VOLKSWAGEN OBTAINS FINAL APPROVAL OF 2.0L TDI SETTLEMENT PROGRAM IN THE UNITED STATES

Wolfsburg / Herndon VA 2016-10-25

Volkswagen AG, Volkswagen Group of America, Inc. and certain affiliates (together, Volkswagen) announced today that Judge Charles R. Breyer of the United States District Court for the Northern District of California has granted final approval to the settlement agreement between Volkswagen and private plaintiffs represented by a Court-appointed Plaintiffs’ Steering Committee (PSC) to resolve civil claims regarding eligible Volkswagen and Audi 2.0L TDI vehicles in the United States. Concurrently, Judge Breyer also approved a Consent Decree between Volkswagen and the U.S. Department of Justice on behalf of the Environmental Protection Agency (EPA) and the State of California by and through the California Air Resources Board (CARB) and the California Attorney General; and a Consent Order between Volkswagen and the U.S. Federal Trade Commission. All three agreements were previously announced.

“Final approval of the 2.0L TDI settlement is an important milestone in our journey to making things right in the United States, and we appreciate the efforts of all parties involved in this process. Volkswagen is committed to ensuring that the program is now carried out as seamlessly as possible for our affected customers and has devoted significant resources and personnel to making their experience a positive one,” said Hinrich J. Woebcken, President and CEO of Volkswagen Group of America, Inc.

Volkswagen remains focused on resolving other outstanding issues in the United States and continues to work towards an agreed resolution for customers with affected 3.0L TDI V6 diesel engines.

Notes

The implementation of the 2.0L TDI settlement program will begin immediately. Customers with eligible vehicles may submit claims using a paper claim form (available at www.VWCourtSettlement.com or by calling 1-844-98-CLAIM) or via an online portal at www.VWCourtSettlement.com Once a customer’s claim is approved, a customer can schedule appointments with dedicated settlement specialists who have been assigned to dealership locations.

Under the terms of the 2.0L TDI settlement agreements, affected owners and lessees will be able to choose whether to accept a buyback or lease termination, or receive an approved emissions modification for their vehicle (if and when it becomes available). Volkswagen will also make cash payments to affected current and certain former owners and lessees.

Volkswagen has also agreed to pay $2.7 billion over three years into an environmental trust, managed by a trustee appointed by the Court, to remediate excess nitrogen oxide (NOx) emissions from 2.0L TDI vehicles in the United States and invest $2.0 billion over 10 years in zero emissions vehicle (ZEV) infrastructure, access and awareness initiatives.

 

The following 2.0L TDI engine vehicles are included in the 2.0L TDI settlement program:

 

VW Beetle              VW Golf            VW Jetta              VW Passat           Audi A3

2013- 2015           2010-2015        2009-2015         2012-2015          2010-2013; 2015

 

By their terms, these agreements are not intended to apply to or affect Volkswagen’s obligations under the laws or regulations of any jurisdiction outside the United States. Regulations governing nitrogen oxide (NOx) emissions limits for vehicles in the United States are much stricter than those in other parts of the world and the engine variants also differ significantly. This makes the development of technical solutions in the United States more challenging than in Europe and other parts of the world, where implementation of an approved program to modify TDI vehicles to comply fully with UN/ECE and European emissions standards has already begun by agreement with the relevant authorities.

 

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