VW emissions scandal

[cobrakidz]

I told my wife the other day to watch and see - I said the president of VW would take the blame, step down or get fired and leave with a huge severance package......then the public would think that justice had been served....

 

[PhilTaylor]

and the beat goes on.

3 more execs fired:
http://www.autoblog.com/2015/09/24/horn-hackenburg-hatz-fired-vw-diesel-scandal/

50 class-action suits in the US, jumpstarted by "lawyers as owners":
http://www.autonews.com/article/20150923/OEM11/150929921
http://www.autoblog.com/2015/09/24/diesel-owners-joining-lawsuits-volkswagen/

investigations, civil cases in UK start, other geos to follow?
http://www.itv.com/news/update/2015-09-22/uk-needs-to-know-that-vw-testing-is-truly-independent/
http://www.theguardian.com/business/2015/sep/24/vw-scandal-car-giant-faces-uk-legal-claims
http://www.bitterwallet.com/vw-scandal-could-lead-to-uks-biggest-ever-class-action-lawsuit/88001

criminal probe in Germany?
http://abcnews.go.com/International/wireStory/latest-evidence-vw-scandal-industry-wide-33969340
http://news.yahoo.com/german-prosecutors-investigate-manipulation-vw-emissions-data-115710013--finance.html

bmw under suspicion, too early to tell, may be "single failure":
http://nypost.com/2015/09/24/suspicions-over-vws-emissions-scandal-spread-to-rival-bmw/

suggestions to widen probe to "entire industry":
http://www.wsj.com/articles/volkswagen-emissions-investigations-should-widen-to-entire-auto-industry-officials-say-1442915079?mod=rss_Business

brand damage to VW starting to pile up, have maybe a week:
http://news.yahoo.com/vw-customers-dealers-seek-speedy-action-emissions-scandal-081224789--finance.html
http://www.bloomberg.com/news/videos/2015-09-24/the-damage-to-the-volkswagen-brand-amid-scandal
http://www.nasdaq.com/video/the-damage-to-the-volkswagen-brand-amid-scandal-519105535
http://www.timesfreepress.com/news/business/aroundregion/story/2015/sep/23/biggest-vw-dealer-says-volkswagen-brand-risk/326700/
http://money.cnn.com/2015/09/24/investing/volkswagen-vw-emissions-scandal-stock/index.html

dealers at risk, may sue:
http://www.autonews.com/article/20150923/RETAIL07/150929913/volkswagen-dealers-have-cause-to-sue-the-automaker-lawyers-say

 

[VoodooBoss]

Hard to believe VW are the only ones to do this.

 

[PhilTaylor]

Hard to believe VW are the only ones to do this.

time will tell, because it looks like there is going to be an across the board re-examination.

its hard to figure out what an appropriate level of justice is here, but it seems so far to the criminal over such a long period that some sort of prosecution should happen.

 

[TMSBOSS]

From what I have read. It is hard to believe VW is the only brand pulling this sort of fraud.

The Europeans rely on the fox, the manufactures to watch the hen house, testing .

Testing is done by the manufacturer and reported to the governments. It appears one of the few nations actually enforcing a standard is the US.

Strange how other nations demand compensation for the pollution the US is accused of while Cooking the Books on their output.

 

[WinterSucks]

Warm what I have read. I is hard to believe VW is the only brand pulling this sort of fraud.

The Europeans rely on the fox, the manufactures to watch the hen house, testing .

Testing is done by the manufacturer and reported to the governments. It appears one of the few nations actually enforcing a standard is the US.

Strange how other nations demand compensation for the pollution the US is accused of while Cooking the Books on their output.

And they expect us to show up EVERY time there is a disaster, take our charity to the tune of BILLIONS, and then tell us we are awful people...

Anyways, I bet the CEO's of every other car manufacturer on the planet are suddenly very interested in their products engines.

 

[PhilTaylor]

Warm what I have read. I is hard to believe VW is the only brand pulling this sort of fraud.

The Europeans rely on the fox, the manufactures to watch the hen house, testing .

Testing is done by the manufacturer and reported to the governments. It appears one of the few nations actually enforcing a standard is the US.

Strange how other nations demand compensation for the pollution the US is accused of while Cooking the Books on their output.

Exactly because the EU emissions standards run on some sort of "honor system", as compared to the USA where we have independently verified tests, I would expect EU manufacturers to be more susceptible to cheat; although I agree corporations are not the most trustworthy entity. That would be your dog, lol.

VW had more incentive to do this as compared to other manufacturers since their sales of diesel is 20-25% of overall sales.

But I am trying to avoid cynicism, at least until a couple more are "caught out".

I have the popcorn out ( where is that popcorn eating emoticon ) for the duration.

