Audi is a member of the Volkswagen group which also includes the likes of Porsche, Bugatti and Lamborghini. Together they have recently declared their intentions to beat Toyota as the number one manufacturer of vehicles worldwide. In order to do that though, a great deal of investment is required.

Audi alone has today pledged a total of 10.6 billion euros ($17.75 billion AUD) in investments from 2008 to 2012. Out of that 10.6 billion, almost 75 per cent will go straight into new products, with models expected to rise from the current 25 to 40 by 2015.

“Investment in new models, product innovations and core competencies is a necessary requirement for the successful continuation of Audi’s growth.” Axel Strotbek, Member of the Board of Management at AUDI AG for Finance and Organization said.

Previously AUDI had planned to invest 9.8 billion euros from 2007 to 2011.

Next year should see the introduction of several new models such as the Audi A3 Cabriolet, the Audi A4 Avant and the Audi Q5, among others.

Audi will also upgrade and modernise its current production sites. More than 1.1 billion euros will be spent on its plants in Ingolstadt and Neckarsulm. Of this total, 720 million euros have been allotted to Ingolstadt, with 400 million euros going to Neckarsulm. Investment in new products and structural measures will take priority.

Australia is not left out either, Audi Australia Pty Ltd plans to invest $50 million in a new ‘lighthouse’ facility to open in Sydney in 2009 with a further $100 million expected from the national dealer network over the next 3 years.

Source: Audi plans massive investments

Now that we're in the post-Christmas pre-New Year interregnum, the media is, as usual, attempting to fill the void with retrospectives. The New York Times Dealbook looks back at the wheelers and dealers that filled their column inches in '07. And you just knew Cerberus' takeover of Chrysler Corp. was going to be in there somewhere. Somewhat surprisingly, scribe Andrew Ross Sorkin decided to upbraid the private equity firm for its lack of PR skills, rather than its decision to invest billions in a sinking ship. Perhaps that's because Cerberus is only slightly more media-friendly than Leonid Brezhnev's Kremlin. Well, not exactly. While we were expecting criticism of Cerberus' decision to dump combative Chrysler Spinmeister Jason Vines, and the resulting circling of Chrysler's PR wagons, Sorkin seems to think Cerberus' management style makes them unlikeable. "To lead Chrysler, Cerberus chose Robert Nardelli, the former chief of Home Depot, whose high-handed style helped get him ousted from his previous job. Layoffs grew, but so did losses. Then Cerberus dented its deal-making reputation by walking away from two previously agreed-to deals — for H&R Block’s mortgage arm and for United Rentals. So far, this charm offensive is light on the charm and heavy on the offensive." Don't look for Cerberus to answer Sorkin's emails anytime soon. 

New York Times »

Source: Cerberus Wins NYT Dealbook’s “How Not to Win Friends” Award

If you're looking for a reason to be hopeful for strong sales of Pontiac's forthcoming G8– an imported Australian Holden by any other name– News.com.au's got a story for you. The news agency reports that sales of Holden's V8-engined cars down under are up 183 percent year-on-year. Of course, we're talking about absolute numbers so small they wouldn't even twitch the sales needle for GM. "We look like we'll sell between 11,000 and 12,000 V8 Commodores and Caprices," John Lindsay revealed. Still, "People seem to be adjusting to higher fuel prices. It's also important to remember that modern V8s are more economical than those of the past." The article points out that all may not be as it seems; sales of Ford's V8-powered cars are flat (the last of the great V8 Interceptors?) and overall Ozzie sales were up for the period. Still, it's true that V8s haven't reached a commercial or technological dead end. And the idea that consumers prefer rorty V8s is a nice thought for Motown denizens who [still] share GM's Lutzian perspective on the average consumer's desire for maximum horsepower. 

News.com.au »

Source: Aussie V8 Sales Strong: How Gr8 is That?