
Fallersleben is a district in the City of Wolfsburg, Lower Saxony, Germany, with a population of 11,269 . The village of Fallersleben was first mentioned in 942 under the name of Valareslebo. Fallersleben became a city in 1929, and was incorporated into Wolfsburg in 1972. Before 1972, it belonged...
primarily manufactured the military Kübelwagen (Porsche Type 82) and the related amphibious Schwimmwagen (Type 166), both of which were derived from the VW Beetle. Only a small number of Beetles were made during this time period. The plant also manufactured the V-1 flying bomb, also known as the "Buzz Bomb" or "Doodlebug", making the plant a major bombing target for the Allied forces. Much of the workforce at the plant was slave labor, primarily from eastern Europe.
After the Second World War in Europe, in June 1945, Major Ivan Hirst
Ivan Hirst
Major Ivan Hirst , was a British Army officer and engineer who was instrumental in reviving Volkswagen from a single factory in Wolfsburg, Germany, into a major postwar automotive manufacturer.-Education:...
of the British Army
British Army
The British Army is the land warfare branch of Her Majesty's Armed Forces in the United Kingdom. It came into being with the unification of the Kingdom of England and Scotland into the Kingdom of Great Britain in 1707. The new British Army incorporated Regiments that had already existed in England...
Royal Electrical and Mechanical Engineers
Royal Electrical and Mechanical Engineers
The Corps of Royal Electrical and Mechanical Engineers is a corps of the British Army that has responsibility for the maintenance, servicing and inspection of almost every electrical and mechanical piece of equipment within the British Army from Challenger II main battle tanks and WAH64 Apache...
(REME) took control of the bomb-shattered factory, and tried to dismantle it and ship it home. However, no British car manufacturer was interested; "the vehicle does not meet the fundamental technical requirement of a motor-car ... it is quite unattractive to the average buyer ... To build the car commercially would be a completely uneconomic enterprise". In 1948, the Ford Motor Company
Ford Motor Company
Ford Motor Company is an American multinational automaker based in Dearborn, Michigan, a suburb of Detroit. The automaker was founded by Henry Ford and incorporated on June 16, 1903. In addition to the Ford and Lincoln brands, Ford also owns a small stake in Mazda in Japan and Aston Martin in the UK...
was offered Volkswagen, but Ernest Breech, a Ford executive vice president said he didn't think either the plant or the car was "worth a damn." As part of the Industrial plans for Germany
Industrial plans for Germany
The Industrial plans for Germany were designs the Allies considered imposing on Germany in the aftermath of World War II to reduce and manage Germany's industrial capacity.-Background:...
, large parts of German industry, including Volkswagen, were to be dismantled. Total German car production was set at a maximum of 10% of the 1936 car production numbers. The company survived by producing cars for the British Army, and in 1948, the British Government handed the company back over to the German state, where it was managed by former-Opel
Opel
Adam Opel AG, generally shortened to Opel, is a German automobile company founded by Adam Opel in 1862. Opel has been building automobiles since 1899, and became an Aktiengesellschaft in 1929...
chief Heinrich Nordhoff
Heinrich Nordhoff
Heinz Heinrich Nordhoff was a German engineer famous for his leadership of the Volkswagen company as it was rebuilt after World War II....
.
Production of the Type 1 Volkswagen Beetle
Volkswagen Beetle
The Volkswagen Type 1, widely known as the Volkswagen Beetle or Volkswagen Bug, is an economy car produced by the German auto maker Volkswagen from 1938 until 2003...
started slowly after the war due to the need to rebuild the plant and because of the lack of raw materials, but production grew rapidly in the 1950s and 1960s. The company began introducing new models based on the Beetle, all with the same basic air-cooled, rear-engine, rear-drive platform. These included the Volkswagen Type 2
Volkswagen Type 2
The Volkswagen Type 2, officially known as the Transporter or Kombi informally as Bus or Camper , was a panel van introduced in 1950 by German automaker Volkswagen as its second car model – following and initially deriving from Volkswagen's first model, the Type 1 , it was given the factory...
in 1950, the Volkswagen Karmann Ghia
Volkswagen Karmann Ghia
The Volkswagen Karmann Ghia is a 2+2 coupe and convertible marketed from 1955 to 1974 by Volkswagen – combining the chassis and mechanicals of the Type 1 , styling by Luigi Segre of the Italian carrozzeria Ghia, and hand-built bodywork by German coach-builder Karmann.The Karmann Ghia was...
in 1955, the Volkswagen Type 3
Volkswagen Type 3
The Volkswagen Type 3 was a range of small cars from German manufacturer Volkswagen , introduced at the 1961 Frankfurt Motor Show, Internationale Automobil-Ausstellung ....
in 1961, the Volkswagen Type 4
Volkswagen Type 4
The Volkswagen Type 4 is a mid-sized car manufactured and marketed by Volkswagen of Germany from 1968-1974 in two-door and four-door sedan as well as two-door station wagon body styles...
in 1968, and the Volkswagen Type 181 in 1969.
