Volkswagen Unit to Build Cars in Bosnia

Volkswagen plans to resume building cars in Bosnia after a six-year hiatus in a joint venture with a Bosnian company in Sarajevo. Volkswagen subsidiary Skoda and Bosnian firm Unis plan to spend $26.6 million to renovate a plant to build the Skoda Felicia model, Volkswagen said. The plant is expected to produce up to 30,000 cars per year by 2000, employing 1,200, the Wolfsburg, Germany-based company said. Volkswagen produced Golf models in Sarajevo before the Bosnian war but ended production there in 1992.