Volkswagen names new America group CEO

Reuters  |  DETROIT 

(Reuters) - AG on Wednesday named a new of its group as the German automaker pushes to boost SUV sales amid weakening demand for cars.

Keogh, 49, will succeed Hinrich Woebcken, who will remain with the company as an

"Scott Keogh, who led to excellence in the U.S., will build upon the momentum and implement the next stage in the growth strategy as we continue to develop Volkswagen into a more in North America," Volkswagen said in a statement.

Woebcken, a former who ran global purchasing among other jobs, was named in January 2016 as head of VW's North American region, after the automaker admitted to using to evade diesel emissions standards.

In total, VW has agreed to spend more than $25 billion in the for claims from owners, environmental regulators, states and dealers and offered to buy back about 500,000 polluting U.S. vehicles. The buy backs will continue through the end of 2019.

Volkswagen's U.S. sales through September this year were up 5.5 percent to 266,228 vehicles, but it is still struggling to shift gears away from slow-selling cars to SUVs.

Sales of the company's brand new sedan are down 33 percent this year, while sales of the and Golf cars are also down 34 percent and 38 percent, respectively. Two new sport utility vehicles - the Atlas and - now account for more than 40 percent of all U.S. sales.

Keogh will be succeeded at Audi, effective on Dec. 1, by Mark Del Rosso, who is currently and of and previously was of of America, the company said. Del Rosso's replacement at Bentley will be named later.

Keogh joined Audi as in 2006 and was promoted to in 2012, helping the brand double sales in the region from 2010 to 2015, the company said.

Del Rosso, 54, joined Audi of as in 2008 from

(Reporting by Ben Klayman in Detroit, additional reporting by David Shepardson in Washington; Editing by Marguerita Choy)

(This story has not been edited by Business Standard staff and is auto-generated from a syndicated feed.)

First Published: Wed, October 10 2018. 20:49 IST