In 1960, upon the flotation of part of the German federal government's stake in the company on the German stock market, its name became Volkswagenwerk Aktiengesellschaft
Aktiengesellschaft
Aktiengesellschaft is a German term that refers to a corporation that is limited by shares, i.e. owned by shareholders, and may be traded on a stock market. The term is used in Germany, Austria and Switzerland...
(usually abbreviated to Volkswagenwerk AG).
On 1 January 1965, Volkswagenwerk acquired Auto Union GmbH
Auto Union
Auto Union was an amalgamation of four German automobile manufacturers, founded in 1932 and established in 1936 in Chemnitz, Saxony, during the Great Depression. The company has evolved into present day Audi, as a subsidiary of Volkswagen Group....
from its parent company Daimler-Benz
Daimler-Benz
Daimler-Benz AG was a German manufacturer of automobiles, motor vehicles, and internal combustion engines; founded in 1926. An Agreement of Mutual Interest - which was valid until year 2000 - was signed on 1 May 1924 between Karl Benz's Benz & Cie., and Daimler Motoren Gesellschaft, which had...
. The new subsidiary went on to produce the first post-war Audi
Audi
Audi AG is a German automobile manufacturer, from supermini to crossover SUVs in various body styles and price ranges that are marketed under the Audi brand , positioned as the premium brand within the Volkswagen Group....
models, the Audi F103
Audi F103
F103 is the internal designation for a series of car models produced by Auto Union in West Germany from 1965 to 1972, derived from the earlier DKW F102...
series, shortly afterwards.
Another German manufacturer, NSU Motorenwerke AG
NSU Motorenwerke AG
NSU Motorenwerke AG, normally just NSU, was a German manufacturer of automobiles, motorcycles and pedal cycles, founded in 1873. It was acquired by Volkswagen Group in 1969...
, was merged into Auto Union on 26 August 1969, creating a new company, Audi NSU Auto Union AG (later renamed AUDI AG in 1985).
From the late 1970s to 1992, the acronym V.A.G was used by Volkswagen AG as a brand for group-wide activities, such as distribution and leasing. Contrary to popular belief, "V.A.G" had no official meaning, and was never the name of the Volkswagen Group.
On 30 September 1982, Volkswagenwerk made its first step expanding outside of Germany by signing a co-operation agreement with the Spanish car manufacturer SEAT, S.A.
SEAT
SEAT, S.A. is a Spanish automobile manufacturer founded on May 9, 1950 by the Instituto Nacional de Industria , a state-owned industrial holding company....
.
In order to reflect the company's increasing global diversification from its headquarters and main plant (the Volkswagenwerk in Wolfsburg
Wolfsburg
Wolfsburg is a town in Lower Saxony, Germany. It is located on the River Aller northeast of Braunschweig , and is mainly notable as the headquarters of Volkswagen AG...
), on 4 July 1985, the company name was changed again – to Volkswagen Aktiengesellschaft (Volkswagen AG).
On 18 June 1986, Volkswagen AG acquired a 51% controlling stake in SEAT making it the first non-German subsidiary of the Volkswagen Group. On 23 December the same year, it became the Spanish company's major shareholder by increasing its share up to 75%.
In 1990 – after purchasing its entire equity – Volkswagen AG took over the full ownership of SEAT making the company a wholly owned subsidiary, and on 28 March 1991 another step to the expansion of the group's activities was made through the signing of a joint venture partnership agreement with Škoda automobilová a.s.
Škoda Auto
Škoda Auto , more commonly known as Škoda, is an automobile manufacturer based in the Czech Republic. Škoda became a wholly owned subsidiary of the Volkswagen Group in 2000, positioned as the entry brand to the group...
of Czechoslovakia
Czechoslovakia
Czechoslovakia or Czecho-Slovakia was a sovereign state in Central Europe which existed from October 1918, when it declared its independence from the Austro-Hungarian Empire, until 1992...
, accompanied with the acquisition of a 30% stake in the Czech car manufacturer, raised later on 19 December 1994 to 60.3% and the year after, on 11 December 1995, to 70% of its shares.
Three prestige automotive marques were added to the Volkswagen portfolio in 1998: Bentley
Bentley
Bentley Motors Limited is a British manufacturer of automobiles founded on 18 January 1919 by Walter Owen Bentley known as W.O. Bentley or just "W O". Bentley had been previously known for his range of rotary aero-engines in World War I, the most famous being the Bentley BR1 as used in later...
, Lamborghini
Lamborghini
Automobili Lamborghini S.p.A., commonly referred to as Lamborghini , is an Italian car manufacturer. The company was founded by manufacturing magnate Ferruccio Lamborghini in 1963, with the objective of producing a refined grand touring car to compete with established offerings from marques like...
and Bugatti.
On 30 May 2000, Volkswagen AG – after having gradually raised its equity share – turned Škoda Auto into a wholly owned subsidiary.
From 2002 up to 2007, the Volkswagen Group's automotive division was restructured so that two major Brand Groups with differentiated profile would be formed, the Audi Brand Group focused on more sporty values – consisted of Audi, SEAT and Lamborghini – and the Volkswagen Brand Group on the field of classic values – consisted of Volkswagen, Skoda, Bentley and Bugatti – with each Brand Group's product vehicles and performance being respectively under the higher responsibility of Audi and Volkswagen brands.
