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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:

Audi's diesel-electric supercar is codenamed 'Scorpion'

Speculation continues as to the final nature of the diesel-hybrid Audi supercar said to arrive in 2016 or 2017. A previous report in Automobile had the halo coupe, based closely on the R18 etron quattro endurance racer, codenamed R20 and pegged to look like a Le Mans winner for the street with around 700 horsepower and 737 pound-feet of torque from a twin-turbo V6. Now Car and Driver has updated the gossip with a report that the car is internally called "Scorpion," and it will be even closer to the R18 than supposed.
CD says the heart of the car will use the R18 etron quattro's carbon fiber tub and its engine will be "taken directly" from the race car. That means a 3.7-liter V6 with a single turbo that, in ACO-spec restricted form, outputs 500 hp and 625 lb-ft - CD suspects production output could get to 600 hp - and drives the rear wheels, aided by hybrid motors driving the front wheels. And remember, at Le Mans the R18's hybrid motors can't kick in until they're above a certain speed in order to prevent Audi from getting an advantage coming out of slow corners. A street car wouldn't face that restriction.
The Scorpion would be a fulsome and undiluted example of the technologies Audi has created during its return to sports car racing. Its exterior design hasn't been finalized, with CD citing either the convoluted concept of "a retro take on the future of racing" or packaging that would adhere to the R18's looks. To make sure it is properly appreciated and sells well, production could be limited to the same 333 units as the R8 GT and A1 Quattro.

2015 Audi RS7 Dynamic Edition strutting to NY

The Audi RS7 is already one of the most stylish sports sedans (hatch, wagon, whatever...) on the road today with flowing roof and hunkered down appearance. Now the German automaker is taking that formula even further with the introduction of the RS7 Dynamic Edition at the 2014 New York Auto Show, and the addition of a long list of unique options.
When it goes on sale early this summer, the Dynamic Edition won't come cheap. Prices start at $146,045, which is $41,145 over a base RS7. The extra money allows opulent additions like Black Valcona honeycomb-stitched leather sport seats, Crimson Red seatbelts and interior stitching, Tornado Red brake calipers with the RS7 logo, Audi's Dynamic Ride Control suspension and a sport exhaust. It rides on 21-inch, five-spoke wheels with Gloss Black accents. Also carbon fiber pieces replace the front splitter, rear diffuser and engine cover.
The DRC suspension is a late addition to the RS7's options list and comes standard on the Dynamic Edition. It uses three-stage adjustable dampers that are cross-linked and integrated into the driving mode selection and rear differential.