Could Volkswagen Skate On A Technicality in Europe?

The New York Times is reporting that a loophole in emissions regulations for European cars could keep Volkswagen from paying billions to governments for illegally polluting cars. Regulators considered closing the loophole in 2011, but ultimately failed to do so, which could leave the escape hatch ever-so cracked for Volkswagen to run through.

According to the report, which cites internal meeting notes of European regulators in Geneva, automakers can send through testing cars programmed for special circumstances that daily drivers can’t access.

“A manufacturer could specify a special setting that is not normally used for everyday driving,” British regulators warned in 2011, according to the New York Times.

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Volkswagen to Announce Whistleblower Amnesty Deadline

Volkswagen will announce Thursday a deadline for whistleblowers to come forward with information related to the ongoing diesel scandal without reprisal.

According to the CBC, German newspaper Sueddeutsche Zeitung reported Wednesday the automaker is working to gather as much information on the scandal as possible by applying more pressure to employees who may have known anything about what happened regarding the rigging of diesel emissions through software.

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Report: Volkswagen Alone in Cheating So Far, Testing Shows

Increased scrutiny on diesel-powered cars’ emissions hasn’t revealed any other cheating cars beyond Volkswagen’s models, German magazine Wirtschaftswoche reported ( via Reuters).

In an interview with California Air Resources Board Chairwoman Mary Nichols, the German outlet reported that Nichols said Volkswagen appeared to be alone in cheating so far.

“Up until now we have found no fraudulent defeat device in vehicles of other brands,” she told the magazine. “There is nothing that comes close to the magnitude of the excess in VW vehicles. “

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UPDATE: Volkswagen Posts 'Goodwill Program' Details, Catch-All Causes Confusion

UPDATE: There is a clause in the ‘Program Rules’ that could allow Volkswagen to change the terms of the agreement after the fact. We’ve added statements from Volkswagen, a law firm representing TDI owners and a law professor so you can make an informed decision on whether or not to register for the Goodwill Package.

Owners who signed up for Volkswagen’s “Goodwill Program” to receive $1,000 will still be able to take the automaker to court, according to documents posted by Volkswagen on Monday.

The program outlines specific steps owners would need to take to receive the benefits offered. Including taking ownership of the 2-liter diesel cars before Nov. 9, owners would need to take their cars to Volkswagen dealers to have their gift cards activated, an action Volkswagen deems necessary to curb fraud. Cards will also be printed with the name of the goodwill package recipient.

Volkswagen said it would send one $500 black prepaid Visa card that could be used anywhere, and another $500 white prepaid card that could be redeemed at Volkswagen dealerships only.

The automaker also offered three years of roadside assistance in addition to the gift cards.

At least one dealer group is planning to use the activation procedure to its advantage, telling employees that dealer management hopes customers will spend both prepaid cards at its Volkswagen store.

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Could Growing Volkswagen Scandal Engulf New CEO Mller?

Analysts have questioned whether newly hired Volkswagen CEO Matthias Müller will effectively navigate the automaker through a deepening scandal as more vehicles and more cheating is uncovered, Automotive News reported.

Müller, who took over as Volkswagen AG CEO from the top spot at Porsche, has yet to instill confidence in investors, according to analysts.

“It’s a like a virus that’s spreading,” Dave Sullivan, an analyst with AutoPacific, told Automotive News. “With every new bit of information that’s uncovered, it digs the knife in a little deeper and produces more doubt and skepticism that they have an understanding of how deep this crisis is.”

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US, Canada, Germany to Expand Testing for All Diesel Vehicles, Not Just Volkswagen

Government agencies from the United States, Canada and Germany will be testing diesel vehicles from automakers other than Volkswagen to check their compliance with emission laws.

According to The New York Times, regulators in North America “are significantly expanding their on-the-road emissions tests to cover all makes and models of diesel cars.” The same on-road tests found 3-liter V-6 diesel engines to emit more NOx than they did in EPA testing.

The EPA had already notified General Motors that its new Colorado and Canyon diesel pickups would undergo increased scrutiny.

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Volkswagen Engineers Blow Whistle, Admit to CO2 Cheating

A number of Volkswagen engineers cheated on tests used to determine carbon dioxide emissions because goals set by former group CEO Martin Winterkorn were too demanding and difficult to achieve, reported German outlet Bild am Sonntag.

The report was “broadly confirmed” by Volkswagen, stated The New York Times. It’s believed goals set by Winterkorn, which would have made Volkswagen vehicles cleaner than required by European regulations, pressured the engineers to manipulate the tests as they were afraid to admit they could not meet those goals.

The engineers pumped up tire pressures to reduce rolling resistance and put diesel in motor oil to make the vehicles more fuel efficient, thus producing less carbon dioxide. The practice “began in 2013 and carried on until the spring of this year,” reported Automotive News.

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Lutz: Pich's Brutal "Reign of Terror" Likely Cause of Diesel Scandal

Ferdinand Piëch, the man who ruled Volkswagen like the king of a Teutonic fiefdom, was likely the cause of the diesel scandal that’s erased billions of dollars of value from Volkswagen as it looks down the barrel of a gun loaded with further billions of dollars worth of recall work, fines and law suits.

