HANOVER - Continental's suppliers can look forward to tougher times.
With the Siemens VDO acquisition behind him, CEO Manfred Wennemer now expects purchasing synergies to create substantial cost savings.
The first talks with suppliers already have taken place, and, "Some have already admitted there may be some things to sort out," Wennemer said.
He said he intends to raise VDO's profit margin to at least 10 percent by 2010 with help from the company's suppliers.
Guenter Fella will centrally manage purchasing for the automotive divisions. They include chassis and safety, powertrain and interiors.
Wennemer also expects the enlarged company to become "a much more attractive employer" than Continental or Siemens were by themselves. Engineers are being sought even after the VDO acquisition.