Volkswagen AG ownership
Under the so-called "Volkswagen Law", no shareholder in Volkswagen AG could exercise more than 20 percent of the firm's voting rights, regardless of their level of stock holding. In October 2005, PorschePorsche
Porsche Automobil Holding SE, usually shortened to Porsche SE a Societas Europaea or European Public Company, is a German based holding company with investments in the automotive industry....
acquired an 18.53 percent stake in the business, and in July 2006, Porsche increased that ownership to more than 25 percent. Analysts disagreed as to whether the investment was a good fit for Porsche's strategy.
On 26 March 2007, after the European Union
European Union
The European Union is an economic and political union of 27 independent member states which are located primarily in Europe. The EU traces its origins from the European Coal and Steel Community and the European Economic Community , formed by six countries in 1958...
moved against a German law that protected Volkswagen Group from takeovers, Porsche took its holding to 30.9 percent, triggering a takeover bid under German law. Porsche formally announced in a press statement that it did not intend to take over Volkswagen Group, setting its offer price at the lowest possible legal value, but intended the move to avoid a competitor taking a large stake, or to stop hedge funds dismantling Volkswagen Group, which is Porsche's most important partner. On 3 March 2008, Porsche announced that it has decided to increase its Volkswagen AG stake up to 51 percent, which would be completed before the end of the year. This was announced just hours after VWAG declared it would take a majority stake in the Swedish truck and engine maker Scania.
On 16 September 2008, Porsche announced that the company had increased its stake in Volkswagen AG to 35 percent. As of October 2008, Porsche held 42.6 percent of Volkswagen AG's ordinary shares, and holds stock option
Option (finance)
In finance, an option is a derivative financial instrument that specifies a contract between two parties for a future transaction on an asset at a reference price. The buyer of the option gains the right, but not the obligation, to engage in that transaction, while the seller incurs the...
s on another 31.5 percent. On 28 October 2008, Porsche announced that they effectively held over 74 percent; 42.6 percent actual shares, and the rest as convertible options. It was announced on 7 January 2009 that Porsche now owns 50.76 percent of Volkswagen AG. Volkswagen AG briefly became the world's most valuable company, as the stock price rose to over €1,000 per share as short sellers tried to cover their positions.
The share ownership of Volkswagen AG is distributed as follows:
| Percentage | Shareholder Shareholder A shareholder or stockholder is an individual or institution that legally owns one or more shares of stock in a public or private corporation. Shareholders own the stock, but not the corporation itself .... name |
|---|---|
| 32.2% | Porsche Automobil Holding SE Porsche Porsche Automobil Holding SE, usually shortened to Porsche SE a Societas Europaea or European Public Company, is a German based holding company with investments in the automotive industry.... |
| 23.3% | Foreign institutional investors |
| 16.4% | Qatar Holding LLC Qatar Investment Authority The Qatar Investment Authority is Qatar's sovereign wealth fund, specializing in domestic and foreign investment. It was founded in 2005 to manage the oil and natural gas surpluses by the Government of Qatar... |
| 12.9% | State of Lower Saxony Lower Saxony Lower Saxony is a German state situated in north-western Germany and is second in area and fourth in population among the sixteen states of Germany... |
| 11.0% | Private shareholders / others |
| 2.9% | German institutional investors |
| 1.3% | Porsche Holding GmbH, Salzburg |
| Percentage | Shareholder Shareholder A shareholder or stockholder is an individual or institution that legally owns one or more shares of stock in a public or private corporation. Shareholders own the stock, but not the corporation itself .... name |
|---|---|
| 50.74% | Porsche Automobil Holding SE Porsche Porsche Automobil Holding SE, usually shortened to Porsche SE a Societas Europaea or European Public Company, is a German based holding company with investments in the automotive industry.... , Stuttgart Stuttgart Stuttgart is the capital of the state of Baden-Württemberg in southern Germany. The sixth-largest city in Germany, Stuttgart has a population of 600,038 while the metropolitan area has a population of 5.3 million .... |
| 20.00% | State of Lower Saxony Lower Saxony Lower Saxony is a German state situated in north-western Germany and is second in area and fourth in population among the sixteen states of Germany... , Hanover Hanover Hanover or Hannover, on the river Leine, is the capital of the federal state of Lower Saxony , Germany and was once by personal union the family seat of the Hanoverian Kings of Great Britain, under their title as the dukes of Brunswick-Lüneburg... |
| 17.00% | Qatar Holding |
| 2.37% | Porsche GmbH, Salzburg Salzburg -Population development:In 1935, the population significantly increased when Salzburg absorbed adjacent municipalities. After World War II, numerous refugees found a new home in the city. New residential space was created for American soldiers of the postwar Occupation, and could be used for... |
| 9.89% | Others |
Share information
Volkswagen AG shares are primarily traded on the Frankfurt Stock ExchangeFrankfurt Stock Exchange
The Frankfurt Stock Exchange is the world's 12th largest stock exchange by market capitalization. Located in Frankfurt am Main, Germany, the Frankfurt Stock Exchange is owned and operated by Deutsche Börse, which also owns the European futures exchange Eurex and the clearing company...
