Report: GAZ’s special contract aims at work with Volkswagen

MOSCOW, Feb 26 (PRIME) -- Russia has developed GAZ Group’s special investment contract specially for cooperation with Volkswagen, German business daily Handelsblatt reported late on Monday quoting GAZ’s Chairman of the Board of Directors Siegfried Wolf as saying.

The current edition of GAZ Group’s contract does not mention Volkswagen at all, but Wolf insists that the document was created with partnership with the German company in mind.

GAZ remains under the U.S. sanctions, which prohibits possible cooperation with Volkswagen. However, the U.S. Treasury Department lifted sanctions from other assets of tycoon Oleg Deripaska, like aluminum giant UC RUSAL and multi-industry holding En+ Group, after he surrendered control over the companies.

Wolf expects a final decision on GAZ to be taken over the next two weeks. Deripaska is ready to satisfy the U.S. requirements and to abolish control over the Russian carmaker. If Washington lifts sanctions from the company, partnership with Volkswagen is possible, but if it does not, there are two options -- nationalization or layoffs of 80,000 people, Wolf said as quoted by Handelsblatt.

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