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Volkswagen may 'carve out' Lamborghini to list on the stock exchange

FRANKFURT — Volkswagen is drawing up plans to set up Lamborghini as a more independent unit, and is discussing long-term supply deals that could make it easier to list it on the stock exchange, two sources familiar with the matter told Reuters. "Volkswagen is in the process of carving out Lamborghini, and to organize future supply and technology transfer deals," one of the sources familiar with the matter told Reuters. The Italian sportscar brand, which is currently a division of Audi, could be partially listed, with Volkswagen retaining a controlling stake, the first person familiar with the talks said. There is no formal decision to divest Lamborghini, a second source said, adding that the timetable of any deal remained unclear. "This is a first step which gives VW the option to list the unit further down the line," the second source told Reuters. A third source familiar with the discussions said the future of Bugatti, Lamborghini and Ducati was discussed during a supervisory board meeting last Friday. The possibilities for how to electrify the Lamborghini and Bugatti brands through partnerships and investors was discussed, the third source said. Bankers and potential cornerstone investors in an IPO have been approached by the carmaker, the sources said. Volkswagen declined to comment. Volkswagen Group's Chief Executive Herbert Diess on Wednesday said the carmaker will announce "important steps" about the company's future before the close of the year. Volkswagen is reviewing what role its high-performance brands Lamborghini, Bugatti and Ducati will play within the multi-brand carmaker as part of broader quest for more economies of scale, senior executives told Reuters. A global clampdown on combustion-engined vehicles has forced carmakers to accelerate development of low-emission technology for mainstream models, leaving Volkswagen managers struggling to find resources to electrify low volume sportscar models. Related Video:

2017 Audi Q7 First Drive

Automotive evolution rarely makes a great leap, instead creeping along from new model to new model at a predictable pace. Audi's new Q7, though, is like handing a Bic lighter to a Cro-Mangon man smashing rocks. In Europe the new version drops 700 pounds, almost enough to reclassify its species. Audi's fire-machine will arrive in America in early 2016, as a 2017 lighter model. We spent some time in the Swiss Alps flicking the 2017 Audi Q7. As far as revolutions go, the 2017 Q7 certainly looks new. It resembles a tall station wagon more than ever, at least in European trim. A little tweaking of the design wand has left the rear end boxy and angular. Our test models use an adaptive air suspension, and the the "all-road" setting lifts the Q7 about an inch, to the normal ride height for US models. Thus raised, the big Q looks more like an SUV. This Q7 represents the first of the Volkswagen Group's MLB-platform cars. Lighter and said to be more dynamic, MLB will underpin everything from the next-gen A4 to performance and luxury SUVs like the Porsche Cayenne, and Bentley Bentayga. With the structural improvements comes a diet heavy in aluminum, the prime reason for the previously-mentioned weight savings. When outfitted for our content and crash-safety specification, US-bound models will still be about 500 pounds lighter than before. But dramatic weight-savings isn't the Q7's only trick. The adaptive air suspension significantly changes the character of the Q7, especially in the sportiest Dynamic model. There's an optional all-wheel steering feature that improves turning radius, and helps with high-speed stability. This is not to be confused with Audi's Quattro all-wheel drive, which along with a panoramic sunroof and seven seats, comes standard on all stateside models. Under the hood, things aren't so different. Both available engines are reworked but largely the same. The supercharged 3.0-liter gas engine still makes 333 horsepower and 325 pound-feet of torque, but it's not as thirsty as it used to be. Expect a two or three mile-per-gallon bump once official EPA ratings arrive. That engine, as well as Audi's reworked 3.0-liter V6 TDI – good for 260 hp and 443 lb-ft once outfitted for the US – are mated to the ubiquitous ZF eight-speed transmission. The Q7's driving character greatly depends on where it is pulling power from. While the diesel model is capable, turbo lag cuts back on the satisfaction we normally derive from oil burners.

Audi recalling 70k TDI models worldwide over braking problem

Audi is issuing a recall covering some 70,000 vehicles worldwide, due to problems with their brake boosters. According to Automotive News Europe, diesel-powered examples of the A4, A5, A6, A7 and Q7 are all being called back due to this issue.
The report indicates that while the brakes in these vehicles still function, the enhancing power from the booster may fail due to a possible leaky membrane.
All of the affected vehicles are powered by the 3.0-liter TDI turbodiesel V6, and were built between March and December of 2012. It is unclear as of this writing how many of these vehicles are in the States, though remember, US customers are not privy to 3.0 TDI examples of the A4 or A5. Autoblog has reached out to Audi for specific numbers, and we'll update this space when we hear more.