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VW chiefs face shake-up
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July 5, 2001: 2:45 a.m. ET
Report: Europe's biggest carmaker prepares overhaul of management
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LONDON (CNN) - Europe's biggest carmaker Volkswagen is considering a shake-up of its management, a report said on Thursday.
The German auto group is likely to reveal details of new executive roles by the end of the year to coincide with the announcement that Chairman Ferdinand Piech, will stand down, the Financial Times reported.
One possible change is to have one of the seven-man management board being responsible for motorsport and all premium brands - including Audi, Bentley, Bugatti and Lamborghini - while another would cover volume platforms and brands.
VW officials have declined to comment. The FT quoted one insider as saying: "It is a response to the difficulties of leading a group of that size, where eight brands is almost too much."
The former BMW chairman recruited by VW last year, Bernd Pischetsrieder, is viewed by many industry watchers as being the most likely successor to Piech.
The move comes after investors, led by U.S. hedge fund Elliott Associates, piled pressure on VW to reform its complex shareholder structure, the report said.
There have also been concerns over a European Commission investigation of the group's shareholder voting rules, and confusion over its switch to international accounting standards.
In the past three years, VW's share price and market capitalisation have failed to reflect its position as one of the few consistently profitable global carmakers, the FT said. 
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