Volkswagen could face "further significant financial liabilities" beyond the 16.2 billion euros ($18.4 billion) it has provisioned for its diesel emissions scandal and may need to sell assets as a result, it said in its annual report. Europe's biggest carmaker said that although it had made provisions for 2015, uncertainty about the ultimate cost of legal risks and criminal and administrative proceedings could mean that further financial liabilities would emerge. "The funding needed to cover the risks may lead to assets having to be sold due to the situation and equivalent proceeds for them not being achieved as a result," it said in its risks and opportunities report published on Thursday.
Panasonic Corp forecast its profit to fall in the current business year amid slower growth in emerging markets as well as planned investments in automotive technologies and high-end consumer electronics. The company said it expects operating profit of 375 billion yen ($2.86 billion) in the year ending March, down from 416 billion yen in the previous year. It had flagged the weaker outlook last month, showing that even one of the strongest of Japan’s consumer electronics companies is struggling to grow as the domestic economy grapples with weaker consumer spending and slower exports to China.
By Georgina Prodhan HANOVER, Germany (Reuters) – U.S. telecoms provider AT&T is betting it can carve out a significant business in connecting objects with one another, the head of that unit told Reuters in an interview, as it seeks new revenue sources in an oversaturated wireless market. The so-called Internet of Things (IoT) is a fast-growing area where industrial and consumer firms and software providers are teaming up to offer smarter ways of doing things such as predicting mechanical problems before they arise, controlling machines at home remotely or integrating municipal services. AT&T already has a strong position in the automotive industry, where it has 10 major carmakers using a platform it has developed to deliver services such as roadside assistance, weather reports or Internet radio to cars on the road.
China has the youngest premium car buyers in the world, and their tech-savvy demand for "connected cars" — coupled with Communist regulations — is driving international automakers into the arms of the country's Internet giants. Growth is slowing and competition intensifying in the world's number one car market, but it also boasts Mercedes Benz buyers with an average age of 37, and Audi's customers even younger at 36. In contrast, the average Mercedes buyer in the US was over 54, according to IHS Automotive.
By Joseph White and Paul Ingrassia DETROIT – (Reuters) – The automotive and tech companies pursuing the driverless car share a utopian belief: Autonomous vehicles will benefit society, eventually saving most of the nearly 33,000 people each year killed in road accidents in America alone. “If the situation was reversed, and we had automated vehicles today and someone proposed to let people drive cars, what would the reaction be?” asks Glen De Vos, vice president of global engineering for Delphi Automotive PLC, a supplier of driverless-car technology. Take automakers.
Filed in Delaware's Court of Chancery on Friday, the lawsuit is the latest in a series of legal challenges for Patriarch Partners, a firm with investments in more than 70 companies including Dura Automotive and Dana fragrances. The U.S. Securities and Exchange Commission, private investors and an insurer have alleged in separate lawsuits that Tilton and Patriarch have misrepresented the health of the Zohar funds. The latest lawsuit, filed by the Zohar funds, seeks a court order requiring Patriarch to provide key information about Zohar's holdings that is allegedly being withheld from the funds' new manager.
By David Ljunggren OTTAWA (Reuters) – Canadian non-resource exports should post healthy gains this year, the country’s trade financing agency said on Monday, a development the central bank is counting on to help revive an economy hobbled by weak global energy prices. Export Development Canada predicted the consumer goods, automotive and aerospace sectors would post double-digit growth in 2016 on the back of a robust U.S. economy. Canada is a major energy exporter and has been hit hard by slumping crude oil prices.