Reactions to the Volkswagen-Porsche Merger

As we reported yesterday, German manufacturers Volkswagen and Porsche reached a preliminary agreement regarding their joint future. Although details are still scarce, as they "will be worked out over the coming weeks," all of the parties involved expressed their support for the actions to be taken.

"Together, Volkswagen and Porsche have all it takes to occupy a leading position in the international automotive industry," Ferdinand Piech, one of the Porsche owners said. His until now rival, Wolfgang Porsche, still hopes on the other hand the sports car manufacturer will maintain its identity. "Porsche will preserve the myth and identity of the Porsche brand in the integrated group. That brings new prospects for growth," he said.

Bernd Osterloh, labor representative and Chairman of the Group Works Council of Volkswagen kept his statements in line with his colleagues, but straight to the point: "We are definitely heading in the right direction. Over the coming weeks, we must make sure the employees benefit from the new perspectives, too." Uwe Huck, Osterloh's counterpart from Porsche, expressed about the same hopes as his boss, Wolfgang Porsche. "Porsche will retain its independence in the integrated automotive group. Porsche must remain Porsche."

Germany, through the voice of the Prime Minister of Lower Saxony, Christian Wulff, added: "This solution accommodates the interests of all concerned and safeguards the strength and performance of Germany’s automotive industry."

So far, what is known is that both the Porsche and the Piech family will still hold a share in the newly-formed group. In addition, Qatar will also get a seat among Volkswagen's shareholders and will act as a "strategic partner committed to supporting the goal of an integrated automotive group". Porsche will continue to operate as an independent company based in Stuttgart.