First unveiled to the public in 2009 as a design concept, to be shopped around to potential buyers to gauge interest, the Bugatti Galibier 16C was quickly rumored to be on the fast-track to production.

Two years have intervened without any official confirmation of production, however, there havebeen plenty of hints dropped by Volkswagen Group higher ups including Bugatti boss Wolfgang Durheimer.

The latest reports say development of the Galibier has been delayed due to the original premise for the ultimate luxury sedan being deemed “not outrageous enough” by Durheimer.

Accordingly, its projected pricetag has shot up to “extraordinary” levels, which we think is only fitting if the car is to pick up the legendary Bugatti Royale name.

Another reason for its delay is the potential image of launching such an extravagant sedan in this time of eco-consciousness.

Additionally, revealing plans for the extravagant--and not likely profitable, despite the halo image and stratospheric price--Galbier could derail the confidence of investors. After all, the Royale was a flop during its time, coming out just prior to the depression of the 1930s, and Bugatti would also be wary of the mistakes made by Daimler and its waning Maybach brand.

Speaking with Autocar, Durheimer has now revealed that the Galibier is in its second half of the design phase and that a final decision should be made by the end of the year.

“I will suggest we continue development, but there will be some remarkable changes from the original concept,” said Durheimer. “The design will be different, especially from the B-pillar back, the ingress and regress to the rear seats will be improved, as will the legroom and ergonomics, the car will be a little longer, and the power of the engine will be at least four figures.”

Performance is also expected to get a boost, with the projected horsepower now back into the four figures.

If all goes to plan, production could start by 2013 with sales to follow before the end of that same year.