, and are listed under the 'VOW' and 'VOW3' stock ticker symbols
Ticker symbol
A stock symbol or ticker symbol is a short abbreviation used to uniquely identify publicly traded shares of a particular stock on a particular stock market. A stock symbol may consist of letters, numbers or a combination of both. "Ticker symbol" refers to the symbols that were printed on the ticker...
. First listed in August 1961, the shares were issued at a price of DM 350 per DM 100 share, Volkswagen AG shares are now separated into two different types or classes: 'ordinary shares
Common stock
Common stock is a form of corporate equity ownership, a type of security. It is called "common" to distinguish it from preferred stock. In the event of bankruptcy, common stock investors receive their funds after preferred stock holders, bondholders, creditors, etc...
' and 'preference shares
Preferred stock
Preferred stock, also called preferred shares, preference shares, or simply preferreds, is a special equity security that has properties of both an equity and a debt instrument and is generally considered a hybrid instrument...
'. The ordinary shares are now traded under the WKN
Wertpapierkennummer
The Wertpapierkennnummer, , is a German securities identification code. Six digits or capital letters , no check digit.- Changes in format :...
766400 and ISIN DE0007664005 listings, and the preference shares under the WKN 766403 and ISIN DE0007664039 listings.
Volkswagen AG shares are also listed and traded on other major domestic and worldwide stock exchange
Stock exchange
A stock exchange is an entity that provides services for stock brokers and traders to trade stocks, bonds, and other securities. Stock exchanges also provide facilities for issue and redemption of securities and other financial instruments, and capital events including the payment of income and...
s. In Germany's domestic exchanges, since 1961 these include those in Berlin
Berliner Börse
Börse Berlin AG is a stock exchange based in Berlin, Germany, founded in 1685 through an edict of Great Elector Friedrich Wilhelm and is one of the oldest exchanges in Germany...
, Düsseldorf, Hamburg, Hanover, Munich
Börse München
The Börse München is a stock exchange based in Munich, Germany. Founded in 1830, it currently lists over 6300 securities.-History:The Börse München was officially founded in 1869, but its origins go back to the 1830s, when traders from Munich started meeting regularly to trade securities. It was...
and Stuttgart
Börse Stuttgart
Börse Stuttgart is a stock exchange in Germany. Since late 2007, Börse Stuttgart holds a 82.4 percent stake in EUWAX AG. In November 2008, Börse Stuttgart Holding GmbH acquired Nordic Growth Market NGM AB, the second largest stock exchange in Sweden. T.I.Q.S. GmbH & Co. KG, a joint venture of...
. International exchanges include those in Basel (listed in 1967), Geneva (1967), Zürich (1967), Luxembourg
Luxembourg Stock Exchange
The Luxembourg Stock Exchange is a stock exchange based in Luxembourg City, in southern Luxembourg.The Exchange is located on avenue de la Porte-Neuve,...
(1979), London
London Stock Exchange
The London Stock Exchange is a stock exchange located in the City of London within the United Kingdom. , the Exchange had a market capitalisation of US$3.7495 trillion, making it the fourth-largest stock exchange in the world by this measurement...
(1988), and New York
New York Stock Exchange
The New York Stock Exchange is a stock exchange located at 11 Wall Street in Lower Manhattan, New York City, USA. It is by far the world's largest stock exchange by market capitalization of its listed companies at 13.39 trillion as of Dec 2010...
(1988).
Since the start of trading in 1961, Volkswagen AG shares have been subjected to two stock split
Stock split
A stock split or stock divide increases the number of shares in a public company. The price is adjusted such that the before and after market capitalization of the company remains the same and dilution does not occur. Options and warrants are included....
s – the first was on 17 March 1969 when they were split at a ratio of 2:1, from a DM 100 share to a DM 50 share. The second split occurred on 6 July 1998, the DM 50 share being converted into a share of no overall nominal value, at a ratio of 1:10.
From 23 December 2009, Volkswagen AG preferred shares replaced its ordinary shares in the DAX
DAX
The DAX is a blue chip stock market index consisting of the 30 major German companies trading on the Frankfurt Stock Exchange. Prices are taken from the electronic Xetra trading system...
index.
