Rival automakers salivating at the thought of snapping up a castoff from Volkswagen’s brand portfolio will have to sit and wait.
Amid grim fourth-quarter financial data and ongoing expenses linked to the diesel emissions scandal, the company is standing by its assets, but admits they might have to jettison some if unexpected expenses crop up. (Read More…)
It just posted its largest loss ever and is up to its eyebrows in scandal-related expenses, so what’s an automaker to do when the hands come out asking for more?
That’s the situation in Wolfsburg, Germany, where the scandal-rocked Volkswagen and its workers’ labor union find themselves engaged in an uncomfortable dance, according to Automotive News Europe.
The union, IG Metall, says the automaker’s diesel emissions scandal is no excuse for holding back raises to its 120,000 staff members, and Volkswagen says, “What? Sorry, can’t hear you — we’re driving into a tunnel…call back later.” (Read More…)
The heavy financial cost of Volkswagen’s diesel emissions scandal is becoming clear.
After reaching a settlement yesterday with U.S. consumers and regulators, the automaker is more than doubling the size of its “make the problem go away” cash pile, Bloomberg is reporting.
Volkswagen set aside 16.2 billion euros ($18.6 billion) today to deal with the scandal’s fallout, up from the 6.7 billion euro ($7.6 billion) figure previously stated. (Read More…)
There’s a chance drivers may be in for an even tougher smog test next time around, all thanks to Volkswagen’s diesel emissions scandal.
Like the kid who made a ruckus in school and caused the whole class to be sent to detention, VW’s “defeat device” shenanigans may cause drivers of all vehicle brands to be studied under a more glaring microscope at test time, Bloomberg reports.
On the eve of a key U.S. deadline for a diesel emissions fix, Volkswagen has reportedly agreed to pay all American owners of afflicted TDI models $5,000 each.
The deal, reported by Germany’s Die Welt newspaper, would allow the automaker to avoid going to trial this summer, according to Automotive News.
Volkswagen was facing an April 21 deadline to outline a comprehensive fix for the 580,000 U.S. diesel models equipped with “defeat devices” designed to sidestep emissions regulations. The deadline was set in March by a U.S. District Court judge. (Read More…)
The device Volkswagen used to cheat on emissions tests sat on a shelf for years before the automaker employed it on its diesel-powered vehicles.
Audi engineers created the software in 1999, but it was not immediately used by Volkswagen, according to the German newspaper Handelsblatt (via Reuters). (Read More…)
Nope. Nuh-uh. Not gonna do it.
That was Volkswagen’s reaction to the idea of publishing its first-quarter results on time, according to Automotive News Europe, meaning the automaker’s current financial standing will be unknown until May 31.
The beleaguered company has bigger things to deal with in the near term — mainly, meeting the U.S. government’s April 21 deadline for a fix for vehicles caught up in the diesel emissions scandal. An April 21 deadline was issued last month by U.S. District Judge Charles Breyer, extending a missed deadline on a one-time-only basis. (Read More…)
Volkswagen CEO Matthias Müller is expected to cave to shareholder and labor pressure today and ask that his management board agree to trim their bonuses by 30 percent, insider sources have told Reuters.
Will it satisfy dealers and vehicle owners stuck with depreciated rolling stock? Not. Bloody. Likely.
The request, if it comes to pass, comes after workers unions and the state of Lower Saxony (Volkswagen’s home and its second-largest shareholder) protested the idea of senior management receiving full compensation while the diesel emissions scandal continues to rage.
A group of Jeep fans wants Fiat Chrysler Automobiles CEO Sergio Marchionne to make a Sophie’s Choice-style decision to save their beloved offroader.
To avoid the destruction of the storied brand at the hands of its parent company, FCA must cast it loose, the group states in a strongly-worded Change.org petition.
“As owners and fans of Jeep vehicles, we are calling on Fiat Chrysler Automobiles to separate Jeep from FCA’s stable of failing brands and debt,” the petition states. “We urge FCA to execute a spinoff to save Jeep.”
Mercedes-Benz’s parent company, Daimler, has been hit with a second lawsuit from a U.S. law firm that represents owners of diesel vehicles, despite recent evidence that could render the suit invalid.
The suit from now-familiar firm Hagens Berman accuses the German automaker of employing an emissions “defeat device,” a la Volkswagen, in its diesel vehicles, according to Reuters (via Automotive News).
The suit alleges the device must be the cause of laboratory emissions test results that show higher nitrogen oxide emissions than during real-world tests.