VW Expects to Surpass €5 Billion Savings Goal

Volkswagen AG should be able to "substantially" top its goal of reducing costs at its VW brand by more than the €5 billion it targeted last year, declares Bernd Osterloh, head of the group's works council.

Osterloh says much of the savings will come by sharing more parts among models.

CEO Martin Winterkorn set the cost-cutting target for 2018 last year. He also aims to multiply the VW brand's operating profit to 6% or more by then from about 2% last year.