Volkswagen Agrees To CAD$2.1 Billion Canadian Diesel TDI Vehicle Buyback Settlement
Following news of widespread incompetence and/or indifference in the way that the company has treated diesel TDI vehicle buyback participants in the US, Volkswagen has reached agreement with the Canadian government to offer a similar buyback program there.
The Canadian diesel TDI vehicle buyback program will reportedly total CAD$2.1 billion in company spending, with each of the owner/buyback-participants getting between CAD$5,100 and CAD$5,950 — in addition to the new, post-scandal vehicle value.
That’s for those who chose the buyback option, of course. Those who want to wait for a “fix” can choose to do so — though, given the company’s actions over the last decade, who knows how effective such a fix would actually be? Or if one would ever arrive, rather than being postponed repeatedly.
The settlement concerns around 105,000 Canadian diesel Volkswagen vehicle owners. In addition to the buyback offer program, Volkswagen has agreed to pay CAD$15 million in civil administrative monetary penalties (more or less chump change for the firm).
Commenting on the deal, Volkswagen Group Canada CEO Maria Stenstroem stated: “Volkswagen’s primary goal has always been to ensure our Canadian customers are treated fairly, and we believe that this proposed resolution achieves this aim.”
Hmmm? I wonder if they’ll be treated as “fairly” as buyback program participants in the US are being treated? Particularly, those who chose to finance through Volkswagen. …
Automotive News provides some further information: “Two Canadian courts will hold approval hearings around the end of March. Volkswagen will pay legal fees to the suing owners’ lawyers separately from the settlement fund. … In June, Volkswagen agreed to a similar deal with US owners, in which it would spend about $10 billion to buy back or fix 475,000 US vehicles. In total, the company has now agreed to spend to date more than $18 billion to address diesel emissions issues in North America. The automaker still faces more costs to address larger vehicles and US fines.”
Volkswagen has also been dealing with a lot of blowback in South Korea relating to the diesel emissions cheating scandal.
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