Bugatti Veyron - might be out of business
The new airbag rules taht come starting next month might put Bugatti Veyron out of business, as the he French subsidiary of Volkswagen has told American safety regulators.
Bugatti has warned the National Highway Traffic Safety Administration it would face "substantial economic hardship" from the rules, which would require it to redesign its sole model. The cost would add 10 per cent to the car’s price ($1.2 million), with a "catastrophic" effect on sales, it said.
Bugatti expects to lose $3.9m over the next three years even if exempted from the rules. Should it have to introduce "smart" airbags, it could be forced to delay development of the next version of the Veyron, and the company’s French factory would stop production in 2008.