Leadership
| From | To | Person(s) |
|---|---|---|
| 1937 | 1945 | Bodo Lafferentz Bodo Lafferentz Bodo Lafferentz was a member of the Nazi Party from 1933 and an SS-Obersturmbannführer from 1939. He served in World War I and received the Iron Cross 2nd Class in 1916.... , Ferdinand Porsche Ferdinand Porsche Ferdinand Porsche was an Austrian automotive engineer and honorary Doctor of Engineering. He is best known for creating the first hybrid vehicle , the Volkswagen Beetle, and the Mercedes-Benz SS/SSK, as well as the first of many Porsche automobiles... , Jakob Werlin Jakob Werlin Jakob Werlin was an Austrian auto salesman who worked primarily in Germany. Due to his early contact with Adolf Hitler, he became an honorary SS leader and Hitler's primary interface with the Daimler-Benz company.-History:In 1921, Werlin worked for the Benz motor company in Munich... |
| June 1945 | December 1947 | Ivan Hirst Ivan Hirst Major Ivan Hirst , was a British Army officer and engineer who was instrumental in reviving Volkswagen from a single factory in Wolfsburg, Germany, into a major postwar automotive manufacturer.-Education:... (REME Royal Electrical and Mechanical Engineers The Corps of Royal Electrical and Mechanical Engineers is a corps of the British Army that has responsibility for the maintenance, servicing and inspection of almost every electrical and mechanical piece of equipment within the British Army from Challenger II main battle tanks and WAH64 Apache... ) |
| 1 January 1948 | April 1967 | Heinrich Nordhoff Heinrich Nordhoff Heinz Heinrich Nordhoff was a German engineer famous for his leadership of the Volkswagen company as it was rebuilt after World War II.... |
| 1 May 1968 | September 1971 | Kurt Lotz Kurt Lotz Dr. Kurt Lotz was the second post-war Chief executive officer of the Volkswagen automobile company in Germany. He was nominated in April 1967 to succeed the legendary Heinrich Nordhoff at the end of December 1968. Sadly, promotion arrived early when Nordhoff died in April 1968.Lotz was the son... |
| 1 October 1971 | February 1975 | Rudolf Leiding Rudolf Leiding Dr. Ing. h.c. Rudolf Leiding was the third post-war chairman of the Volkswagen automobile company , succeeding Kurt Lotz in 1971.... |
| 10 February 1975 | December 1980 | Toni Schmücker Toni Schmucker Toni Schmücker was the fourth chief executive officer of the Volkswagen automobile company , following the handover of the company in 1948 to German control from the British, who had administered the VW factory in Wolfsburg, Germany after the Second World War ended.Schmücker's automotive experience... |
| 1 January 1982 | December 1992 | Carl Hahn Carl Hahn Dr. Carl Horst Hahn is chairman emeritus of the automotive concern Volkswagen Group. He served as the Chairman of the Board of Management of the group's parent company, Volkswagen AG from 1982 to 1993... |
| 1 January 1993 | 16 April 2002 | Ferdinand K. Piëch Ferdinand Piëch Ferdinand Karl Piëch is an Austrian business magnate, engineer and executive who is currently the chairman of the supervisory board of Volkswagen Group.... |
| 16 April 2002 | 31 December 2006 | Bernd Pischetsrieder Bernd Pischetsrieder Dr. Bernd Peter Pischetsrieder is a German automobile engineer and manager.He was born in Munich, Bavaria, and studied Mechanical Engineering at the Technical University of Munich from 1968 to 1972. He earned the degree of "Diplom-Ingenieur", and began his career at BMW in 1973 as a Production... |
| 1 January 2007 | present | Martin Winterkorn Martin Winterkorn Martin Winterkorn is the Chairman of the Board of Management of Volkswagen AG, the parent company of the Volkswagen Group, and Chairman of the Supervisory Board of Audi and Porsche Automobil Holding SE.... |
Ranking
Top 3 Automakers Global, 2010 | ||
Group | Units | share |
Toyota | 8,557,351 | 11.0% |
G.M. | 8,476,192 | 10.9% |
Volkswagen | 7,341,065 | 9.4% |
| Top 3 automakers 2010 by global volume, based on OICA data. Market share based on OICA 2010 global total of 77,743,862 | ||
The worldwide ranking of automakers is compiled once per year by the International Organization of Motor Vehicle Manufacturers OICA. In 2010, the Volkswagen Group ranked third on the list with 7.3 million units produced globally.
Top 3 Automakers EU27, 2010 | ||
Group | Units | share |
Volkswagen | 2,831,039 | 21.2 |
PSA | 1,805,275 | 13.5 |
RENAULT | 1,387,645 | 10.4 |
| Top 3 automakers 2010 by EU27 volume, based on ACEA data | ||
The European ranking of automakers is compiled monthly by the European Auto Manufacturers' Association ACEA. By the end of 2010, the Volkswagen Group was the number one automaker in Europe with 2.8 million units sold in the EU27. Volkswagen has held the top spot in Europe uninterrupted for more than two decades.
By the middle of 2011, former global leader Toyota had fallen to place three, with GM first and Volkswagen second. However, the annual ranking is established once per year, with the OICA list usually published in late July or early August of the following year. Officially, the 2010 ranking will remain in place until the 2011 ranking is announced by summer of 2012.
Corporate structure, brands and companies
The Volkswagen Group comprises ten active automotive companies, and their corresponding marques: Germany AUDI AGAudi
Audi AG is a German automobile manufacturer, from supermini to crossover SUVs in various body styles and price ranges that are marketed under the Audi brand , positioned as the premium brand within the Volkswagen Group....
, the Audi Group, and the Audi marque: 99.55% ownership; the Audi marque is the sole active marque of the former Auto Union
Auto Union
Auto Union was an amalgamation of four German automobile manufacturers, founded in 1932 and established in 1936 in Chemnitz, Saxony, during the Great Depression. The company has evolved into present day Audi, as a subsidiary of Volkswagen Group....
