Sources Say VW to Pay Dealers $1.2 Billion

We reported yesterday that a tentative deal had been reached between Volkswagen and its US dealer network to compensate them for costs incurred in the wake of the TDI scandal. Now sources are saying that the deal will run VW upwards of a billion dollars, reports Bloomberg.

The deal struck between VW and the dealers would have the carmaker buying back the diesel vehicles that can’t be fixed from dealers in much the same way as those bought from individual owners. That’s as per a statement released by lawyers of the dealers.

No dollar amount was announced in that statement, though, and the terms of the deal were supposed to remain confidential until it was officially agreed to later this year.

If these reports are true, the amount that VW has to pay for the emissions scandal could go up to $16.5 billion.

[source]

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