Or, at least, that’s the claim made by Bob Lutz.

Former auto industry executive Lutz called Piëch’s leadership style “a reign of terror” before saying “The guy was absolutely brutal,” in his latest piece for Road & Track.

Tell us what you really think, Bob.

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Germany's Transportation Chief Wants To Retest Every Volkswagen Now

German authorities said Wednesday that they would retest all Volkswagen cars — regardless of engine type or brand — for emissions compliance, Reuters reported.

German transportation minister Alexander Dobrindt expressed his “irritation” with the automaker that more cars were being added to the deepening scandal. On Monday, the Environmental Protection Agency notified the automaker that some of its 3-liter diesel models may contain an illegal “defeat device” to fool emissions tests.

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Porsche Cancels Sale of Cayenne Diesel; Audi Pulls Diesel Cars From Site

Porsche announced Wednesday that it would stop selling its Cayenne Diesel model after regulators announced those cars were allegedly installed with an illegal “cheat device” to fool emissions tests.

Audi removed all diesels vehicles from their online configurator, even though the Q7 diesel was not mentioned by the Environmental Protection Agency has having a “defeat device” installed. The luxury brand has not yet announced any stop-sale of its cars. Volkswagen’s Touareg TDI, which is equipped with the same engine as Porsche and Audi, is still currently listed as on sale.

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Volkswagen Says It Lied About CO2 Levels In 800,000 Cars

Volkswagen on Monday said that internal testing revealed 800,000 Volkswagen cars may emit more carbon dioxide than reported and could cost the company $2.1 billion more in penalties.

New CEO Matthias Müller apologized for the deception.

“The Board of Management of Volkswagen AG deeply regrets this situation and wishes to underscore its determination to systematically continue along the present path of clarification and transparency,” he said in a statement.

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Volkswagen, EPA Disagree on 'Defeat Device' in 3-liter Models

Responding to the Environmental Protection Agency’s notification that it had uncovered an illegal “defeat device” in some 3-liter, diesel Audi, Volkswagen and Porsche models, Volkswagen AG said in a statement Monday that it “wishes to emphasize that no software has been installed in the 3-liter V6 diesel power units to alter emissions characteristics in a forbidden manner.”

The statement flies in the face of the EPA’s allegation that a “temperature conditioning” mode in the vehicles’ computers timed exactly to the length of the agency’s 75 initials emissions tests allowed the cars to reduce emissions of nitrogen oxides by up to 9 times.

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Merkel: 'VW is Working On This With All of Its Power' - Including Asking Workers to Roll Over

On her weekly podcast, German Prime Minister Angela Merkel said Volkswagen’s scandal hasn’t harmed the German automobile industry’s image, but that the automaker would need to conduct its investigation with transparency to restore faith in the country’s industry.

“A lot will depend on how Volkswagen deals with the issue,” Merkel said, according to Reuters.

Separately, sources told German newspaper Sueddeutsche Zeitung ( via Reuters) that the automaker, under pressure from investigators, is offering amnesty to employees who reveal what they knew about its cheating devices. Amnesty won’t apply to top-level managers, according to the report.

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Volkswagen Buying Back Bad Diesels From Dealers At Pre-crisis Prices

Volkswagen told dealers that it would buy back some of its unsellable, used diesel cars withering on their lots at fixed prices to help dealers cope during the automaker’s growing diesel scandal, Automotive News reported.

The cars that dealers are accepting on trade-in, but can’t sell due to their illegally polluting engines, have sat on lots while the automaker develops its plan to fix 482,000 cars sold in the U.S. with the illegal “defeat device.” Volkswagen has offered a $2,000 “loyalty discount” for any Volkswagen trade-in, including diesel cars.

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Spotted: 2016 Passat Alltrack Roaming Streets of Phoenix

I love you, unicorn.

A TTAC reader spotted this 2016 Volkswagen Passat Alltrack roaming the streets of Phoenix the other day and dutifully reported “What the hell is that?”

This Passat wagon, which is sold overseas, may be the only one in the States. It’s wearing manufacturer tags and likely just had its way with VW’s massive testing circuit in Phoenix.

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Volkswagen Could Face Millions More In Fines For CAFE Fuel Credit Penalties

Massachusetts Sen. Edward Markey on Thursday sent a letter to the National Highway Traffic Safety Administration asking the agency to re-evaluate millions of fuel economy credits awarded to the automaker by the agency for cheating diesel cars.

The letter, which was addressed to Administrator Mark Rosekind, outlined the automaker’s exceedingly fuel efficient fleet average from 2008, which now could be in jeopardy after the automaker admitted it cheated emissions tests and could impact those cars’ mileage.

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$900M Chattanooga Plant Upgrade Escapes Volkswagen's Axe

Volkswagen will still invest $900 million in its Chattanooga, Tennessee plant despite company-wide cost cutting from its diesel disaster, the automaker announced Thursday.

