VW to pay $1B to U.S. diesel owners

Source: AP

Washington — Volkswagen plans to pay $1 billion to owners of its diesel cars that were rigged to cheat federal emission standards as the automaker tries to move past a scandal that has badly damaged its image in the United States.

A person briefed on the matter told the Associated Press that Volkswagen reached agreement with the U.S. government to spend just over $1 billion to compensate owners of the 550,000-plus U.S. diesel vehicles on which the automaker installed software to skirt federal emission rules.

The person said it’s an agreement in principle that does not include final details of how much each owner will get. Some owners would have the option of getting their cars repaired or having Volkswagen buy them back.

The agreement likely will be revealed Thursday during a court hearing in San Francisco. The person says it will not include plans to fix the cars, which apparently are still under negotiation.

Read more: http://www.detroitnews.com/story/business/autos/foreign/vw-emissions-scandal/2016/04/20/vw-payout/83296330/