Volkswagen CEO Oliver Blume calls company's situation 'more than critical'

Volkswagen CEO Oliver Blume has described the company's situation as 'more than critical'. The operating margin is only 3.8%, which is insufficient for long-term investments in new technologies, products, and production. According to Blume, Volkswagen is too large, making it slow and inflexible. Despite a 20% reduction in production costs at German plants last year, it has not been enough. The company is preparing its 'Vision 2030' program and plans further cost-cutting. Up to 50,000 jobs, as well as plants in Emden, Hanover, Zwickau, and Neckarsulm, are under threat. No final decisions on plant closures have been made yet. From August 25 to 31, management will hold 9 meetings with employees in various German cities. Blume stresses that plant closures would be a last resort. The company will seek partners, investors, and new industrial projects.