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Skoda Factory to Make SUV for SEAT
Volkswagen AG's Skoda assembly plant in Kvasiny, Czech Republic, will build an SUV to be introduced by VW's Spanish SEAT unit in 2016.
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Volkswagen AG's Skoda assembly plant in Kvasiny, Czech Republic, will build an SUV to be introduced by VW's Spanish SEAT unit in 2016.
SEAT CEO Juergen Stackmann tells Bloomberg News the deal will give the budget-car brand access to available capacity at labor costs about half those in Spain and 25% of average costs in Germany.
The Czech factory current builds Skoda's Superb cars, Roomster mini-MPV and Yeti small SUV.
SEAT has not reported a full-year profit since 2007. Last year the unit lost €152 million in spite of an 11% increase in sales volume.
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