Volkswagen of America, Inc. Announces New Strategic Direction, Move to Virginia and Restructure of U.S. Operations
AUBURN HILLS, Mich., Sept. 6 /PRNewswire/ — Volkswagen of America, Inc. today announced that as part of its new strategic direction, the
Volkswagen of America, which is a wholly owned subsidiary of Volkswagen AG, the world’s fourth largest automaker, will begin the transition from its current location in Auburn Hills, Michigan to Herndon, Virginia in April 2008. The new 185,000-square-foot facility is expected to be fully occupied by the end of 2008, and it will house the U.S. headquarters for Volkswagen of America, Inc. It will also include the U.S. headquarters for Audi of America, Inc., Audi Financial Services, Volkswagen Credit and other affiliated operations.
The Company’s total workforce at its current headquarters is roughly 1,400. Of these, 800 are full-time employees and 600 are contractors or
“With these changes, Volkswagen of America drives the future,” said Stefan Jacoby, incoming President and CEO of Volkswagen of America. “It
Dr. Martin Winterkorn, Chairman of the Board of Management of Volkswagen AG, added, “We are strongly focused on the U.S. market. This is
“Our excitement is tempered by the fact that we need to reduce our workforce overall and by the realization that this does not come as good
Volkswagen of America will add approximately 400 jobs to the Northern Virginia region.
“Volkswagen’s decision for Virginia is a strong affirmation of the Commonwealth’s business-friendly environment, location, market access and
Volkswagen of America received an attractive, comprehensive incentive program for the relocation that includes $6 million in cash-grants from
Volkswagen of America has already taken steps to reduce its workforce through attrition, early retirement offers, and voluntary separations.
“We need fewer redundancies, less bureaucracy, more creativity, and more openness. Moving and streamlining our operations give us an
Jacoby was named Volkswagen of America President and CEO in June of this year, and takes up his responsibilities this month. His extensive
Jacoby said he will implement a new strategy that includes five pillars: product, brand positioning, dealer network, organization and,
“This move and new corporate strategy will benefit our employees, our dealers, and our customers. Market conditions and business strategy 30
About Volkswagen of America, Inc.
Founded in 1955, Volkswagen of America, Inc. is headquartered in Auburn Hills, Michigan. It is a subsidiary of Volkswagen AG, headquartered in
About Audi of America
Audi of America, Inc. offers a line of luxury vehicles that include the Audi A3 sport compact; the sporty A4 sedan, Avant and Cabriolet models; the high performance S4 sedan, Avant and Cabriolet models; the high-revving RS 4 sports sedan and Cabriolet (November 2007 launch); the all-new S5 coupe (November 2007 launch) with 354 hp; the design-leading A6 sedan and Avant; the V10-powered high performance S6 sedan; the Audi Q7 performance SUV; the new all-aluminum Audi A8 and A8L; the new S8 with V10 power; the all-new 2008 TT Coupe and Roadster models; and the all-new all-aluminum R8, one of the most exclusive mid-engine sports cars in the world. Information regarding the Audi brand and products can be found at http://www.audiusa.com.