VW to pay $10.2 billion in diesel emissions scandal, reports AP
Anonymous sources told the AP that Volkswagen has agreed to a $10.2 billion settlement package, compensating owners of its diesel-engined cars for violating emissions standards.
Citing anonymous sources with knowledge of settlement negotiations between Volkswagen, government agencies, and car owners, the AP published a report saying that Volkswagen would pay out $10.2 billion for its diesel emissions violations. The final details of the settlement will be officially announced on Tuesday.
Volkswagen came under fire in September when investigators found that its diesel-engined cars used software to cheat emissions tests, switching the engine between different modes depending on whether it was being tested or driven. The company admitted its fault and went into negotiations to settle the issue with the Environmental Protection Agency, California's Air Resources Board and owners of its diesel-engined cars.
The negotiations dragged on, with parties missing several deadlines set by the judge overseeing the settlement, first on March 24, then on April 21.
According to the AP report, the final settlement will be announced Tuesday. Most of the settlement will go to compensate owners, either buying back or upgrading their emissions systems.
Following the diesel emissions scandal, Volkswagen has announced greater emphasis on battery electric vehicles.