, bought from Daimler-Benz
Daimler-Benz
Daimler-Benz AG was a German manufacturer of automobiles, motor vehicles, and internal combustion engines; founded in 1926. An Agreement of Mutual Interest - which was valid until year 2000 - was signed on 1 May 1924 between Karl Benz's Benz & Cie., and Daimler Motoren Gesellschaft, which had...
on 30 December 1964.
-
- Audi AG wholly owns the private high performance subsidiary company, quattro GmbHQuattro GmbHquattro GmbH is a wholly owned private subsidiary of the German automobile manufacturer AUDI AG, part of the Volkswagen Group.Founded in October 1983, it primarily specialises in producing high performance Audi cars and components, along with purchaser specified customisations...
.
- Audi AG wholly owns the private high performance subsidiary company, quattro GmbH
Italy Automobili Lamborghini S.p.A.Lamborghini
Automobili Lamborghini S.p.A., commonly referred to as Lamborghini , is an Italian car manufacturer. The company was founded by manufacturing magnate Ferruccio Lamborghini in 1963, with the objective of producing a refined grand touring car to compete with established offerings from marques like...
, and the Lamborghini marque: 100% ownership by Audi AG; company was bought in June 1998.
Bentley Motors Limited
Bentley
Bentley Motors Limited is a British manufacturer of automobiles founded on 18 January 1919 by Walter Owen Bentley known as W.O. Bentley or just "W O". Bentley had been previously known for his range of rotary aero-engines in World War I, the most famous being the Bentley BR1 as used in later...
, and the Bentley marque: 100% ownership by Volkswagen AG; the company (at the time known as Rolls-Royce
Rolls-Royce Motors
Rolls-Royce Motors was created from the de-merger of the Rolls-Royce car business from Rolls-Royce Limited in 1973. The original Rolls-Royce Limited had been nationalised in 1971 due to the financial collapse of the company, caused in part by the development of the RB211 jet engine...
& Bentley Motors Ltd.) was bought on 28 July 1998 from Vickers
Vickers
Vickers was a famous name in British engineering that existed through many companies from 1828 until 1999.-Early history:Vickers was formed in Sheffield as a steel foundry by the miller Edward Vickers and his father-in-law George Naylor in 1828. Naylor was a partner in the foundry Naylor &...
, but did not include the 'Rolls-Royce
Rolls-Royce Motor Cars
Rolls-Royce Motor Cars is a British manufacturer of luxury automobiles based at the Goodwood plant in West Sussex, England. It is the current producer of Rolls-Royce branded automobiles, whose historical production dates back to 1904. The factory is located across from the historic Goodwood Circuit...
' brand name. The Rolls-Royce
Rolls-Royce Motor Cars
Rolls-Royce Motor Cars is a British manufacturer of luxury automobiles based at the Goodwood plant in West Sussex, England. It is the current producer of Rolls-Royce branded automobiles, whose historical production dates back to 1904. The factory is located across from the historic Goodwood Circuit...
marque was subsequently restarted by BMW
BMW
Bayerische Motoren Werke AG is a German automobile, motorcycle and engine manufacturing company founded in 1916. It also owns and produces the Mini marque, and is the parent company of Rolls-Royce Motor Cars. BMW produces motorcycles under BMW Motorrad and Husqvarna brands...
who had licensed the brand from Rolls-Royce plc
Rolls-Royce plc
Rolls-Royce Group plc is a global power systems company headquartered in the City of Westminster, London, United Kingdom. It is the world’s second-largest maker of aircraft engines , and also has major businesses in the marine propulsion and energy sectors. Through its defence-related activities...
.
France Bugatti Automobiles S.A.S., and the Bugatti marque: 100% ownership via the Volkswagen France subsidiary, Bugatti Automobiles S.A.S. was created after Volkswagen Group purchased the right to the Bugatti marque. Spain SEAT, S.A.SEAT
SEAT, S.A. is a Spanish automobile manufacturer founded on May 9, 1950 by the Instituto Nacional de Industria , a state-owned industrial holding company....
, and the SEAT marque: 100% ownership since 1990; initially in 1982 a co-operation agreement with Audi AG; 51% and 75% ownership in 1986, being the first non-German subsidiary of the Volkswagen Group.
Czech Republic Škoda automobilová a.s.Škoda Auto
Škoda Auto , more commonly known as Škoda, is an automobile manufacturer based in the Czech Republic. Škoda became a wholly owned subsidiary of the Volkswagen Group in 2000, positioned as the entry brand to the group...
, Škoda Auto, and the Škoda marque: 100% ownership since 2000; initially in 1991 a co-operation agreement and 30% ownership; 60.3% and 70% ownership on 1994 and 1995 respectively
Germany Volkswagen Passenger CarsVolkswagen
Volkswagen is a German automobile manufacturer and is the original and biggest-selling marque of the Volkswagen Group, which now also owns the Audi, Bentley, Bugatti, Lamborghini, SEAT, and Škoda marques and the truck manufacturer Scania.Volkswagen means "people's car" in German, where it is...
, and the Volkswagen marque: the founding marque of the company, 100% ownership.
Germany Volkswagen Commercial VehiclesVolkswagen Commercial Vehicles
Volkswagen Commercial Vehicles , , is a German manufacturer of commercial vehicles. Originally part of the Volkswagen Passenger Cars company, it is now a separate brand and marque of the Volkswagen Group....
