The potential change of Volkswagen CEO will have no impact on the CFO

AG & # 39; s

VLKAY 3.99%

Chief Financial Officer

Frank Witter

is expected to remain in the case of a new appointment of executive director, people familiar with the situation and badysts said on Tuesday.

The supervisory board of the company on Friday will vote to replace the chief executive

Matthias Müller


Herbert Diess,

currently head of the Volkswagen car brand and former head of German luxury car development


BMW 1.87%

according to The Wall Street Journal.

"Mr. Witter is seen as a stability anchor in Volkswagen," said Jürgen Pieper, principal advisor to B. Metzler Seel. Sohn & Co. Holding AG, a German bank. "He is firmly in the saddle," Pieper said.

People familiar with the situation said that Mr. Witter will not be affected by the reorganization and will continue in his role as CFO.

Potential C – The change of equipment occurs when the German automaker continues to navigate the costly aftermath of its diesel emissions scandal and the ongoing transition to electric vehicles.

Mr. Witter held the position of CFO shortly after the Volkswagen emissions trap became public in September 2015.

"It is a great honor and a great task to be Volkswagen Group CFO, but the timing was not very good" said Witter in March. Interview with CFO Journal. The scandal "shook the company and its people," he added.

The company said on Tuesday that it is considering "further development of the Group's management structure, which would also be badociated with personnel changes in the Board of Directors and with changes in the specific responsibilities of the members of the Board of Directors. . "

One spokesperson declined to comment on whether the changes would affect Mr. Witter or his role as CFO.

Even so, a new chief executive often announces other changes in senior management, particularly for the CFO position. Approximately one in five (22%) of new CFOs are appointed within the first year of a CEO at work, and 41% of new CFOs are appointed within the first three years of a CEO, according to data from

Korn / International Ferry

Mr. Witter is likely to play a key role in the transition to a new leadership team, if one is announced, Pieper said. And while it is likely to maintain its role, a new CEO could redefine Mr. Witter's priorities or give him new tasks, he added.

Volkswagen is struggling with problems on several fronts. The automaker has spent more than $ 25 billion on solving the diesel problem, Witter said in March.

Volkswagen is also competing with new competitors such as Uber Technologies Inc. and


that challenge established car brands. The automaker committed to invest € 34 billion ($ 39.4 billion) by 2022 in the electrification and digitization of its business.

The automobile industry in general is struggling to badess the possible consequences of the trade dispute between the United States and China and the renegotiation of the North American Free Trade Agreement. An escalation of commercial tensions would be a "lose-lose situation," Mr. Witter said in March.

Mr. Witter joined Volkswagen in 1992 and held several executive positions, including a position as CEO and CFO in Volkswagen America and Volkswagen Canada.

Write to Nina Trentmann at [email protected] and William Boston at [email protected]


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