Wednesday, September 11, 2019

Volkswagen Reaches $14.7B Emissions Settlement




SAN FRANCISCO (AP) 鈥?Volkswagen diesel owners can choose to either sell their car back to the company or get a repair that could diminish the vehicle's performance under a settlement of claims tied to the German automaker's emissions-cheating scandal. The figure represents the largest auto scandal settlement in U.S. 10 billion to repair or buy back roughly 475,000 polluting Volkswagen vehicles. 10,000, the person said. The person asked not to be identified because the deal will not be filed in court until Tuesday, and a judge has ordered attorneys not to talk about it before then. FILE - In this Feb. 14, 2013, file photo, the Volkswagen logo is seen on the grill of a Volkswagen on display in Pittsburgh. How VW would repair the vehicles to bring them into compliance with clean air laws has not yet been finalized, the person said. Owners who choose to have VW buy back their cars would get the clean trade-in value from before the scandal became public on Sept.





18, 2015. The average value of a VW diesel has dropped 19 percent since just before the scandal began. 10,674, according to Kelley Blue Book. Volkswagen will also offer to fix the cars for free, but any repair that improves the pollution controls will likely hurt the cars' acceleration and fuel economy. Volkswagen marketed the cars as both more fuel efficient and better performing that those with regular gasoline engines. The settlement still requires a judge's approval before it can go into effect. Owners can choose to decline Volkswagen's offer and sue the company on their own. 2 billion for research on zero-emissions technology, the person said. Don Marron, a banker from Allentown, Pennsylvania, who owns a 2012 Jetta SportWagen diesel, said he's glad Volkswagen is offering more compensation than earlier reports had suggested. But Marron wants assurance that if Volkswagen fixes his car but he doesn't like the way it performs, the company will still buy it back.





And if he keeps his car and saves Volkswagen money, he wants compensation for doing that. The scandal erupted in September when it was learned that the German automaker had fitted many of its cars with software to fool emissions tests and had put dirty vehicles on the road. Investigators determined that the cars emitted more than 40 times the legal limit of nitrogen oxide, which can cause respiratory problems in humans. Car owners and the U.S. Department of Justice sued. VW is still facing billions more in fines and penalties, a lawsuit by state attorneys general and potential criminal charges. 14.7 billion settlement also does not include another roughly 90,000 3-liter Volkswagen diesels, which had another version of cheating software. 18.2 billion charge to cover the cost of the global scandal, which includes a total of 11 million vehicles worldwide. The company has admitted developing sophisticated software that determined when the cars were being tested by the EPA on a treadmill-like device called a dynamometer and turned on the pollution controls. Once all wheels began spinning and the steering wheel was turned, the controls were turned off. The company, which knew the EPA's testing routine, got away with the scam for seven years before being caught by the International Council on Clean Transportation, which hired West Virginia University to test a VW in real roads conditions. Krisher reported from Detroit. Associated Press writer Dee-Ann Durbin in Detroit contributed to this report.





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