BERLIN May 4 Volkswagen wants to
increase the productivity of its plants at its core brand to
catch up with rivals, the head of the VW brand told a German
"There's no avoiding it, the plants have to become much more
productive in the coming years because we are not making enough
money with our cars at the moment," Herbert Diess was quoted as
saying by tne Sueddeutsche Zeitung in an interview published on
His comments came after first-quarter operating profit at
VW's largest division surged to 869 million euros ($948.9
million) from 73 million a year earlier.
Investors have said a turnaround at the VW brand, which has
long been saddled with high fixed and R&D costs, is key to
turning the German giant into a more attractive business.
"We need to catch up urgently," Diess said, saying it was
not easy to get the message across.
(Reporting by Victoria Bryan; Editing by Tom Heneghan)