Posts Tagged ‘volkswagen’

Volkswagen Executives Knew About Emission Software


Since last September when Volkswagen’s emission scandal made headlines there has always been a wonder on who at the company knew about the planning and execution of the emission cheating software. Not long after the investigations began, it was said that a PowerPoint presentation was discovered at Volkswagen which detailed the cheating software which could be used at the company. Then it was claimed that only a small group of engineers knew about the cheating software. Well, a recent lawsuit filed by New York and Massachusetts attorneys general accuse ex CEO Winterkorn and current VW CEO Matthias Müller of being aware about the devices.

According to a report by The New York Times, the suit draws on internal documents that claim Müller knew about the decision to not equip Audi vehicles with the proper equipment needed to meet US standards in 2006. The suit claims that the automaker, with Müller’s go ahead, knowingly chose to install the devices onto its vehicles and is the first document that connects the executive to the ongoing scandal.

Further allegation in the lawsuit points to a number of leaders and executives at Volkswagen which could have had their hands in the emission scandal. This includes Wolfgang Hatz, former head of engine and transmission development at VW, Heinz-Jakob Neusser, former head of development for VW, and Ulrich Hackenberg, former head of development for Audi. Both Winterkorn and Müller have denied any malpractice.

Volkswagen Diesel Fix Still Won’t Be Compliant


Customers have been waiting patiently for the official fix notice to come from Volkswagen. The automaker is still in the works with regulators on the details of the repairs needed on their 2.0L TDI diesel motors to bring them into compliance. However, recent news on the projected repair plans is stating that even when the cars are repaired by Volkswagen they will still not comply with clean air laws.

The planned fix apparently will only reduce the over pollution by the 2.0L diesel by approximately 80 to 90 percent which gets the vehicles near CARB requirements, but that’s still not officially considered compliant. What’s more is that the regulator seems to be OK with it. According to Daniel Becker, Director of the Safe Climate Campaign, “For reasons they didn’t state, they’re allowing fixed vehicles to not be fixed, but to allow vehicles to emit twice as much pollution as they otherwise would allow.”

Volkswagen’s 3.0L Diesel Fix Denied


Some may recall that Volkswagen’s 2.0L diesel engine wasn’t the only motor in the company’s lineup that was misleading emission regulators. Volkswagen 3.0L diesel motors found in Audis and Porsches were also part of the emission scandal. Recently, Volkswagen submitted a recall to regulators but the solution was far from acceptable according the the California Air Resources Board (CARB).

As CARB put it, “VW‘s and Audi’s submissions are incomplete, substantially deficient, and fall far short of meeting the legal requirements to return these vehicles to the claimed certified configuration,” Currently, vehicles built between 2009 and 2016 which use the 3.0L diesel engine is affected. If VW doesn’t come up with a plan that satisfied regulators, they may be forced to purchase the vehicles back from customers.

WWII Bomb Found at Volkswagen Headquarter

vw headquarter

After Volkswagen’s brand destruction of a year, the company drops another bomb on us, literally. This time, it appears that a World War II era bomb was discovered at the company’s Wolfsburg, Germany headquarters. Fortunately, bomb experts got to the unit first and defused it.

Volkswagen’s Wolfsburg plant was commissioned by the Germany military during war times. You would normally think that over the course of 70 odd years, and countless number of cars coming out of that factory that a 250kg bomb would’ve been discovered, but sadly the bomb went unnoticed until recently. Construction workers working at the facility found some suspicious pieces of metal around the facility grounds, and when the bomb was discovered 700 employees got evacuated to make way for emergency crews to do their job.

How Will Volkswagen’s Payout Deal Affect Dealers?


The current valuation for Volkswagen dealership isn’t quite that healthy considering the hit the brand took when the diesel emission scandal broke last September. Sales have been down, service has been down, and all of that hits the bottom line hard. Add on top of that the market value for the brand name has also dwindled, it makes for a rough ride for dealership owners. So with the Volkswagen’s recent settlement details hitting the news, there will likely be a spark of activity making its way to the dealers shortly.

Volkswagen’s emission scandal settlement includes spending $15 billion with car owners, the federal government and many states. In that there is also $10 billion allotted to customer buybacks, early lease terminations and customer restitution payments. Dealer activity will increase and hopefully those loyal to the Volkswagen brand will move into a new vehicle which will continue to help dealerships rebuild. However, the actual value of the dealership will likely remain low for some time to come as the entire Volkswagen brand forges it’s way forward to rebuild their image and customer trust.