 

[PhilTaylor]

a new CEO named:
http://money.cnn.com/2015/09/24/news/companies/volkswagen-emission-scandal-ceo/index.html

Audi sold 2.1m units in Germany with the problem:
http://www.wsj.com/articles/audi-confirms-2-1-million-cars-involved-in-emissions-scandal-1443436979?mod=trending_now_10

Extends to 1.8m commercial trucks ( SEAT brand? ):
http://www.thestar.com/business/2015/09/29/vw-emissions-scandal-extends-to-18-million-trucks.html

1.2m Skoda vehicles also affected:
http://reviewtimes.com/world-news/2015/09/28/the-latest-1-2-million-skoda-cars-affected-by-vw-scandal/

VW scandal offers stock buying opportunity?
http://money.usnews.com/money/personal-finance/mutual-funds/articles/2015/09/29/automotive-stocks-to-buy-after-volkswagens-diesel-scandal

VW to recall "all 11m vehicles", more details "in a month":
http://news.yahoo.com/vw-ceo-says-comprehensive-plan-tackle-diesel-issues-073910827--finance.html

the fact this affects at least 4 brands ( VW, Audi, Skoda, SEAT ) and one of them is commercial makes me think VAG should be broken up into individual companies, as being together made it easier to cheat ( single org performing engine engineering ) and made it easier to propagate.

 

[coboss]

Jalopnik had a good article pointing out that the TDI engines in Audis in the US have the same software, including the Audi A3 TDI, 2010 "Green Car Of The Year"! What a crock. NO diesel can come close to matching a gas engine for emissions in the real world. Can't happen. I wonder how much they paid to be "Green Car Of The Year"?

I had to LMAO when I read the articles and comments in Colorado newspapers, home of the handwringing environmentalists. They were SO SHOCKED that their beloved Volkswagen would do such a thing. Why, they thought their Jetta TDI was the most environmentally conscious car out there, because it gets 45MPG. Idiots. I can't wait to see what stellar MPG and driveability the TDI's have after they actually have to pass even the lax diesel emissions. I'm guessing a Chevy Cruze with the 1.4L turbo and a manual will beat them at MPG, running gasoline. A good driver can get 40 MPG in one of those. I also wonder if other diesels will come under the microscope. The Cruze diesel hasn't been out very long, so at least GM would only have a small handful to recall.

And the last thing it makes me wonder is whether all of the other diesel manufacturers are as pissed as they should be. They knew they couldn't get their diesels to pass US emissions, and they refused to game the system in the face of huge demand. I know that people have been clamoring for the Subaru diesel in the US for years, but it has never made it here, and Subaru said emissions were the reason. Mazda also has some cool diesel technology they sell elsewhere.

 

[patrickshelby]

This is all a big JOKE!
To point your finger at VW thinking all others are clean and honest is just a big and comfortable LIE.
Does anyone think a Tesla is a clean car? Hahaha...Sure!
BTW they should have never be allowed to use that name.
We are ALL polluters and the truly clean technology is purposefully kept away from the industry.

 

[PhilTaylor]

Credit Suisse estimates damages max at 86billion, larger than BP disaster:
http://money.cnn.com/2015/10/02/news/companies/volkswagen-scandal-bp-credit-suisse/

VW finally starts telling customers if they are affected:
http://www.reuters.com/article/2015/10/02/us-volkswagen-emissions-idUSKCN0RU15H20151002

1.2m cars in the UK affected:
http://www.theguardian.com/business/2015/sep/30/vw-emissions-scandal-12m-uk-cars-affected

ugh, Congressional hearings likely, like the do-nothings have any value to add:
http://www.cnbc.com/2015/10/02/vw-emissions-cheating-scandal-heading-to-congress.html

other EU brands may take a hit too, as diesel-tech's lifetime may be shorted by this scandal and the move to electrification sped up, Japanese brands to benefit?:
http://news.yahoo.com/vw-rivals-risk-bigger-blow-emissions-scandal-hits-150019200--finance.html

other brands not compliant as well?
http://www.independent.co.uk/news/business/news/volkswagen-emissions-scandal-more-carmakers-implicated-as-tests-reveal-pollution-levels-of-popular-a6674386.html

British tabloids keep on the heat:
http://www.telegraph.co.uk/finance/newsbysector/industry/11906842/Five-questions-about-the-VW-emissions-scandal-that-wont-go-away.html

 

[302 Hi Pro]

I suspect when it starts to cave in around VW in a another year or so, the German government will step in with a bail out. "Too big to fail" was the mantra for some here when GM hit the skids.

It will be years, but the VW brand will survive.

