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Audi CEO's Dieselgate arrest threatens fragile truce among VW stakeholders

FRANKFURT — The arrest and detention of Audi's chief executive forces Volkswagen Group's competing stakeholders to renegotiate the delicate balance of power that has helped keep Audi CEO Rupert Stadler in office. Volkswagen's directors are discussing how to run Audi, its most profitable division, following the arrest of the brand's long-time boss on Monday as part of Germany's investigations into the carmaker's emissions cheating scandal. The supervisory board of Audi, meanwhile, has suspended Stadler and appointed Dutchman Bram Schot as an interim replacement, a source familiar with the matter said on Tuesday. Schot joined the Volkswagen Group in 2011 after having worked as president and CEO of Mercedes-Benz Italia. He has been Audi's board member for sales and marketing since last September. The discussions risk reigniting tensions among VW's controlling Piech and Porsche families, its powerful labor representatives and its home region of Lower Saxony. VW has insisted the development of illegal software, also known as "defeat devices," installed in millions of cars was the work of low-level employees, and that no management board members were involved. U.S. prosecutors have challenged this by indicting VW's former chief executive Martin Winterkorn. Stadler's arrest raises further questions. Audi and VW said on Monday that Stadler was presumed innocent unless proved otherwise. Munich prosecutors detained Stadler to prevent him from obstructing a probe into Audi's emissions cheating, they said on Monday. Stadler is being investigated for suspected fraud and false advertising. Here are the main factors deciding the fate of Audi. Background: Audi's role in Dieselgate Volkswagen Group was plunged into crisis in 2015 after U.S. regulators found Europe's biggest carmaker had equipped cars with software to cheat emissions tests on diesel engines. The technique of using software to detect a pollution test procedure, and to increase the effectiveness of emissions filters to mask pollution levels only during tests, was first developed at Audi. "In designing the defeat device, VW engineers borrowed the original concept of the dual-mode, emissions cycle-beating software from Audi," VW said in its plea agreement with U.S. authorities in January 2017, in which the company agreed to pay a $4.3 billion fine to reach a settlement with U.S. regulators.

Help a couple drive their 1984 Vanagon around the world

Meet Brad, Sheena and Nacho
Driving through China is a pricey proposition. The couple will need to pony up a staggering $19,514 just to cover the fees.
Brad and Sheena Van Orden are in the midst of a life-defining campaign to travel around the world, and they're doing it in a 1984 Volkswagen Vanagon custom built for the occasion. The past 15 months have seen the couple quit their jobs with Gore-Tex and drive from Arizona to the very southern tip of Argentina after spending a full two years saving and preparing for the trek. Now they're in southern Asia gearing up for the next leg of their journey.

VW Golf Sportsvan succeeds Golf Plus in Frankfurt

Just ahead of this week's Frankfurt Motor Show, Volkswagen has announced the world premiere of its Golf Sportsvan, a near-production concept that succeeds its Golf Plus. VW describes this compact family car as "one of the most versatile vehicles of the compact class," noting that it offers a mix of hatchback and minivan features in a sporty package.
That sportiness comes from the Sportsvan's styling (perhaps more sleek wagon than minivan) and performance features it shares with the Golf GTI - including the XDS+ electronic differential lock, which is integrated into the Electronic Stability Control system to improve agility. At the same time, the Sportsvan's six engine options, which include a turbodiesel, are up to 19-percent more fuel-efficient than their predecessors.