Attempts to ratchet-down the rhetoric in the Suzuki/Volkswagen row have failed. Suzuki launched a heavy missile in the direction of Wolfsburg. Suzuki will take the case to court, The Nikkei [sub] heard before a scheduled press conference in Tokyo. But fear not, Volkswagen gets a whole year to make up its mind.
At the press conference, Suzuki said it wants to buy back the 19.9 percent of its shares which are held by Volkswagen, and it wants to do so in November 2012. If Volkswagen disagrees, then Suzuki will go to arbitration. Volkswagen is unimpressed and said it will keep the shares.
“It remains the same: We are holding on to our shares,” a Volkswagen spokesman told The Nikkei. According to Reuters, Volkswagen is “extremely disappointed that Suzuki Motor Corp. demanded mediation after rejecting VW’s offers to rescue a floundering alliance.”
“There is no legal foundation whatsoever obliging us to surrender our shares,” Volkswagen said in a statement.
The court will be the court of arbitration of the International Chamber of Commerce, German media says. Apparently, this is what the contract between Suzuki and Volkswagen specifies.