VW may sell Seat brand

[nadepalma]

Source: http://www.autoindustry.co.uk/news/i...ews/16-09-05_4

Seat brand may be sold, reports Der Spiegel

16th September 2005

The German magazine ‘Der Spiegel’ reports today that Volkswagen may sell its Spanish volume brand Seat, as it continues to make losses despite the introduction of two new models this year.

The magazine said Seat had been given until the middle of 2006 to substantially increase sales and earnings sufficiently to justify further investments into the brand.

If Seat failed to return higher profits, VW may use the Seat factory in Martorell, Spain, to build cars of other brands or possibly put the brand up for sale to Chinese carmakers targeting Europe, added the magazine.

Seat has already started negotiations with its unions about possible job or pay cuts in response to a decline in production.

[paul8488]

How distinct are Seats from VWs? I was under the impression that they shared many platforms and engines and components. Anyone know? If so, selling a brand like Seat is no different than trying to sell a brand like Pontiac... it's not a stand-alone company, as it doesn't have any truly stand-alone vehicles or plants. It's just a name.

[FoMoCo Fan]

This signals one of two things - either VW is re-commiting itself to building high quality affordable cars (not $70,000 Panzer-wagons) or they're abandoning any attempt to appeal to that (affordable) market.

[ricers-shaft-big3]

Seat and VW are identical inside; outside the logo, lights and grill are different; Seat is cheaper;a classic example of a European version of badge engineering!

[Perian]

I hear Fiat has come into some money lately...

Perhaps they would find Seat of some interest.

It would be a perfect fit - the names rhyme.

[mbukukanyau]

VW said they are not selling.. The Chinese would buy and VW does not want to give them another European trophy

[OzoneGTX]

Originally Posted by paul8488

How distinct are Seats from VWs? I was under the impression that they shared many platforms and engines and components. Anyone know? If so, selling a brand like Seat is no different than trying to sell a brand like Pontiac... it's not a stand-alone company, as it doesn't have any truly stand-alone vehicles or plants. It's just a name.

Seat's at least look different from their VW counterparts. VW's Skoda brand are obviously cheaper versions of VW products and do a worse job at hiding it.

[SobeSVT]

Originally Posted by Perian

I hear Fiat has come into some money lately...

Perhaps they would find Seat of some interest.

It would be a perfect fit - the names rhyme.

Good catch! That is beacause that how SEAT started. It was the Spaniard version of FIAT. Until VW took over SEAT, the SEAT cars were just rebaged FIATs.

[GMCSonoma]

VW should have brought them here as a budget line, as Seat would be more of an appealing name than Skoda, unless you are Czech/Slavic!


I don't see how the Cordoba pictured is a total rebadge. That would be like stating the ES330 is a rebadged Camry!

[nadepalma]

Originally Posted by SobeSVT

Good catch! That is beacause that how SEAT started. It was the Spaniard version of FIAT. Until VW took over SEAT, the SEAT cars were just rebaged FIATs.

Yup, that's how they got their start back in the day. Fiat basically started Seat to be the "Spanish Fiat" with the blessing of Spanish dictator Francisco Franco. They basically built rebadged Fiats for the longest time. In fact, iconic Fiat cars like the 600 ended up as the Seat 600. When Fiat ended their partnership in the late 1970s/early 1980s, VW stepped in and bought a piece of the company. They took 100% of the company sometime in the early 90s and are now controlled from Wolfsburg.

VW decided a few years back to 'separate' their brands into two groups: The "classic/conservative" group was lead by VW and included Bentely, Skoda and Bugatti and The Audi "Sport Group" in VW's empire was to be made up of Audi, Lamborghini, and Seat. So you'd have the "Sport group" anchored by the very German Audi while supporting two Latin brands like Seat and Lambo who could pig-back on their technology. Good idea, I suppose. The basic plan for Seat was to create a "cheaper Alfa Romeo" to be sold throughout Europe, playing on their Spanish heritage (their tagline is "Auto Emoccion", just as Alfa Romeo's was "Cuore Sportivo"). VW group designer (and former Alfa/Fiat Designer) Walter da'Silva is responsible for the current look of the cars and they're passingly Alfa-ish.

I don't know if this has truly happend in recent years though. I think that the Seats are all very attractive cars and much more stylish than Skodas. But if this article is true and VW is lookin' to dump them, who knows where they'll end up? I don't think Fiat has it in them to just take them over. They're still trying to shuffle Fiat Brand, Iveco, Alfa, Lancia and revive the company. To take on Seat (even if this is possible) would be a long shot. No matter what happens, I hope that they don't get sucked into some sort of Chinese conglomerate that will just suck them dry for their technology and throw back the rest.

Just my opinion of course.

[cyboexpo2002]

This may be why Seat is looking to sell some cars in the US.

[paul8488]

Originally Posted by Perian

I hear Fiat has come into some money lately...

Perhaps they would find Seat of some interest.

It would be a perfect fit - the names rhyme.

Haha! I can see it now... Fiat uses that payout from GM to buy Seat... Seat enters North America and wipes out GM! Wouldn't that be a kick in the teeth!

I don't see any resemblance between VW and Seat models, so I'd say they've done a good job of hiding the lineage. Skodas certainly are clearly VW related though.

[Redcoat]

SEAT had a brilliant thing going with the previous generation Leon Cupra series...

then they introduced 3 IDENTICALLY styled cars in three different segments (so just 3 sizes of the same blob shape)...Altea, Leon, and Toledo.

thing is, they all look like stupid MPVs with ugly noses.

i test drove the **************** Altea, and it was a Golf Plus, but without all the clever interior bits that make the Golf Plus really good.

totally stupidity, really.

[ChevroletRevived]

Hmm...interesting. I think they should hang on to them a bit longer. Just an observation though.

[plane]

Originally Posted by FoMoCo Fan

This signals one of two things - either VW is re-commiting itself to building high quality affordable cars (not $70,000 Panzer-wagons) or they're abandoning any attempt to appeal to that (affordable) market.

What's wrong with $70,000 Panzer-wagons? Geez - That's ALL VW should make. Drop everything else to focus on the Phaeton.