(VWCV), or : 100% ownership; started operations as an independent entity in 1995. VWCV/VWN is in charge of all commercial vehicle
Commercial vehicle
A commercial vehicle is a type of motor vehicle that may be used for transporting goods or passengers. The European Union defines "commercial motor vehicle" as any motorised road vehicle, which by its type of construction and equipment is designed for, and capable of transporting, whether for...
developments within the Group, and has control over Scania AB and is a major shareholder in MAN SE.
Sweden Scania ABScania AB
Scania Aktiebolag , commonly referred to as Scania AB or just Scania, is a major Swedish automotive industry manufacturer of commercial vehicles - specifically heavy trucks and buses...
, and the Scania marque (controlling shareholder): Acquired July 2008 becoming the 9th marque of the Group, 70.94% of voting rights .
Germany MAN SE, and the MAN marque (controlling shareholder): Acquired July 2011 becoming the 10th marque of the Group, 55.9% of voting rights .Note: From July 1998 until December 2002, the Group's Bentley division also sold cars under the Rolls-Royce
Rolls-Royce Motor Cars
Rolls-Royce Motor Cars is a British manufacturer of luxury automobiles based at the Goodwood plant in West Sussex, England. It is the current producer of Rolls-Royce branded automobiles, whose historical production dates back to 1904. The factory is located across from the historic Goodwood Circuit...
marque, under an agreement with BMW
BMW
Bayerische Motoren Werke AG is a German automobile, motorcycle and engine manufacturing company founded in 1916. It also owns and produces the Mini marque, and is the parent company of Rolls-Royce Motor Cars. BMW produces motorcycles under BMW Motorrad and Husqvarna brands...
, which had bought the rights to the Rolls-Royce name, but not the Rolls-Royce operations. From 2003, only BMW has been able to make cars under the Rolls-Royce marque.
The Group also owns five inactive marques, via Audi AG: Auto Union
Auto Union
Auto Union was an amalgamation of four German automobile manufacturers, founded in 1932 and established in 1936 in Chemnitz, Saxony, during the Great Depression. The company has evolved into present day Audi, as a subsidiary of Volkswagen Group....
(the Auto Union company, together with NSU Motorenwerke AG
NSU Motorenwerke AG
NSU Motorenwerke AG, normally just NSU, was a German manufacturer of automobiles, motorcycles and pedal cycles, founded in 1873. It was acquired by Volkswagen Group in 1969...
(NSU), were merged into "Audi NSU Auto-Union AG" in 1969. The name was shortened to "Audi AG" in 1985, and the interlocked four-ring badge from Auto Union is still used by Audi AG).
Dampf-Kraft-Wagen (DKW)
Horch
Horch
Horch was a car brand manufactured in Germany by August Horch & Cie, at the beginning of the 20th century.-History at a Glance:The company was established first by August Horch and his first business partner Salli Herz on November 14, 1899 at Ehrenfeld, Cologne. August Horch was a former production...
NSU Motorenwerke AG
NSU Motorenwerke AG
NSU Motorenwerke AG, normally just NSU, was a German manufacturer of automobiles, motorcycles and pedal cycles, founded in 1873. It was acquired by Volkswagen Group in 1969...
(NSU) – bought in 1969 by Volkswagen AG, and merged into Audi AG; the NSU brand has not been used since 1977. However, the current Audi AG shares trade under the ticker symbol "NSU".
Wanderer
Wanderer (car)
Wanderer was a German manufacturer of bicycles, motorcycles, automobiles, vans and other machinery. Established as Winklhofer & Jaenicke in 1896, the company used the Wanderer brand name from 1911, making civilian automobiles until 1941 and military vehicles until 1945.-History:Winklhofer &...
These heritage marques are retained and managed through the companies Auto Union GmbH and NSU GmbH, both of which are 100% owned by Audi AG.
Wilhelm Karmann GmbH
Volkswagen Group revealed on 24 October 2009 that it had made an offer to acquire long-time partner and German niche automotive manufacturer Wilhelm Karmann GmbHKarmann
Wilhelm Karmann GmbH, commonly known simply as Karmann, in Osnabrück, Germany was until 2009 the largest independent motor vehicle manufacturing company in Germany...
out of bankruptcy protection. In November 2009, the Supervisory Board of Volkswagen AG approved the acquisition of assets of Karmann, and plan to restart vehicle production at their Osnabrück
Osnabrück
Osnabrück is a city in Lower Saxony, Germany, some 80 km NNE of Dortmund, 45 km NE of Münster, and some 100 km due west of Hanover. It lies in a valley penned between the Wiehen Hills and the northern tip of the Teutoburg Forest...
plant in 2012.
Suzuki Motor Corporation
Volkswagen AG completed the purchase 19.9% of Suzuki Motor CorporationSuzuki
is a Japanese multinational corporation headquartered in Hamamatsu, Japan that specializes in manufacturing compact automobiles and 4x4 vehicles, a full range of motorcycles, all-terrain vehicles , outboard marine engines, wheelchairs and a variety of other small internal combustion engines...
