By on April 19, 2016

Volkswagen Chattanooga Tower

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.

Volkswagen will have to present a comprehensive plan for the 580,000 U.S. diesel models that satisfies the regulatory requirements of the Environmental Protection Agency and California Air Resources Board. That could include a full fix, a partial fix, a buyback program, environmental offsets, or a all of the above.

Earlier this month, Reuters reported that EPA Administrator Gina McCarthy wasn’t sure if Volkswagen would meet the deadline, given the complexity of the request. Talks have continued between the automaker and the regulators since then.

So great is the turmoil at Volkswagen, that the company still hasn’t released its 2015 earnings report. That document, which is expected to be grimmer than spending Christmas in a foreign jail, is scheduled to be released on April 28.

It all adds up to a “month of decisions” for the automaker, Metzler Bank analyst Juergen Pieper told Automotive News.

“There is a chance that this gigantic tanker after wandering aimlessly without radar finally manages to shift course,” said Pieper, apparently unaware of his heavily polluting, fuel-soaked metaphor.

Should the April 21 deadline come and go with no plan for a fix, it’s very likely that Volkswagen will be hauled into court over the summer.

In addition to the criminal investigations, lawsuits, ornery dealers and potential fines totaling in the tens of billions of dollars, Volkswagen also needs to turn around a severe sales slump. Tomorrow’s another day, and all that.

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21 Comments on “Volkswagen Won’t Even Look at its First-Quarter Earnings...”


  • avatar
    bumpy ii

    Volkswagen would have to have some earnings first.

  • avatar
    SCE to AUX

    VW will choose to rip off the Band-Aid, and work out a financial/legal solution.

    Any fix-it program only prolongs the pain for years to come, and could actually increase the lawsuits, anyway.

    Once this (expensive) solution is revealed, their US viability is questionable at best.

    Maybe Chattanooga can be retooled to build Tesla Model 3s.

    • 0 avatar
      TMA1

      But who will buy all the cars they’re building in Mexico?

      • 0 avatar
        SSJeep

        Unfortunately for VW, no one. That was and is one of VWs biggest mistakes. Americans want a VW with a W in the first digit of the VIN.

        Building the Golf GTI en Mexico is adding insult to injury.

    • 0 avatar
      orenwolf

      Not to mention the longer it takes to resolve, the longer the story stays in the minds of folks thanks to media coverage. I’m sure they want this over with *yesterday*.

    • 0 avatar
      notwhoithink

      If VW were being smart about this then they would of course choose to rip off the Band-Aid and work out a financial/legal solution. But one thing has been proven repeatedly throughout this scandal, and that is that VW is not being smart about this. If they were smart they would have settled this back in December.

      It’s clear that they don’t have a technical solution for the US, not only through their actions but also comments from CARB members. Their recalls in Europe have been put on hold because the fixed cars don’t meet the European standards, despite those standards being much weaker than those in the US. CARB doesn’t think there will be a settlement announced on the 21st. This week the Plaintiffs’ Steering Committee submitted a request for a trial date if there was no solution ready on the 21st, which is a clear sign that they don’t think that there will be one. That’s a pretty big clue since they are directly involved in negotiating said settlement.

      No, despite what VW claims to want, they are not going to rip off the Band-Aid. They still think that they’re dealing with the German government, and that if they slow play things then they’ll eventually get what they want. But the opposite is true. The longer they drag this out the worse it gets for them. THe worse their sales numbers get. The more government agencies pile on with more lawsuits. The more irate their customers get. These nincompoops are going to run VW completely out of the US market through pure incompetence.

  • avatar
    seth1065

    Hi VW still kinda of waiting on what the fix will be for my TDI, to say this is getting old would be really understating things here. I expect the April 21 date will come and go w no new info. Maybe I can set up a GO fund me page to buy VW a clue and how to handle this, for it seem they have no idea.

  • avatar
    28-Cars-Later

    “environmental offsets”

    All about the… what was it?

  • avatar
    sirwired

    Well, the fact that the EPA is willing to cut VW some slack and figure out some sort of hybrid fix/buyback/offset scheme is some proof that the EPA is not, in fact, trying to put VW out of business.

    They could, if they wanted, simply tell VW: “Either fix or buyback (and get these cars off US roads) by X date or it’s all over”; it looks like the EPA is instead trying to work something out that does not permanently cripple the company.

  • avatar
    qfrog

    Anybody else remember the “I’ll take all the unfair advantage I can get” advert campaign by Audi in the late 90’s or early 00’s for the B5 A4 sedan?

    like so: https://www.youtube.com/watch?v=F0NrVpZ-bEo

    Then I leave you with: http://www.reuters.com/article/us-volkswagen-emissions-audi-idUSKCN0XG2DN

  • avatar
    Von

    So the accountants are the ones tied up because they have to come up with a solution to emissions problems? Yeah, I can see why VW is in trouble.

    • 0 avatar
      johnny ro

      Don’t blame finance.

      I imagine they are having a hard time putting auditable numbers on their contingent losses, as at 12-31-2015, arisen from this sheissturm that another department caused.

  • avatar
    laserwizard

    Buy a VW, get an excuse AND the shaft.

    I remember just a few years ago all the glowing articles on how great this company was. Now we find out that they are a bunch of cheaters and dishonest people.

    Maybe they should rename this company Hillary Motors.

    • 0 avatar
      natrat

      right, even right here the supposed truth about cars the gti and golf r were the be all and end all rather than the understeering unbalanced junk that they are. Amazing how far a sleazy company can go paying for fishy reviews on sketchy on line sites

  • avatar

    Takes some time before (lazy) journalists pick up the news, particularly when it isn’t initially picked up by Reuters or so, like the news regarding the Dutch wanting to prohibit ICE car sales by 2025. Anyway, today the German Handelsblatt writes that VW’s cheating software was developed by Audi, as early as 1999. Take that in consideration I’d say when you decide to fine VW. We, in Europe, are helpless. No chances of getting compensation, because of EU’s corrupted testing methods.

  • avatar
    Storz

    The scandal broke on Sept 18th, I had listed my 2012 for sale on Aug 25th of last year. I just want a buy back on the car that I can’t (no one is buying) sell now.

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