The company had long planned on a mid-size, three-row SUV to compete in the U.S.. However, those plans were upended when the Environmental Protection Agency announced in September that Volkswagen’s diesels had been illegally polluting, and the company shed billions from its value in following days.

The three-row SUV, which may follow closely Volkswagen’s CrossBlue Concept, was announced last year for the Tennessee plant. Volkswagen said it would begin building the SUV at the end of 2016.

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Porsche Macan GTS Runs Up To 60 MPH in 5 Seconds, Splits Hairs Faster

Porsche announced Tuesday its Macan GTS crossover; a harder, faster version of its Macan S, but without encroaching too far on the Macan Turbo.

The twin-turbocharged 3-liter V-6 boosts output from 340 horsepower in the Macan S to 360 horsepower in the Macan GTS, and 30 more foot-pounds of twist from 339 to 369 pounds-feet of torque. The difference is nominal; Porsche says the Macan GTS will run up to 60 mph in 5 seconds, 0.2 seconds quicker than a Macan S.

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Volkswagen CEO Muller Outlines Plan To Save Automaker From Scandal

Speaking for the first time as Volkswagen chief, newly hired CEO Matthias Müller outlined his plan for the automaker’s future in the wake of a growing scandal for its illegally polluting cars.

Müller’s five-point plan includes a significant overhaul of the automaker’s plan to be the world’s largest automaker by 2018. According to Volkswagen, its Strategy 2025 plan — which replaces the Strategy 2018 outline — will be unveiled next year. In its earlier plan, Volkswagen had prioritized 10 million sales by 2018, 8-percent profitability and to position the automaker as “a global economic and environmental leader,” according to the automaker’s plan.

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Volkswagen Scrapping Plans For US Overhaul Until After Scandal

Volkswagen could significantly overhaul its U.S. operations — including not selling diesel models in the country — after it has dealt with federal and civil claims stemming from its massive diesel cheating scandal, Reuters reported.

The report, which quoted two sources familiar with the automaker’s plans, said replacing North American chief Winfried Vahland, who quit after three weeks, would happen after the automaker has reached an agreement over its illegally polluting cars.

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Volkswagen To Post First Quarterly Loss in 15 Years

Volkswagen will post Wednesday its first quarterly loss in 15 years after the automaker was rocked this summer with a scandal that affected 11 million vehicles and cost the company tens of billions of dollars in lost value already.

Bloomberg (via Automotive News) reported that 10 analysts estimated that the company would post a $3.6 billion loss for the quarter ending Sept. 30.

Although the company said it reserved more than $7 billion to help pay for the scandal, many agree that the loss will be far greater — from $16 billion to $86 billion.

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VW Investigators: 'If You Saw Something, And Didn't Say Something, You're Still in Trouble'

Investigators at Volkswagen are not only looking for the culprits who installed illegal emissions cheating software into their cars, but they’re also looking for managers who didn’t immediately report the devices as well, the New York Times reported.

Up to 10 managers and engineers could be suspended by the automaker for the scandal so far, including top-level executives.

According to the New York Times, investigators have been keen to learn who knew what within the automaker, and how quickly those findings were reported.

The investigation by U.S. firm Jones Day could take months, according to the report. A person who was briefed on the inquiry told the newspaper what investigators were looking for.

Volkswagen of America CEO Michael Horn told congressional investigators he was made aware of a potential problem in the spring of 2014, but wasn’t aware of illegal software until Sept. 2015.

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Volkswagen Discounting New Cars for Diesel Owners in Germany

Volkswagen may discount new car purchases for diesel car owners trading in their illegally polluting cars, German news agency DPA ( via Reuters) reported.

The discount would apply to older 1.6-liter models, according to the report, which would need more significant fixes than many other cars. According to Reuters, roughly 2.4 million cars in Germany are affected by the diesel scandal that has cost the automaker billions so far.

In America, more than 350,000 diesel cars would need significant fixes, according to Volkswagen of America chief Michael Horn. In the States and Canada, Volkswagen offers a “loyalty discount” to returning Volkswagen buyers. So far, the diesel discount only applies to cars in Germany.

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Volkswagen Tabs Former Opel Chief To Lead Strategy

Thomas Sedran, former interim head of Opel and General Motors’ European chief for Cadillac and Chevrolet brands, will join embattled automaker Volkswagen as head of group strategy, according to the automaker.

Sedran was head of Opel in 2012 when that automaker shuttered a plant in Bochum, Germany. Sedran was president and managing director of Cadillac and Chevrolet brands in Europe until June, when he joined global consulting firm Accenture.

According to Volkswagen, Sedran will take over Nov. 1 and report directly to new CEO Matthias Müller.

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VW May Freeze Promotions, Cost Cut Next Golf Amid Scandal

German business magazine Manager Magazin reported Saturday (via Reuters) that managerial promotions may be frozen beginning next year as the company looks to save money wherever it can amid the diesel scandal.

The company may also re-use as many parts possible when developing the eighth-generation Volkswagen Golf in order to cut costs.

