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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 to abandon CVTs?

The continuously variable transmission is one of those technologies that seems to make a lot of sense on paper, but in reality, almost always numbs the driving experience. That's one reason why Audi, according to reports, is planning to phase them out.
One of the first automakers to implement use of the CVT, Audi mates CVTs to larger engines than many other manufacturers, which typically install them on scooters, hybrids and small-displacement hatchbacks. But the time of the Audi CVT (which it calls Multimatic) may be near its end as a report from Australia indicates that Ingolstadt is moving toward a two-gearbox lineup that does not include the rubber-band transmission.
Instead, Audi is said to be focusing its attention on the S-tronic dual-clutch transmission and on conventional torque-converter automatics - although the development of beefier DCTs could spell the end of the Audi slushbox, as well. We've reached out to Audi for comment, so watch this space for confirmation.

Audi updates the RS3 hatch to sedan specs, but we still aren't getting it

As great as the upcoming Audi RS3 sedan looks and sounds, we're still a bit jealous of the Europeans and others who get the five-door Sportback version. And now even more so, because for 2018 the RS3 Sportback is being updated to match the specs of the RS3 sedan that debuted last fall at the Paris Motor Show. We'll see the revised extra-hot hatch next month in Geneva. Even though we haven't had a chance to get behind the wheel of either model, the raw numbers alone get us excited. An updated Quattro all-wheel-drive system, a 400-horsepower turbocharged inline five-cylinder engine (up from 362), and a seven-speed dual-clutch transmission will send the 2018 RS3 hatch from 0 to 60 mph in 4.1 seconds. That puts it in Porsche 911 and Chevrolet Corvette territory. Other improvements include a wider track to fit wider rubber, a lowered and stiffened suspension, and a larger set of brakes. Carbon-ceramic front rotors will again be available, like they are on the sedan. Inside, the RS3 comes with a boost pressure indicator, an oil thermometer, and a lap timer. Audi's Virtual Cockpit fully digital instrument panel is available as an option, and one we highly recommend. Aside from all of the performance and tech upgrades, the RS3 has a number of changes to the interior and exterior design. Black Nappa leather sport seats are standard, with special contoured RS sport seats available as an option. Lighting elements have been updated to match those of the restyled A3 and S3, the front fascia has been sharpened, with larger intakes on the bottom corners of the bumpers, a slightly more aggressive front splitter, and the Quattro logo emblazoned on the bottom of the grill. Out back, the car gets two large exhaust tips compared to the S3's four outlets. The overall design is typical Audi: handsome, but conservative. The RS3 sedan goes on sale in Europe in April with the Sportback following soon after. We'll have to make do with the sedan version, which is expected to arrive here next year. The only Sportback model Audi offers here from the A3 family is the plug-in e-tron model, and we don't expect that to change any time soon. But we can dream. Related Video: