Michael Horn leaving as VW's U.S. chief

Volkswagen Group of America CEO Michael Horn
Volkswagen Group of America CEO Michael Horn

Michael Horn is leaving as president and chief executive of Volkswagen Group of America as the automaker struggles with sales amid the diesel emissions scandal.

Horn is leaving through "mutual agreement" with Volkswagen AG to pursue other opportunities effective immediately, VW said in a statement on Wednesday.

On an interim basis, Hinrich J. Woebcken, recently announced as the new head of VW's North American region and chairman of Volkswagen Group of America, will assume the role of president and CEO of the company's sales and marketing arm in the United States.

Last October, Horn testified before a congressional panel after the diesel emission issue came to light a month earlier. He said then that he believed the defeat devices put in the diesel vehicles were due to "a couple of software engineers" and not a corporate decision.

Horn, 54, became head of the group's sales operations in America in January 2014 and was headquartered in Herndon, Va. He had replaced Jonathan Browning, who left for "personal reasons," according to VW.

Akshay Anand, an analyst at Kelley Blue Book, said that "the Volkswagen leadership hammer continues to fall" at the automaker.

"Ex-CEO Michael Horn had many VW dealers as allies so it will be interesting to see if Woebcken can continue that, and more importantly, if he can help VW navigate through its crisis," he said.

Herbert Diess, CEO of the Volkswagen brand, said in the statement that "I want personally to say 'thank you' to Michael Horn for the great work he has done for the brand and with the dealers in the United States. During his time in the U.S., Michael Horn built up a strong relationship with our national dealer body and showed exemplary leadership during difficult times for the brand."

Still, VW brand sales have flagged in the wake of the emission crisis. Last month, the brand's sales fell 13.2 percent over a year ago. Sales of the Chattanooga-made Passat were off more than 30 percent.

Horn has over 25 years of experience with the Volkswagen Group. Prior to his current role, Horn served as the global head of after sales at Volkswagen.

He joined Volkswagen in 1990 and held many roles of increasing responsibility within the brand over his tenure, including head of sales for Europe.

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