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Auction Prices for Volkswagen Diesels Are Dropping

According to Kelley Blue Book, auction prices for Volkswagen’s diesels cars are dropping faster than similar models that are powered by gasoline.

According to auction data gathered before and after news broke that Volkswagen had admitted to federal investigators that their cars illegally polluted, prices for Volkswagen diesel cars dropped 16 percent. Prices for Volkswagen gasoline cars only dipped 2.9 percent over the same period.

According to the car industry site, interest on the Volkswagen diesel models has only declined 2.4 percent.

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Volkswagen Says Newer Diesels May Have Illegal Defeat Device, Too

Volkswagen said Thursday that early versions of its EA 288 engines could have been equipped with the illegal emissions software at the heart of its diesel scandal, Reuters reported (via Automotive News).

The revelation would largely affect European cars, and could potentially expand the list of 11 million cars Volkswagen will be forced to recall this year.

U.S. cars using the “Generation 3” engine, which include 2015 models of the Volkswagen Golf, Jetta, Beetle and Passat and Audi A3, were already included in the stop-sale and notification by the Environmental Protection Agency.

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Report: Volkswagen Suspends Quality Chief For 'Incriminating' Letters

Volkswagen has suspended its chief of quality control for “incriminating correspondence” it found regarding its illegally polluting diesel cars, German newspaper Bild (via Automotive News) reported Wednesday. Tuch was suspended last week, according to the Wall Street Journal.

Frank Tuch is the fifth high-ranking official suspended from Volkswagen because of the scandal. According to reports, Tuch wasn’t part of the company when it developed the EA 189 engines that have become the center of the cheating scandal. The former Lotus COO and Porsche quality control officer may have known about the illegal software after he joined the company in 2010.

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BMW Offering Uber Rides in New 7 Series, For Some Reason

Because a lot of Uber riders are 7-Series buyers (maybe), BMW said Monday that it would make available its newest sedan for selected rides in Los Angeles, New York, Miami and Chicago before the sedan goes on sale to the public.

The drives will be offered by BMW product specialists, according to the company. Riders can request 7 Series cars by entering a promotional code for their respective city; i.e. for New York, riders need to enter “7seriesnyc” into the Uber app.

(Do the Uber riders still have to pay the fare? Update: According to a BMW spokeswoman, they do not.)

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Volkswagen Adds VIN Lookup to Diesel Information Site

Weeks after European Audi owners could look to see if their cars were affected by the Volkswagen cheating scandal, Volkswagen of America added a VIN lookup to its diesel scandal site (which is buried by Google) for U.S. owners, Auto Guide reported.

The service redirects to Volkswagen’s recall site, where owners can enter their vehicle’s VIN. During congressional testimony Oct. 8, VW of America chief Michael Horn admitted that the U.S. site didn’t include the VIN tool and agreed with representatives who said it would be a “good idea” to include that for American customers.

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Report: Multiple Versions of Cheating Software Developed by Volkswagen

Reuters reported that sources within Volkswagen and its ongoing investigation have said the automaker created multiple versions of its “defeat device” to cheat emissions tests.

The news agency said a manager within Volkswagen and an official close to the external investigation ordered by the automaker have revealed the multiple programs, which were developed for four different engine types.

If true, the multiple emissions programs could indicate a widespread cheating program — stretching nearly a decade — that could have needed funding to continue, which would be in stark contrast to the “rogue engineer” explanation offered by executives so far.

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Columnist: 'Normalization of Deviance' Led to Volkswagen Cheating

An investor and analyst argued in column that appears in the New Yorker that Volkswagen engineers may have rationalized illegal behavior by incrementally cheating up to the infamous levels uncovered by researchers last year.

Using the catastrophic failure of the space shuttle Challenger as an example, Paul Kedrosky wrote that “normalization of deviance” could have led Volkswagen engineers to systemically cheat on emissions in the same way engineers rationalized colder and colder launches for the space shuttle until it finally disintegrated in 1986 because of failed, cold o-rings.

It’s more likely that the scandal is the product of an engineering organization that evolved its technologies in a way that subtly and stealthily, even organically, subverted the rules.

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Volkswagen Bringing Next-generation Golf Cabrio to US

Volkswagen will bring the next-generatrion Golf Cabrio to the U.S., the first time since 2002, Car and Driver reported.

The next-generation convertible will be based on the Mark VII Golf and arrive sometime in 2017, according to the report. The Golf Cabrio fill the gap left by the Eos when that ends production — eventually.

The Golf Cabrio has been on sale in other markets, but has been absent from the U.S. lineup for more than a decade. The Golf Cabrio can be equipped with four different gasoline engines and two different diesel options worldwide, although the diesel option probably won’t be making an appearance.

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Transaction Roundup: Daimler Trades Legal Chief To Volkswagen For Player to Be Named Later

Volkswagen announced Friday that Christine Hohmann-Dennhardt would join the embattled automaker from a similar post at Daimler after receiving approval from that automaker’s board of directors.

The Daimler board member and former judge will join Volkswagen on its Board for Integrity and Legal Affairs to help the automaker clean up its severely tarnished image after it admitted it had cheated emissions tests on more than 11 million cars worldwide. From Daimler:

In the interests of the Good Corporate Governance of the German automotive industry, the Chairman of the Supervisory Board of Daimler AG has agreed to this request after consultation with the Presidential Committee of the Supervisory Board, after Compliance is anchored firmly at Daimler and its corporate culture.

(Emphasis mine on the sick, corporate burn.)

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Total Recall: Volkswagen Group Will Fix 8.5M Vehicles in EU

Volkswagen Group will recall 8.5 million vehicles in the European Union’s 28 member states, including the 2.4 million vehicles it is already being forced to recall by the KBA, Germany’s transportation authority, the automaker announced Thursday.

Vehicles from the Volkswagen, Audi, Seat and Skoda brands are included in the recall. The latest EA 288 diesel engine is not part of the recall.

Volkswagen said it will begin to rollout fixes in January 2016.

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FTC Looking Into Volkswagen's 'Clean Diesel' Claims Now

The Federal Trade Commission will join the U.S. Department of Justice and the Environmental Protection Agency in investigating claims that Volkswagen cheated consumers and regulators with bogus emissions claims of its diesel cars, Politico reported (via Bloomberg).

The FTC’s inquiry will focus on whether the German automaker lied to consumers about “clean diesel” claims in its advertisements when, in fact, the cars were engineered to deceive emissions tests.

The FTC, Justice Department and EPA’s investigations also joins an investigation by the U.S. Senate Finance committee on whether the automaker illegally obtained $50 million in federal subsidies through car buyers who purchased its cars and received the lean-burn technology motor vehicle credit.

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Germany Orders Volkswagen to Fix Dirty Diesels Faster

German transportation authority KBA on Thursday ordered the mandatory recall of 2.4 million Volkswagen cars with illegally polluting diesel engines, in part, because the German automaker’s proposed timetable wasn’t fast enough, Automotive News reported.

The forced recall will mean Volkswagen would likely spend more to fix its cars faster and German officials have told the automaker to submit a proposed fix by the end of November. Volkswagen initially planned for a voluntary recall to begin next year.

Authorities in Switzerland and Austria followed Germany and announced the forced recall would apply to those cars too, Bloomberg reported.

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Daimler Launches Internships For Refugees in Germany

Daimler announced Wednesday that it would help Germany’s growing refugee crisis by offering “bridge internships” to 40 people along with German classes, transportation for aid organizations and food donations.

The company would put to work some refugees who have flooded the country to escape violence in nearby Middle Eastern countries. In all, Daimler announced it would put to work “several hundred” refugees after a 14-week course in helping them to learn the nation’s language and construction practices.

Daimler joins Audi in offering help to refugees in Germany, after that automaker announced this summer that it would donate €1 million ($1.1 million) to aid organizations.

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Get Excited About BMW's M2, Just Not That Excited … Yet

On paper, the BMW M2 should deliver the full-boat of M-division goodies above the M235 — a car that has plenty of promise and fun, albeit at a price.

The M2, which BMW unveiled Tuesday, sports a fully fledged, electronically controlled rear differential, a modified oil sump, more power, wider stance and six-speed manual as standard. It tickles all the right notes for the well-heeled Munich enthusiast.

But the official announcement left plenty of questions about the car, which will go on sale next spring.

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Report: Volkswagen Scandal Involved At Least 30 Managers, Not 'Small Group'

German magazine Der Spiegel reported Wednesday that at least 30 Volkswagen insiders and managers had knowledge of the illegal “defeat device” and there may be more.

The claim would somewhat refute to what Volkswagen of America chief Michael Horn testified in front of a congressional subcommittee last week when he told representatives that “a couple of software engineers” at Volkswagen in Germany were responsible for the the scandal that has cost the company billions of dollars.

Volkswagen hired U.S. firm Jones Day to conduct an external investigation while the company inquires internally how engineers installed software on 11 million diesel cars that would cheat emissions tests.

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No More LNTs for Volkswagen Diesels; Phaeton Goes All-electric

Volkswagen in Germany announced Tuesday that its diesel cars on sale in Europe and the U.S. would be fitted with an emissions-scrubbing urea tank instead of a lean nitrogen-oxide trap and the automaker would develop further its all-electric vehicles, starting with the Phaeton.

“The Volkswagen brand is repositioning itself for the future. We are becoming more efficient, we are giving our product range and our core technologies a new focus, and we are creating room for forward-looking technologies by speeding up the efficiency program,” Volkswagen passenger cars board chairman Herbert Diess said in a statement.

The automaker announced it would trim €1 billion ($1.1 billion) from current projects, but didn’t specify what three-row SUVs those projects would be.

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Mercedes Expanding AMG Brand, Asking Dealers To Pay For Upgrades

Mercedes-Benz will open performance centers at specific dealerships across the U.S. to expand the AMG brand from enthusiast sub-brand to mainstream performance line, Automotive News is reporting.

Dealers may have to pay up to $200,000 for extra showroom space and training, the report said. The automaker expanded its AMG brand this year with the Mercedes-Benz C450 AMG and GLE450 AMG, which are performance variants of those cars but stop short of the full-performance models.

The move is similar to how other luxury automakers watering down expanding their performance lines, such as Audi’s S-line and BMW’s M-division.

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Volkswagen Debt Downgraded; Company Asking For Supplier Help

Standard & Poor’s downgraded Volkswagen’s rating on long-term debt Monday, and said the company’s diesel scandal indicates poor management. The financial agency further warned that its debt rating could be cut further if the automaker doesn’t immediately address the deepening scandal, Bloomberg reported (via Automotive News).

“VW has demonstrated material deficiencies in its management and governance and general risk-management framework,” Alex Herbert, a London-based analyst at S&P, said according to Bloomberg. “VW’s internal controls have been shown to be inadequate in preventing or identifying alleged illegal behavior.” Further damage and other violations “represents a significant reputational and financial risk.”

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Report: Volkswagen's Reported Death and Injury Claims May Be Too Low

A study commissioned by Bloomberg, conducted by Stout Risius Ross, revealed that Volkswagen’s rate of injury or fatal crashes reported by the automaker was significantly lower than 11 other automakers and nine times less than the industry average.

“The data demonstrates that even on a fleet-adjusted basis, the number of reported incidents by Volkswagen is significantly below what one would expect based on those reported by other automakers,” Neil Steinkamp, a Stout Risius managing director, told Bloomberg. “They are also significantly below the reporting of automakers that have already been cited for non-compliance.”

The report calls into question whether Volkswagen has been accurately reporting crashes, as required by law. Volkswagen didn’t comment on the report.

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Ford Focus RS Now With 350 Horsepower, 350 Torques, Idiot-proof Manual

“Idiot-proof” is a little harsh. Maybe “Idiot-helping.”

Ford on Monday announced that the Focus RS would sport 350 horsepower and 350 pound-feet of torque — up from 345 and 324 respectively — and have a “stall recovery” feature that restarts the car if you’re a beginner with three pedals in a $36,000 hot hatchback.

The feature is an evolution of start-stop technology, according to Ford. If a driver stalls the Focus RS at a light, the engine will start itself by pressing the clutch again — without shifting into neutral. We asked a Ford spokesman if the feature could be disabled — similar to start-stop in other cars — for situations such as push-starting, but didn’t immediately hear back.

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Meeting Advertised Mileage Could Save Volkswagen Money

Volkswagen of America CEO Michael Horn told a congressional committee Thursday that the fixed diesel cars would achieve the fuel economy figures advertised on the cars when they were purchased as new.

“We know we can fix these vehicles to achieve emissions standards,” Horn said.

Horn said that performance such as horsepower and torque for the cars could be impacted, but by keeping those cars at or above advertised mileage, the carmaker could mitigate damage brought by forthcoming class-action and federal lawsuits.

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Volkswagen in America CEO Had More Than One Year To Deal With Cheating Diesels

In a prepared statement released ahead of congressional testimony Thursday, Volkswagen of America CEO Michael Horn said the automaker knew of emissions issues last spring when West Virginia University researchers published findings that the automaker’s cars were illegally polluting. (Emphasis mine.)

In the spring of 2014 when the West Virginia University study was published, I was told that there was a possible emissions non-compliance that could be remedied. I was informed that EPA regulations included various penalties for non-compliance with the emissions standards and that the agencies can conduct engineering tests which could include “defeat device” testing or analysis. I was also informed that the company engineers would work with the agencies to resolve the issue.

(Should have followed up a little more on that email, probably.)

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Report: Volkswagen Lobbied for More Tax Credits for Diesels

Volkswagen lobbied hard in 2011 to receive the same — or higher — clean vehicle credits as electric cars, the New York Times reported Wednesday.

“They wanted a special deal for diesel cars that we now know weren’t even meeting the standard,” Margo Oge, a former director of the E.P.A. Office of Transportation and Air Quality, told the New York Times.

The LA Times reported that roughly $51 million in credits was paid by taxpayers in 2009 for diesel cars that lied about mileage and emissions — essentially a cheap bar trick.

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Volkswagen's Board Confirms New Chairman, Wishes Him Good Luck on Difficult First Day

Volkswagen’s supervisory board confirmed its appointment of Hans Dieter Pötsch to its top seat during a scandal rocking the 78-year-old automaker, the company announced Wednesday.

Pötsch said he would continue the investigation as chairman:

I will do my utmost to uncover the full truth of what happened. I am firmly resolved to make my contribution so that Volkswagen can win back the trust of customers, the public, investors and business partners. And I believe my central task is to play my part in guiding Volkswagen towards a successful future.

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Mller: Volkswagen Recalling European Cars Starting in January

Volkswagen CEO Matthias Müller told German authorities that the company would begin recalling cars in Europe in January and that fixes those cars take roughly one year to complete, Automotive News reported.

Müller told German newspaper Frankfurter Allgemeine Zeitung that the company found 9.5 million affected cars, not 11 million, that would need to be fixed. Müller didn’t specify what the fixes for cars would be, but said that the company was preparing “thousands” of solutions for its cars that cheated emission tests. Müller said the company would replace cars in certain circumstances.

It’s unclear when recalls for the 482,000 cars in the U.S. would start.

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Volkswagen Says EVs 'Key Part' of Its Future (If History Doesn't Repeat Itself)

A Volkswagen of America spokesman said Tuesday that electric, plug-in hybrid and hybrid cars would be a “key part” of the automaker’s research and development strategy after CEO Matthias Müller told 20,000 workers in Wolfsburg that it would postpone or cancel other projects that weren’t critical to sales.

“Electrification, whether full EV, PHEV, or HEV, is a key part of our strategy long term in order to meet worldwide (greenhouse gas) targets,” a Volkswagen spokesman told TTAC on Tuesday.

In 2014, Volkswagen spent $13.5 billion on research and development — more than any other company in all sectors. However, that budget could be severely restricted as the automaker prepares to pay billions for software that cheated emissions tests.

Volkswagen could be looking for ways to not repeat history, when a 1960s lawsuit from Tatra crippled development well into the 1980s.

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Volkswagen CEO Mller Tells Employees That Future Won't Be 'Painless'

Speaking to roughly 20,000 employees in Wolfsburg on Tuesday, new Volkswagen CEO Matthias Müller outlined the big-picture view for the weeks, months and years ahead. (It’s not good, if you’re wondering.)

Anything that is not absolutely necessary will be cancelled or postponed. And it is why we will be intensifying the efficiency program. To be perfectly frank: this will not be a painless process.

The automaker plans “massive cutbacks” according to Reuters, but Müller stopped short of outlining specifics to slow production or lay off workers. The 62-year-old CEO told workers that the company hasn’t calculated the final toll lying about pollution levels in 11 million cars would take on the company.

… while the technical solutions to these problems are imminent, it is not possible to quantify the commercial and financial implications at present.

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Volkswagen Hasn't Found Their Fall Guys (or Gals) Yet

According to Reuters, Volkswagen may have suspended engineers — including top engineers for Audi, Volkswagen and Porsche — without any evidence.

According to the report, more than 10 engineers were suspended in the fallout after it became clear the automaker cheated its way through emissions tests in the U.S. and Europe. It’s not clear if the suspended engineers would be reinstated at the company.

Reuters reported that VW’s internal investigation revealed that the illegal “defeat devices” began appearing in cars around 2008 after engineers discovered that their engine, which was costly to produce, wouldn’t pass emissions tests.

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German Authorities Say Volkswagen Was Alone in Cheating

German transportation authorities said Friday that Volkswagen can’t phone a friend for help, they’re on their own.

“At this point we have no indication of other manufacturers being involved,” a government spokesman, said according to Reuters (via Automotive News Europe).

Being the only automaker embroiled in the scandal — for now — means that Volkswagen will have to face alone the wrath from governments tripping over themselves to charge the automaker with just about anything they want. In the U.S., Volkswagen faces a pending congressional inquiry; in France, prosecutors have opened an investigation for “aggravated deception;” in Italy, the government’s antitrust authority has begun an investigation; in Switzerland — you get the idea.

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Audi Germany Creates Website to Identify Illegal Diesel Cars

Audi in Germany on Friday added information to its main website so customers can determine if their car is affected by an illegal “defeat device” included in 11 million Volkswagen Group cars.

Audi owners can identify if their cars will be part of the unprecedented recall by entering the car’s VIN into the website. Audi said it would roll out a similar service in separate, worldwide markets in coming days. Audi owners can also go to dealerships to see if their cars will require recall work.

Volkswagen created a website in the U.S. this week to answer preliminary questions for its owners, including a video message by Volkswagen of America CEO Michael Horn.

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Report: Volkswagen Investigation May Take Months

A meeting of Volkswagen executives revealed Thursday that the internal investigation into how the company produced 11 million cars with illegal “defeat devices” to cheat emissions tests will take several months, Reuters (via Automotive News) reported.

The supervisory board said in light of the ongoing investigation, the automaker would push back its scheduled meeting in November, where it was expected to name Hans Dieter Pötsch as chairman.

“In view of the time available and the matters to be considered, it would not be realistic to provide well-founded answers which would fulfill the shareholder’s justified expectations,” it said according to Reuters, adding a court would appoint Poetsch to the board, after which he would be elected chairman.

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Volkswagen Planning Capital Push to Raise Money For Scandal

Volkswagen may issue preferred shares to help raise money to deal with its growing diesel scandal, Reuters reported.

The German automaker may cut costs and boost cash flow before resorting to offering parts of the company to outside investors. According to the report, VW may find some willing investors to help bail the company out of its dire straights thanks to its healthy balance sheet and assets. However, if no one is willing to take the bait, the company may resort to more extreme cash-raising strategies that include selling ordinary stock, or even perhaps selling off some of its brands.

