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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 sets diesel records on road and track

Ever the proponent of diesel propulsion, Audi has claimed two very different kinds of records in Europe with its finest oil-burners. The more exciting of the two was achieved recently at the Sachsenring, where the Audi RS5 TDI Competition Concept posted the fastest diesel-powered lap time ever recorded on the track. As you may recall, Audi revealed the RS5 TDI Concept last year, swapping the gasoline-burning 4.2-liter V8 in the production RS5 coupe for a 3.0-liter V6 diesel with two turbochargers and an electric supercharger. The result was 385 horsepower and 553 pound-feet of torque, but Audi's been working on the prototype over the course of the past year. In the new Competition version, output is up to 435 hp and 590 lb-ft, and despite the inherently heavier diesel engine, it actually weighs 531 pounds less than the production model. That helped the RS5 TDI Competition lap the circuit in 1:35.35, besting the previous diesel lap record by 1.87 seconds, and adding to the Hockenheim record it took previously. Around the same time, another team set out from Maastricht in the Netherlands in an Audi A6 TDI Ultra and drove it for 28 hours straight, hitting 14 countries and logging 1,158.9 miles on a single tank of diesel. The achievement, certified by Guinness World Records, was completed in a showroom-stock vehicle, with automotive journalist Andrew Frankel and racing driver Rebecca Jackson splitting driving duties. They achieved an average of 75.9 miles per gallon – much better than the advertised rating of 67 mpg – as they cruised through from Holland to Hungary, passing along the way through Belgium, Luxembourg, France, Switzerland, Lichtenstein, Austria, Germany, Italy, Slovenia, Croatia, Bosnia, and Serbia. Record: Audi RS 5 TDI competition concept drives to record time on the Sachsenring track - Audi sets new lap record for cars with diesel engines - Superior technology platform with 435 hp and 800 Nm (590.0 lb-ft) - Electric compressor: overcomes turbo lag, enhances sprint performance Audi has set a new record time on the Sachsenring for cars with a diesel engine. The Audi RS 5 TDI competition concept rounded the 3.6 km (2.2 mi) race course in a time of 1 minute 35.35 seconds. The technology platform draws its power from a 3.0-liter V6 biturbo TDI with 320 kW (435 hp) of power and 800 Nm (590.0 lb-ft) of torque. The highlight is an electrically driven compressor.

Audi Prologue Concept [w/videos]

What you're looking at here is a preview of Audi's next-gen exterior and interior design. You can't tell, but in these photos, I'm wearing what can only be described as an ultra-white cloth spacesuit. Before opening the large driver's door of the Audi Prologue concept outside of the SLS Hotel in Beverly Hills, Audi requested that I don a super-attractive onesie so as to not let my flannel-covered human flesh touch the untreated leather surfaces of the Prologue's interior. I tied the spacesuit around me just above the waist, let my Converse poke out the footholes, and promised to hold in any sneezes. After all, I was being granted a serious privilege. I was about to drive the multi-million dollar, only-one-in-the-world Prologue that had just stunned crowds at the Los Angeles Auto Show days earlier. This isn't the first time Audi has bravely let the media sample its conceptual wares. In 2010, the German automaker granted us access to its incredibly enticing Quattro concept, probably hoping that the media would rave about the thing enough to convince the higher powers to actually green-light and build it. (We're still waiting on that one, of course.) You could argue that this same logic was applied when allowing me to drive the Prologue – it's no secret that Audi has been dreaming of a range-topping A9, though company officials told me that there is currently no decision on whether or not to produce such a car. But that's not really what the Prologue is about. As its name suggests, what you're looking at here is a preview of Audi's next-generation exterior and interior design, in a fully baked, fully functional package. Suit up, and behold the future. While the Prologue won't necessarily spawn its own production model, its elements will be incorporated on the next A6, A7 and A8. "Timeless but progressive." That's the key takeaway of the Prologue's aesthetic, according to exterior designer Parys Cybulski. The focus here is on beautiful, yet modern, simplicity. A design that looks both contemporary and forward-thinking at the same time, and something that will still look up-to-date in several years' time. After all, while the Prologue won't necessarily spawn its own production model, its elements will be incorporated on the next A6, A7 and A8. Up front, the most prominent feature is, of course, Audi's single-frame grille, seen here with a larger breadth than anything else in the brand's lineup, though its closest resemblance is seen on the new TT.