Wolfsburg, Germany - Germany's biggest carmaker said Wednesday that its core Volkswagen brand posted an operating loss of 279 million euros (368 million dollars) in the first quarter of 2009. The company said sales of VW models slumped 15 per cent to 765,000 and turnover dropped 20.8 per cent to 14.3 billion euros as worldwide demand for cars dropped in the face of the global economic downturn.

The 1st quarter loss compared to an operating profit of 461 million euros in the same quarter of 2008.

Volkswagen's Spanish subsidiary Seat posted a loss of 145 million euros compared to a a profit of 12 million euros in the first quarter of 2008.

Wolfsburg, Germany - Bu

Wolfsburg, Germany  - Brazilian striker Grafite scored a hat-trick as Wolfsburg downed crisis-hit Schalke 4-3 to move within a point of leaders Hertha Berlin in the German Bundesliga on Friday.

Grafite scored from the penalty spot in the 26th minute and was again on target in the 74th and 84th minutes to take his tally to the season to 17.

The Brazilian also provided the cross for Bosnian strike partner Edin Dzeko to score Wolfsburg's second shortly before half-time.

Wolfsburg, Germany - Europe's biggest carmaker Volkswagen AG warned Thursday of a tough year ahead after the group said worldwide sales fell 15 per cent during the first two months of 2009 in the wake of the deepening global auto crisis.

"An extremely difficult year lies ahead of us," said VW chief Martin Winterkorn releasing the German-based carmaker's latest results.

Wolfsburg, Germany - VfL Wolfsburg coach Felix Magath has filed an appeal against a 10,000-euro (12,700 dollars) fine imposed by the German football federation DFB for insulting a referee.

The fine was imposed last month by the federation's control panel for "unsporting behaviour."

The coach appeared at a personal hearing at the federation last week and has now filed an appeal to a DFB court, the Bundesliga club said on Thursday.

Wolfsburg, Germany  - Volkswagen's luxury flagship, the Phaeton, will be fitted with a new infotainment generation and more fuel-efficient engines for the 2009 model year, the car maker has announced.

The RCD 810 and RNS 810 infotainment systems were redesigned for the Phaeton with high-resolution 8-inch touchscreen.