Suzuki Motor Declines to Disclose Response From Volkswagen
Stock Chart for Suzuki Motor Corp (7269)
The German automaker’s response “is not worthy of comment,” Hideki Taguchi, a spokesman for the Hamamatsu, Japan- based Suzuki, said by telephone today. He declined to expand on the details of VW’s reply.
Suzuki had demanded VW, Europe’s largest automaker, retract by today its allegation that the Japanese company violated a cooperation agreement by purchasing engines from Fiat SpA. Suzuki said it never breached the VW agreement, which it is now trying to end.
“The facts haven’t changed for Volkswagen,” said Michael Brendel, a spokesman for the German automaker in Wolfsburg, declining to comment on the contents of its response to Suzuki.
VW owns a 19.9 percent stake in Suzuki worth 222.5 billion yen ($2.9 billion), and their cooperation agreement hasn’t resulted in a single project. The two have been at odds since the Wolfsburg, Germany-based carmaker said in its March annual report that it could “significantly influence financial and operating policy decisions” at Suzuki, describing the Japanese company as an “associate.”
The Japanese automaker, which owns 1.49 percent of VW, plans to sell its holdings if the tie-up ends, the company said Sept. 12. VW has said it doesn’t plan to sell or reduce its stake in Suzuki.
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