This isn't something you typically hear about in the business world. One of the world's largest automakers' — Volkswagen Group — chairman of the board resigned abruptly.
According to reports streaming to us from abroad, the past month has been a bit rough. Ferdinand Piëch recently made comments stating he did not want his chairman position to be succeeded by Martin Winterkorn. Of course, this was surprising to hear in a public forum and eventually the rest of the VW board informing Piëch of their support for Winterkorn.
If that wasn't enough, more support for Winterkorn poured in from various other sources. We assume that was the catalyst that led to his departure, as well as his wife's, from the board today.
Keep in mind that Piëch is a grandson of Ferdinand Porsche and that his still holds a majority interest in VW Group. After 22 years of power, it seems that it's the end of the Piëch era for Volkswagen.
Volkswagen's press release follows:
Statement of the Executive Committee of the Supervisory Board of Volkswagen AG
Wolfsburg, 25 April 2015 -- The Executive Committee of the Supervisory Board of Volkswagen AG discussed again today in detail the situation of the Volkswagen Group.
1.:
The members of the Executive Committee have unanimously determined that in view of the background of the last weeks the mutual trust necessary for successful cooperation no longer exists.
2.:
For this reason Professor Dr. Ferdinand K. Piëch has resigned with immediate effect from his position as Chairman of the Supervisory Board and from all his mandates as a Supervisory Board member within the Volkswagen Group. In addition, Ms. Ursula Piëch has resigned with immediate effect from all her Supervisory Board mandates within the Volkswagen Group.
3.:
The position of Chairman of the Supervisory Board will be temporarily assumed by the Deputy Chairman Berthold Huber. Mr. Berthold Huber will chair both the Supervisory Board meeting on May 4 as well as the Annual General Meeting on May 5, 2015.
4.:
Under the chair of Mr. Berthold Huber the representatives of shareholders and employees will in close cooperation determine the candidate for the new Chairman of the Supervisory Board. The election of the future Chairman of the Volkswagen Supervisory Board will follow a proposal made by members of the Supervisory Board representing shareholders