Volkswagen has moved one step closer to closing the book on its costly diesel emissions scandal. A US federal judge in San Francisco on Thursday gave final approval to a $1.2 billion settlement with the 80,000 owners of 3.0 liter diesel vehicles.
The 3.0-liter settlement was one of the major outstanding issues on the legal docket for VW in the United States. Last fall, the same judge approved VW’s $14.7 billion settlement with US authorities and the owners of nearly 500,000 2.0-liter diesels vehicle.
Owners of 3.0-liter diesels can opt to have their vehicles fixed or bought back by VW. Those who opt for a fix will receive compensation between $7,000 and $16,000.
The federal court in San Francisco on Thursday also approved a $327.5 million settlement with Bosch, the world’s largest auto parts supplier. Bosch supplied the engine control device that housed the cheat software used by VW to skirt emissions tests. The company denies any wrongdoing and says it decided to settle to focus on other issues.
The final authorization of VW’s 3.0-liter settlement officially brings the automaker’s Dieselgate tab in the United States to $25 billion. Despite its costly legal woes, VW and its subsidiary Audi have actually managed to boost sales in the United States. VW’s core brand saw sales rise by 12.7 percent in February, while sales at premium brand Audi rose by 17 percent.
Spencer Kimball is an editor with Handelsblatt Global. To contact the author: [email protected]