According to Alan Haig, president of Haig Partners who specializes in dealership buy-sell advisory, “You’ll see an increase in the number of stores that trade hands because now it’s clearer on what will happen. Some dealers will give up on it and sell. Others will be optimistic and want to buy.”

VW Customers May Get a $7000 Pay Out


With details surrounding Volkswagen’s $10 billion settlement which recently surfaced, it’s gotten the attention of customers who have been affecting waiting eagerly to determine what kind of compensation they will be receiving. Myself included, it’s less so about the compensation, and more so about having a clear picture of what options we will have infront of us to make a decision on our diesel vehicle.

In the current state, customers are left hanging time and time again as Volkswagen and regulators continue to battle out a solution. The most recent report is stating that Volkswagen will be paying out anywhere between $1,000 and $7,000 to diesel owners, depending on things like year, mileage and condition of the vehicle. This will be in addition to providing a fix or buy back option on the affected vehicle.

All of these details are still speculation until an official release of the deal comes out between regulators and Volkswagen. At that point, Canadian customers will wait to see what path Volkswagen Canada will go down for their customers.

Volkswagen’s $10 Billion Bill

vw tdi loss

Customers who own a 2.0L TDI Volkswagen have been patiently waiting for the automaker to officially come out with their plan to fix their cars. Rumors have been swirling since April when loose details from the automaker came out reporting that their may be a fix or buy back plan as well as a compensation package for customers. Now, nearing the regulators demanded final date for Volkswagen to report on a solution, there is another bus circulating around a supposed $10 billion plan to fix half-a-million cheating diesel cars in the U.S.

All official solutions from Volkswagen will require both the EPA and CARB to approve of the plan. Volkswagen is all ready to fork over $6.5 billion to car owners and $3.5 billion to the U.S. government and California regulators in fines. With the currently proposed plan, Volkswagen will give the option to customers to have their non compliant vehicles repaired. According to calculations, it would take approximately 2 years for all the repairs to be completed, if Volkswagen can even get to all 482,000 affected cars in the US.

Volkswagen’s Ex Boss Under Investigation Again


Martin Winterkorn, Ex-Volkswagen Group CEO, is under investigation again in Germany, but this time it isn’t because of the emission scandal, he is being investigated for financial crimes. Well, to be specific, the crime itself is still liked to the emission scandal. Specifically, German authorities are investigating whether Wintercorn withheld information about the investigation which was under way internally in order to prop up the inevitable crash of Volkswagen stocks.

The investigation followed immediately after news of Volkswagen’s emission cheating software on their diesel vehicles broke headlines last September. The investigation against Wintercorn now is to determine whether the Ex-CEO was aware of the emission cheating software at Volkswagen because if he did it may mean that he committed the financial crime.

Volkswagen’s New SUV Spotted


Volkswagen’s CrossBlue concept has been spotted in camo doing some testing. The vehicle is heavily covered up, but we can still pull some details away like the Passat like rear end in terms of design cues. The new and larger SUV from Volkswagen may be using the 3.6L V6 found in the Passat and will incorporate 4Motion all wheel drive. Volkswagen may also choose to put their 2.0L turbo four cylinder into the SUV. However, that may be a fairly undersized engine given the platform size of the vehicle. And speaking of platform size, the new SUV will give occupants 3 rows of seating.

Volkswagen is also planning to have the CrossBlue be built on top of their all new MQB platform which allows it to share most of it’s parts with the Golf lineup. This certainly will help in cost management. However, that doesn’t mean those production costs will translate into customer savings as the SUV is still predicted to start somewhere around the $50,000 USD range.

Look for this new Volkswagen to hit showrooms around late 2017.

Volkswagen Streamlines Operations to Help Rebuild Brand


A lot has happened since last September when Volkswagen was caught cheating emission regulators. The public has been waiting for an answer from the automaker on how it will resolve non-compliant vehicles in the US and Canada. The company itself has been working with regulators to try to answer that exact question, albeit very slowly. But behind the scenes, Volkswagen has been hard at work putting together a strategy to save a company that’s been hit hard financially by the scandal.

Volkswagen Group’s CEO, Matthias Mueller, is proposing a move forward strategy which may include getting into the car sharing industry, as well as focusing development efforts on EVs. The focus on EV isn’t a bad move considering the damper that’s been put on the diesel industry as a whole. But that can’t be all blamed on Volkswagen considering the large number of companies who are now being revealed to have some form of deception with regulators as well.

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