June 24, 2012 / 4:09 PM / in 7 years

Volkswagen's finance arm ponders Greek euro-zone exit: paper

The VW logo is pictured on a Beetle car during the 29th annual "MaiKaeferTreffen" (May Beetle meeting) in Hanover, May 1, 2012. REUTERS/Tobias Schwarz

BERLIN (Reuters) - Volkswagen’s (VOWG_p.DE) finance division is considering the impact of a possible exit of Greece from the single currency zone, its Chief Executive Frank Witter told Automobilwoche magazine on Sunday.

“We’re busily pondering scenarios on the euro” to ensure that our risk-hedging will be able to contain a possible increase in market volatility, the newspaper quoted Witter as saying.

VW Financial Services, which handles dealer and customer financing and the German car maker’s banking and leasing business, doesn’t rule out a decrease of the 17-nation euro zone.

“We clearly expect that the euro will continue to stay,” Witter said. “But whether or not all current member states will stick with it is an open question.”

“If Greece were to quit, this would not necessarily be the end of the euro,” the executive said. “However, what unfortunately no one can reliably gauge are the effects and the speculation on consequences that would follow from such a step.”

VW Financial Services spokesman Dietmar Kupisch confirmed Witter’s remarks.

Reporting by Andreas Cremer. Editing by Jane Merriman

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