2HP

 

[PhilTaylor]

This is all a big JOKE!
To point your finger at VW thinking all others are clean and honest is just a big and comfortable LIE.
Does anyone think a Tesla is a clean car? Hahaha...Sure!
BTW they should have bnever be allowed to use that name.
We are ALL polluters and the truly clean technology is purposefully kept away from the industry.

Thanks for your opinion, but I prefer "innocent until proven guilty" over painting with a broad brush and cynicism.

And I will avoid conspiracy theories too while I am at it, lol. Just don't get me started on the Sumerians....

 

[PhilTaylor]

I suspect when it starts to cave in around VW in a another year or so, the German government will step in with a bail out. "Too big to fail" was the mantra for some here when GM hit the skids.

It will be years, but the VW brand will survive.

2HP

Could be, but 80+ billion would be trouble even for the German government, if it goes that high and risks VWS future.

It's gonna be an interesting few months in auto-land watching it all go down, that's for sure.

 

[Silver LS]

Does anyone know if these cars in the USA can be fixed? Is it a software problem? Is the hardware installed on the car to bring it into compliance? What if someone needs an emissions test now will they be allowed to continue driving?

 

[PhilTaylor]

Does anyone know if these cars in the USA can be fixed? Is it a software problem? Is the hardware installed on the car to bring it into compliance? What if someone needs an emissions test now will they be allowed to continue driving?

VW claims some can be fixed in software but that some will require hardware fixes.

I don't believe the cars can pass the CARB test, other states YMMV.

 

[PhilTaylor]

2 senior engineers under scrutiny:
http://www.wsj.com/articles/vw-emissions-probe-zeroes-in-on-two-engineers-1444011602

Plays down hope of quick fix:
Http://mobile.reuters.com/article/idUSKCN0S113S20151007

Could take up to a year to fix, will start in Jan
http://www.telegraph.co.uk/finance/newsbysector/industry/11916115/VW-scandal-Volkswagen-to-start-fixing-emissions-rigged-diesel-cars-in-January.html

Some cars can be fixed with software update, but some require hardware fixes, will cost more than estimate:
http://www.nytimes.com/2015/10/07/business/international/vw-diesel-emissions-job-cuts.html?_r=0

Slashing costs:
http://www.usatoday.com/story/money/cars/2015/10/06/volkswagen-slashing-costs-arent-absolutely-vital-amid-emissions-scandal/73435322/

Layoffs possible?
http://www.huffingtonpost.com/entry/vw-warns-staff-of-impending-massive-cutbacks_5613c90ae4b0368a1a60f028

Cratering the company possible?
http://www.usatoday.com/story/money/cars/2015/10/04/volkswagen-emissions-crisis/73356630/

 

[302 Hi Pro]

Yesterday, VW pulled its 2016 TDI Clean Diesel Emissions compliance application from the Feds, EPA.

VW knows it can't be fixed in the US with only a soft wear change. I don't think they have a fix for US, or CARB States.

302HP

 

[PhilTaylor]

yup

EPA action:
http://www3.epa.gov/otaq/cert/violations.htm

diesel pulled in USA?
http://www.wsj.com/articles/volkswagen-withdraws-request-to-certify-2016-model-year-vehicles-1444243809
http://www.latimes.com/business/autos/la-fi-hy-vw-cancels-2016-diesel-line-up-20151007-story.html

no repair schedule?
http://www.newsmax.com/Newsfront/vw-no-repairs-congress/2015/10/08/id/695231/

VW HQ raided by Police:
http://www.nbcnews.com/business/autos/vw-scandal-german-prosecutors-search-company-facilities-evidence-n440856

VW US chief knew in 2014?
http://start.lenovo.com/news/read/category/News/hashtag/News/article/afp-german_police_raid_scandalhit_volkswagens_hq-afp

wow, just wow. looks like criminal charges are likely. knowing in 2014, roughly 1 year ahead of EPA violation charges, is certainly looking fraudulent.

time for more popcorn.

 

[WinterSucks]

I am sure that some manufacturers find little loopholes here and there, but not blatant things like this. We will find out, I am sure CARB will be extra cautious with any diesel for the next few years. Most likely every diesel using manufacturer on the planet has already organized internal investigations to make sure they don't end up in the same sinking boat as VW. If Ford/GM/Crapstler trucks suddenly have a downgrade in fuel economy numbers it would look suspicious.

Anyways, the "hardware fix" is the truly scary part to me. It's bad enough to have to reprogram millions of vehicles, but if a good percentage require a hardware fix then this will be a truly epic recall. Maybe the most expensive recall of any product ever. I will have to look up how much Boeing's FUBAR cost, but at least that was just bad engineering (what Electrical Engineer DOESN'T know lithium batteries have runaway thermal issues...).

I am surprised that the stock had a huge bump back up already. Still no where near where it was, but this is only the beginning. I guess some investors are taking the risk.