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$1.4B hedge fund suit against Porsche dismissed

Investors have canvassed courts in Europe and the US to repeatedly sue Porsche over its failed attempt to take over Volkswagen in 2008 (see here, and here and here), and they have repeatedly failed to win any cases. You can add another big loss to the tally, with Bloomberg reporting that the Stuttgart Regional Court has dismissed a 1.4-billion euro ($1.95B US) lawsuit, the decision explained by the court's assertion that the investors would have lost on their short bets even if Porsche hadn't misled them.
Examining the hedge funds' motives for stock purchases and the bets that VW share prices would fall, judge Carola Wittig said that the funds didn't base their decisions on the key bits of "misinformation," and instead were participating simply in "highly speculative and naked short selling," only to get caught out.
With other cases still pending, the continued streak of victories bodes well for Porsche's courtroom fortunes, since judges will expect new information to consider overturning precedent. If there is any new info, it could come from the potential criminal cases still outstanding against former CEO Wendelin Wiedeking and CFO Holger Härter, who were both indicted on charges of market manipulation.

Auto execs surveyed say VW, BMW most likely to grow

A new survey of top global automotive executives indicates both Volkswagen and BMW are the most likely to grow their market share over the next five years.
Tax advisory firm KPMG LLP has released its 14th annual Global Automotive Executive Survey, which includes responses from over 200 executives. A total of 81 percent of respondents said they expect to see Volkswagen make gains, compared to 70 percent last year. BMW, meanwhile, saw 70 percent of those surveyed say they believe the company will increase its market share. That's a jump of 7 percentage points over last year. This is the first time in the history of the survey that BMW has claimed the second-place spot.
Meanwhile, Hyundai has seen its perceived market share potential slacken for the third year in a row. Around 61 percent of those surveyed predicted gains for Hyundai, down from 63 in 2012. Toyota also has a surprising year, but for just the opposite reason. While the manufacturer had slipped in ranking since 2011, it enjoyed the largest increase of any company in the 2013 survey, jumping to 68 percent from 44 percent last year.

Jaguar Land Rover remains bullish on diesels

Despite Volkswagen's recent diesel scandal, Jaguar Land Rover is pushing ahead with ambitious plans to roll out the technology across most of its lineup in the coming years. Jaguar and Land Rover will add diesel engine variants to every model in their lineups, except for the Jaguar F-Type sports car. Land Rover launched the Range Rover and Range Rover Sport with available 3.0-liter turbocharged V6 diesels, and together they have sold more than 330 units so far in September, their first month on sale in the United States. JLA officials say they've seen no fallout from VW's emissions problem and are adamant their diesels meet EPA standards. "That has been our strategy, and it is not changing," Joe Eberhardt, Jaguar Land Rover North America CEO, told the Automotive Press Association on Wednesday in Detroit. "You have to deal with the situations as they arrive. We are confident of diesel." Jaguar will get another diesel next year from its Ingenium engine family, which will initially be sold in the XE sedan and the F-Pace crossover. It's a turbo 2.0-liter four-cylinder unit and makes 180 horsepower and 317 pound-feet of torque. A JLR spokesman said the Ingenium has not yet gone through the EPA certification process, and the diesel-powered models will arrive in the fall. Jaguar also plans to add diesel engines to the flagship XJ and XF sedans. Land Rovers, including the Discovery and Evoque, will also get diesel options, and the company estimates the technology will offer 20- to 30-percent improvements in fuel economy, depending on the vehicle. Eberhardt said it is "too soon to tell" if the diesel market will be weighed down by Volkswagen's situation. The German automaker admitted to cheating on emissions tests to make its diesel-powered cars appear to run cleaner than they actually do in real-world situations. The ensuing outrage forced longtime VW chief executive Martin Winterkorn to step down and prompted a reorganization of the company, which faces legal and regulatory action around the world. Still, Eberhardt maintains JLR is "very confident" in its diesels, which are part of its strategy to grow sales around the world. Land Rover has experienced rapid growth under the ownership of Indian conglomerate, Tata Motors, while Jaguar is set to revitalize its lineup with new entries like the XE and F-Pace to reach a broader market segment.