Just when investors had started to believe Volkswagen had foresworn ego-driven projects in favor of the bottom line, come reports that the ill-fated Phaeton project will be extended.
The Phaeton is the Mercedes-matching upmarket limousine which cost fortunes to build and sold in such small numbers that the car managed third place in the Bernstein Research all-time money losers survey. Mercedes’ little Smart car was the winner of this unwanted award, losing a total of about $4.6 billion over the lifetime of the project, the equivalent of $6,100 per car. The Mark II smart is now on the road, but made in partnership with Renault of France to cut costs.
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