Audi 2008 Annual Report Download - page 150

131
Management Report
128 Business and underlying
situation
128 The Group
131 Corporate steering
134 Research and development
136 Employee matters
139 Audi in society
141 Environmental aspects
147 Economic environment
150 Course of business
157 Financial performance
159 Net worth
160 Financial position
160 Report on post-balance sheet
date events
161 Risk report
165 Report on expected
developments
169 Disclaimer
Authorizations of the Board of Management in particular to issue new shares and to
re-acquire treasury shares
According to stock corporation regulations, the Annual General Meeting may grant authoriza-
tion to the Board of Management for a maximum of five years to issue new shares. The meeting
may give it authorization, again for a maximum of five years, to issue convertible bonds on the
basis of which new shares are to be issued. The extent to which the stockholders have an option
on these new shares is likewise decided upon by the Annual General Meeting. The acquisition of
treasury shares is regulated by Section 71 of the German Stock Corporation Act.
Key agreements by the parent company that are conditional on a change of control
following a takeover bid
AUDI AG has not reached any agreements that are conditional on a change of control following
a takeover bid. Nor has any compensation been agreed with members of the Board of Manage-
ment or employees in the event of a takeover bid.
CORPORATE STEERING
Strategy
In the past fiscal year, the management and employees continued to work intensively on
achieving the Company’s strategic objectives. The important key points reflect four strategic
dimensions:
THE AUDI GROUP’S “ROUTE 15” STRATEGY
Increasing market share Customer enthusiasm
and image leader for
emotion and quality High profitability Most attractive
employer
The Audi strategy
In the wake of the increasingly acute financial crisis in the second half of last year and the nega-
tive consequences of this crisis on the entire automotive industry, the long-term objectives and
the possibility of realizing them were discussed at length in the past fiscal year. Thanks to a
fresh and attractive product range, a comfortable margin of financial resources, and the prompt
and ongoing implementation of measures to improve costs, the management believes that the
Company is well positioned to continue growing under its own momentum in the medium to
long term in keeping with recent years, even if the economic environment should continue to
deteriorate in the short term. In specific, a comprehensive and detailed package of measures
spanning all four objectives has been approved and implemented:
Increasing market share
In the past fiscal year, the Audi brand celebrated its 13th record-breaking year in a row, deliver-
ing over one million premium cars in a year for the very first time. For the coming years, the
Audi Group management has set itself the goal of further increasing its market share in all
important markets.
The long-term model initiative is a key component of this strategy. In 2008 alone, the Company
launched 17 new products, which met with great approval from customers, dealers and trade
journalists around the world. Significant product launches included the Audi A3 Cabriolet, the
Audi A4 Avant and the Audi Q5, which expanded the premium SUV segment by one more attrac-
tive model. In addition, the Company unveiled updated versions of the core car lines Audi A3
and Audi A6 with enhanced design and numerous new technological features. 2009 will see
many more new additions to the fresh, sporty product family. For example, the new Audi A5
Cabriolet and S5 Cabriolet, and the particularly sporty Audi S4 and Audi S4 Avant versions will
appear on the market in the first half of the year.