Christian Strenger, a prominent Volkswagen critic and a former member of the German corporate governance code writing committee, sees little opportunity for corporate supervisors to come into contact with scrutiny. more thorough. The Supervisory Board has only one member out of 20 who is not representative of 3 main shareholders or employees of Volkswagen. “Nothing will change as long as the old guard remains,” Mr. Strenger said.
The diesel engine scandal remains a financial burden. The company revealed in its annual report this week that contingent liabilities from lawsuits, such as a lawsuit by shareholders claiming it deceived them, could be worth it. 4.2 billion euros, or 5 billion dollars. That’s in addition to the tens of billions of euros Volkswagen has paid fines and payments since 2017 after admitting that they have programmed diesel cars to generate emissions under lower test conditions than they did. with normal use.
Investors this week are focusing on Volkswagen’s future rather than its past.
In a series of appearances starting Monday, Mr. Diess and other executives outlined one €The 35 billion plans to build six battery factories, install a global network of charging stations, and recruit 10,000 software engineers to work on autonomous driving and other new technologies. Volkswagen will become the largest software company in Europe after SAP, the German software maker used by corporations to manage functions such as logistics and finance.
Volkswagen’s voting shares ended the week up 20% on Frankfurt trading and up 75% since December, despite the company reporting a 37% drop in net profit for 2020 after the pandemic pulled the ball sales. Since 2015, the stock has more than tripled.
Volkswagen also benefited from a report published this month by analysts at UBS, the Swiss bank, that rated the German company as the best-positioned traditional car maker to compete with. Tesla because it already has the ability to economically mass produce electric cars.
Volkswagen’s advantage returned to the decision made at that meeting in 2015, weeks after the emissions scandal went public.
Executives have commissioned a collection of components that will form the basis for a wide range of electric vehicle models including sedans, SUVs and trucks. The standardized platform, called the Modular Electrification Toolbox, can also be used by other company brands, including Audi.