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VW to buy Karmann assets, create new model

By The Associated Press

Friday, November 20, 2009

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German carmaker Volkswagen AG says it will buy some assets of German contract carbuilder Karmann GmbH to create a new manufacturing subsidiary.

VW says the unit would eventually create a new car model.

The company said Friday that it will begin vehicle production at Karmann's Osnabrueck, Germany site in 2011, but did not specify what new car it would produce there and didn't release any financial details.

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