Reuters reported that sources said Volkswagen wasn’t considering selling any of its brands now. Fiat Chrysler Automobiles spun off luxury carmaker Ferrari this year, in part, to raise capital for other investments at the global automaker.

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Volkswagen Finds Hatches, Battens Them, and Braces for Massive Business Storm

Volkswagen suspended hiring at its finance arm and cut a shift at its Salzgitter engine factory to prepare its business for fallout from the largest business crisis that company has faced.

According to Reuters (via Automotive News), senior officials at Volkswagen will review Thursday findings from an internal investigation into the scandal that the automaker installed illegal emissions “defeat devices” on 11 million cars. The finance division said it would implement a hiring freeze through the end of this year.

“We are reacting to the current situation. It is a purely precautionary measure,” a spokesman told Reuters.

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German Prosecutors Backtrack on Winterkorn Focus for Investigation

German prosecutors on Thursday said they focused too quickly on former Volkswagen CEO Martin Winterkorn and removed a statement from earlier this week that they were investigating the former executive for the scandal that has engulfed the German carmaker.

In a statement by the Lower Saxony prosecutor’s office obtained by Automotive News Europe on Thursday, the office said there must be “concrete facts” before officially investigating Winterkorn. So far, no specific individuals have been named in the office’s investigation.

The stakes are high for whomever may be responsible for the 11 million cars that illegally cheated emissions tests. Volkswagen supervisory board member Olaf Lies told The Local in Germany that “those people who allowed this to happen, or who made the decision to install this software — they acted criminally. They must take personal responsibility.”

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Porsche's New CEO Oliver Blume is a Company Man

Porsche announced Wednesday that Oliver Blume would succeed Matthias Müller as CEO of Porsche, after Müller left to save head Volkswagen last week.

Blume, who is 47 years old, has been the head of Production and Logistics for Porsche since 2013, and was head of production and planning for Volkswagen before that. Blume was responsible for planning at Seat in Barcelona from 2004 to 2009, and worked on the Audi A3 before his tenure in Spain. According to Porsche, Blume has worked under the Volkswagen umbrella for more than 20 years.

Blume’s challenges at Porsche won’t be as extensive as Müller’s, but will be substantial. As CEO of Porsche, Blume will oversee the iconic 911’s shift to turbocharged four-cylinder engines, the next generation of Panameras and whatever comes of the Mission E electric car concept.

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  • Bkojote Allright, actual person who knows trucks here, the article gets it a bit wrong.First off, the Maverick is not at all comparable to a Tacoma just because they're both Hybrids. Or lemme be blunt, the butch-est non-hybrid Maverick Tremor is suitable for 2/10 difficulty trails, a Trailhunter is for about 5/10 or maybe 6/10, just about the upper end of any stock vehicle you're buying from the factory. Aside from a Sasquatch Bronco or Rubicon Jeep Wrangler you're looking at something you're towing back if you want more capability (or perhaps something you /wish/ you were towing back.)Now, where the real world difference should play out is on the trail, where a lot of low speed crawling usually saps efficiency, especially when loaded to the gills. Real world MPG from a 4Runner is about 12-13mpg, So if this loaded-with-overlander-catalog Trailhunter is still pulling in the 20's - or even 18-19, that's a massive improvement.
  • Lou_BC "That’s expensive for a midsize pickup" All of the "offroad" midsize trucks fall in that 65k USD range. The ZR2 is probably the cheapest ( without Bison option).
  • Lou_BC There are a few in my town. They come out on sunny days. I'd rather spend $29k on a square body Chevy
  • Lou_BC I had a 2010 Ford F150 and 2010 Toyota Sienna. The F150 went through 3 sets of brakes and Sienna 2 sets. Similar mileage and 10 year span.4 sets tires on F150. Truck needed a set of rear shocks and front axle seals. The solenoid in the T-case was replaced under warranty. I replaced a "blend door motor" on heater. Sienna needed a water pump and heater blower both on warranty. One TSB then recall on spare tire cable. Has a limp mode due to an engine sensor failure. At 11 years old I had to replace clutch pack in rear diff F150. My ZR2 diesel at 55,000 km. Needs new tires. Duratrac's worn and chewed up. Needed front end alignment (1st time ever on any truck I've owned).Rear brakes worn out. Left pads were to metal. Chevy rear brakes don't like offroad. Weird "inside out" dents in a few spots rear fenders. Typically GM can't really build an offroad truck issue. They won't warranty. Has fender-well liners. Tore off one rear shock protector. Was cheaper to order from GM warehouse through parts supplier than through Chevy dealer. Lots of squeaks and rattles. Infotainment has crashed a few times. Seat heater modual was on recall. One of those post sale retrofit.Local dealer is horrific. If my son can't service or repair it, I'll drive 120 km to the next town. 1st and last Chevy. Love the drivetrain and suspension. Fit and finish mediocre. Dealer sucks.
  • MaintenanceCosts You expect everything on Amazon and eBay to be fake, but it's a shame to see fake stuff on Summit Racing. Glad they pulled it.