VW to pay US suppliers $1.2b over Dieselgate

AFP, SAN FRANCISCO: German auto giant Volkswagen has agreed to pay US suppliers some $1.2 billion to settle claims emanating from the “Dieselgate” pollution scandal, the firm and suppliers said late Friday.
Volkswagen issued a statement saying it had reached an agreement in principle with VW-branded suppliers after more than a month finalising the accord.
“Under the proposed agreement, Volkswagen has agreed to make a maximum total of $1.208 billion in cash payments to eligible dealers and to provide additional benefits to resolve alleged past, current and future claims of losses in franchise value,” the statement read.
Both parties had announced an agreement in principle on August 25.
The finalized accord was filed with the district court for the Northern District of California in San Francisco where it is subject to the approval of a judge.
The cash—half up front and half in monthly instalments over 18 months—
will be shared among 
652 dealers, lawyers representing them said, for an average settlement of around $1.9 million.
Volkswagen has also agreed to buy back affected vehicles still in dealer lots. 
The deal comes on top of the $14.7 billion in US compensation and fines Volkswagen has already agreed to pay regarding some 480,000 two-liter models.
The firm has yet to find a solution regarding a further 80,000 3-liter models affected by the scam.
US authorities have given the company until the end of this month to show if they can be fixed.

VW to pay US suppliers $1.2b over Dieselgate

AFP, SAN FRANCISCO: German auto giant Volkswagen has agreed to pay US suppliers some $1.2 billion to settle claims emanating from the Dieselgate pollution scandal, the firm and suppliers said late Friday. Volkswagen issued a statement saying it had reached an agreement in principle with VW-branded suppliers after more than a month finalising the accord. Under the proposed agreement, Volkswagen has agreed to make a maximum total of $1.208 billion incash payments to eligible dealers and to provide additional benefits to resolve alleged past, current and future claims of losses infranchise value, the statement read. Both parties had announced an agreement in principle on August 25. The finalized accord was filed with the district court for the Northern District of California in San Francisco where it is subject to the approval of a judge. The cashhalf up front and half in monthly instalments over 18 months will be shared among 652 dealers, lawyers representing them said, for an average settlement of around $1.9 million. Volkswagen has also agreed to buy back affected vehicles still in dealer lots. The deal comes on top of the $14.7 billion in US compensation and fines Volkswagen has already agreed to pay regarding some 480,000 two-liter models. The firm has yet to find a solution regarding a further 80,000 3-liter models affected by the scam. US authorities have given the company until the end of this month to show if they can be fixed.