's issued shares on 15 January 2010. Suzuki intends to invest up to one half of the amount received from Volkswagen into shares of Volkswagen.
Italdesign Giugiaro S.p.A.
On 25 May 2010, it was announced that Volkswagen Group, through it subsidiary Lamborghini Holding S.p.A., had acquired a 90.1% stake in the Italian automotive designAutomotive design
Automotive design is the profession involved in the development of the appearance, and to some extent the ergonomics, of motor vehicles or more specifically road vehicles. This most commonly refers to automobiles but also refers to motorcycles, trucks, buses, coaches, and vans...
house Italdesign Giugiaro
Italdesign Giugiaro
Italdesign-Giugiaro S.p.A is an automobile design and engineering company based in Moncalieri, Italy founded in 1968 by Giorgetto Giugiaro and Aldo Mantovani as Studi Italiani Realizzazione Prototipi S.p.A...
.
In only less than three months, the transaction had been completed making the Italian firm a member of the Volkswagen Group.
Postponed merger with Dr. Ing. h.c. F. Porsche AG
In December 2009, Volkswagen AG bought a 49.9% stake in Dr. Ing. h.c. F. Porsche AGPorsche
Porsche Automobil Holding SE, usually shortened to Porsche SE a Societas Europaea or European Public Company, is a German based holding company with investments in the automotive industry....
(more commonly known as Porsche AG) in a first step towards an 'integrated automotive group' with Porsche. The merger of Volkswagen AG and Porsche SE was scheduled to take place during the course of 2011. On 8 September 2011, it was announced that the planned merger "cannot be implemented within the time frame provided for in the Comprehensive Agreement." As reasons, unquantifiable legal risks, including a criminal probe into the holding's former management team were given. Both parties "remain committed to the goal of creating an integrated automotive group with Porsche and are convinced that this will take place."
Sponsorships
Volkswagen is heavily involved in sports sponsorshipSports marketing
Sport marketing is divided into three sectors. The first is the advertising of sport and sports associations such as the Olympics, Spanish Football league and the NFL. The second concerns the use of sporting events, sporting teams and individual athletes to promote various products. The third is...
, with investments having included the 2008 Summer Olympics
2008 Summer Olympics
The 2008 Summer Olympics, officially known as the Games of the XXIX Olympiad, was a major international multi-sport event that took place in Beijing, China, from August 8 to August 24, 2008. A total of 11,028 athletes from 204 National Olympic Committees competed in 28 sports and 302 events...
, the 2014 Winter Olympics
2014 Winter Olympics
The 2014 Winter Olympics, officially the XXII Olympic Winter Games, or the 22nd Winter Olympics, is a major international multi-sport event scheduled to be celebrated from 7 to 23 February 2014, in Sochi, Russia with some events held in the resort town of Krasnaya Polyana. Both the Olympic and...
, as well as the David Beckham Academy
David Beckham Academy
The David Beckham Academy is a football school founded by England international David Beckham in 2005. , it operates in two locations: in London, United Kingdom, and in Los Angeles, California, United States, though the London location closed in early 2010 .Further Academy sites are planned at...
. Volkswagen AG wholly owns the Bundesliga
Fußball-Bundesliga
The Fußball-Bundesliga is a professional association football league in Germany. At the top of Germany's football league system, it is the country's primary football competition. It is contested by 18 teams and operates on a system of promotion and relegation with the 2. Bundesliga...
football side VfL Wolfsburg
VfL Wolfsburg
VfL Wolfsburg is a professional German association football club based in Wolfsburg, Lower Saxony, who play in the Bundesliga football competition. Wolfsburg have won the Bundesliga once in their history, in the 2008–09 season, and were DFB-Pokal runners-up in 1995. The current head coach is Felix...
; and the company is also the shirt sponsor of Major League Soccer
Major League Soccer
Major League Soccer is a professional soccer league based in the United States and sanctioned by the United States Soccer Federation . The league is composed of 19 teams — 16 in the U.S. and 3 in Canada...
club D.C. United
D.C. United
D.C. United is an American professional soccer club based in Washington, D.C. which competes in Major League Soccer , the top professional soccer league in the United States and Canada. It is one of the ten charter clubs of MLS, having competed in the league since its inception, in 1996.Over the...
.
See also
- List of automobile manufacturers
- List of German cars
- Volkswagen Group ChinaVolkswagen Group ChinaVolkswagen Group China is division of the German automotive concern Volkswagen Group in the People's Republic of China....
- Volkswagen of AmericaVolkswagen of AmericaVolkswagen Group of America, Inc. , is the North American operational headquarters, and subsidiary of the Volkswagen Group of automobile companies of Germany. VWoA is responsible for five marques: Audi, Bentley, Bugatti, Lamborghini, and Volkswagen cars. It also controls VW Credit, Inc...
- Volkswagen do BrasilVolkswagen do BrasilVolkswagen do Brasil Ltda. is a subsidiary arm of Volkswagen Group, established in 1953.-Brazilian developed Volkswagens:Many of its models were designed especially for Brazil:*Brasilia*SP1 & SP2*1500/Variant/Variant II*Karmann Ghia TC...
- Ecomotive