VW Extends CEO Winterkorn’s Contract to 2019

Volkswagen AG's supervisory board says it intends to extend its contract with CEO Martin Winterkorn, age 68, through 2018 when the group meets on Sept. 25. His current contract expires at the end of 2016.

The decision caps Winterkorn's political victory over former Chairman Ferdinand Piech, a former mentor who turned against him earlier this year. But it also increases the likelihood the group will fill the chairmanship with someone from outside the group.

Analysts tells Bloomberg News that Winterkorn's extension also gives candidates for his successor as CEO more time to prove their worthiness for the post. Leading contenders are Rupert Stadler, who runs the group's Audi unit, Herbert Diess, who runs the VW brand and Chief Financial Officer Hans Dieter Poetsch.