The Sixth Sense. The “Saw” movies. The Vanishing (Original Dutch version). The Fight Club. What do all these films have in common? They are like the “Porsche-Volkswagen” saga. Always an unexpected twist. Let’s start at the beginning. When Porsche tried to takeover Volkswagen, it really was a case of the mouse biting the lion. The reality set in, the credit markets collapsed, and Volkswagen went from being the takeovee to the takeover…er (how I managed to pass English is a complete mystery to me). [ED. Takeoveror?] But like any good saga, there’s got to be a final bite and there’s a 30 percent chance this one will happen.
The Economic Times of India reports that there is a significant chance that the merger of Porsche and Volkswagen may not happen according to comments made by Volkswagen CEO, Martin Winterkorn, in Automobilwoche. He said that the probability of a merger under the leadership Volkswagen are diminishing as potential legal and tax liabilities are starting to come to light and growing. “The chances are 70 to 30 that it comes to that (merger gets called off),” said Martin Winterkorn, “Our lawyers are involved in a close examination (of these risks).” Hans Dieter Poetsch, CFO for both Volkswagen and Porsche, also iterated Herr Winterkorn’s sentiments that there was a 30 percent chance that the merger would not go down. Whatever happens, at least there will be one winner. The lawyers. What? Do you think they’re doing all these legal wranglings for Volkswagen out of the goodness of their hearts?