Volkswagen to cut costs by $5.66 billion

Europe’s largest carmaker, Volkswagen (VOWG. p DE), said on Tuesday it was optimistic it would reach its cost saving targets soon.
The Chief Executive Officer (CEO), Martin Winterkorn, said in an interview on German TV channel ZDF that the company was on track with efficient programmes to achieve the targets.
Winterkorn said the he hoped the programmes would help the company to narrow the profit gap with international rivals.
It would be recalled that the Europe’s largest carmaker sold a record 10.1 million vehicles across the multi-brand group in 2014.
But the company is seeking to cut costs at its core division by 5 billion euros ($5.66 billion) over the next two years.