2003 Suzuki Xl7, No Reserve on 2040-cars

Auto blog

Volkswagen forced to sell stake in Suzuki

The six-year-long failed marriage between Volkswagen and Suzuki has finally come to an end. Almost. An arbitration panel in London issued its final verdict which, according to a VW press release, cleared Suzuki in terminating the agreement, so VW now needs to get rid of its 19.9-percent share. However, the tribunal's decision said VW performed all of its obligations and Suzuki didn't – the Japanese carmaker should have given VW last-call rights for a delivery of diesel engines, but failed to. The breach opens Suzuki up to damage claim, but so far VW only says it reserves the right to sue. Now that Suzuki has an outside investor to provide funds it meant to get from VW, perhaps both can get back to their reasons for being. The press release is below. Ruling in arbitration proceedings: Cooperation between Volkswagen and Suzuki deemed terminated - Arbitral tribunal confirms Volkswagen met contractual obligations and finds that Suzuki has ordinary right to terminate agreement based on reasonable notice - Volkswagen to dispose of its 19.9 percent stake in Suzuki and expects positive effect on Company's earnings and liquidity from transaction - Arbitrators also find that Suzuki breached its contractual obligations to Volkswagen under the agreement and that Volkswagen has right to claim damages Wolfsburg, 30 August 2015 - An arbitral tribunal in London has announced its ruling in the dispute between Suzuki Motor Corporation and Volkswagen Aktiengesellschaft. As a result, cooperation between the two parties is deemed terminated. The arbitrators confirmed that Volkswagen met its contractual obligations under the cooperation agreement and found that Suzuki has terminated the agreement upon reasonable notice. Volkswagen will therefore now dispose of its 19.9 percent stake in Suzuki and expects a positive effect on the Company's earnings and liquidity from the transaction. The arbitral tribunal also confirmed that Suzuki breached its contractual obligations to Volkswagen under the agreement and that Volkswagen has the right to claim damages. "We welcome the clarity created by this ruling. The tribunal rejected Suzuki's claims of breach and found that Volkswagen met its contractual obligations under the cooperation agreement. Nevertheless, the arbitrators found that termination of the cooperation agreement by Suzuki on reasonable notice was valid, and that Volkswagen must dispose of the shares purchased.

Suzuki Alto goes back to basics in Japan

Believe it or not, you're looking at a brand new car. Not an old model from the '80s that's still being manufactured in some far-flung corner of the world, not a rehash of old technologies, but an all-new model introduced in Japan for the Japanese domestic market. Looking like a cross between a Jimny and a VW Up!, the new Suzuki Alto is a different machine entirely from the somewhat ungainly but comparatively modern model of the same name manufactured in India by Maruti Suzuki for markets around the world. This is the JDM version, built to Kei car specifications, and shares little more than its badges with the Indian model. Based on a supposedly all-new platform, the new Alto boasts what Suzuki claims is the best fuel economy of any non-hybrid in Japan. That's partially because of its spritely curb weight, down by 132 pounds over the model it replaces to tip the scales at just 1,345 pounds. That's over 600 pounds lighter than a Smart Fortwo. The whole thing rides on a tiny 97-inch wheelbase, of which 80 inches are taken up by the passenger compartment. Power comes from a 660cc three-cylinder engine mated to either a five-speed automated manual or CVT in a number of configurations that ought to help Suzuki sell even more of these than the 4.8 million Altos it's sold in Japan alone since its introduction 35 years ago. Featured Gallery 2015 Suzuki Alto (JDM) News Source: Suzuki Green Suzuki Hatchback Lightweight Vehicles JDM kei kei car

VW, Suzuki mulling rekindling relationship in face of legal battle

Volkswagen and Suzuki have been undergoing marriage counseling in a bid to avoid finalizing their nasty divorce. The blissful union has been troubled for some time, with Volkswagen claiming that it could affect operational decisions at Suzuki, and the Japanese brand's sniping and constant flirting with a certain Italian temptress causing rifts.
The matter first went to court in 2012, when Suzuki demanded VW get out, and leave its 19.9-percent stake in the Japanese brand in a box to the left. Now, Automotive News is reporting that the company will give the relationship one last shot, according to closed-door dealings between the two in London.
Still, it's understood that VW and Suzuki recognize the benefit of their alliance, and that it'd be in the best interests of the kids both parties to make things work. Spokespeople declined to comment to AN, but the newsmagazine spoke with Frank Biller, an analyst for LBBW in Stuttgart, who said, "Both companies stand to benefit if they can overcome the disagreements over leadership claims."