BMW to pare vehicle variants in cost savings push

The 3 Series GT is the first vehicle on the chopping block.

BMW announced on Friday that it will be ramping up cost cutting measures to help offset higher investments in electric vehicles and unfavorable currency exchange rates.

The announcement comes on the heels of BMW's 2018 earnings report. Last year the company's operating profit slid by 7.9 percent, and return on sales for its automotive division slumped by 2 percent.

Chief among BMW's cost cutting efforts will be to reduce the number of vehicle variants it offers. The first casualty of BMW's new initiative will be the 3 Series Gran Turismo.

BMW is also reorganizing its board of management "to create a new leaner, future-oriented structure.”

"We are restructuring our divisions to give us the best possible foundation for the future. It sends out a clear signal that our organization is lean and efficient throughout the company,” BMW Group Chairman Harald Kruger said in a statement.

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