April 21, 2016 Comments Off on US Reaches 500K Vehicle Buy Back Deal with VW Views: 333 California News, Midwest, National News, Northeast, Southeast, Southwest, West

US Reaches 500K Vehicle Buy Back Deal with VW

The EPA and U.S. Justice Dept. reportedly struck a tentative deal with Volkswagen AG, under which the German carmaker would either fix or buy back nearly 500,000 diesel cars and also set aside at least $10 billion for a potential fine. The cars were manufactured with sophisticated software that helped them evade U.S. emission rules.

Sources briefed on the matter confirmed to Reuters that Volkswagen is expected to tell a federal judge of its offer at a court hearing in San Francisco today. The company plans to repurchase up to a half a million 2.0-liter diesel vehicles sold in the U.S. that exceeded legally allowable emission levels.

Among the models covered are Jetta sedans, Golf compacts and Audi A3’s sold since 2009. As part of the settlement, Volkswagen has also agreed to set up a compensation fund for owners.

Read More at Reuters

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