Volkswagen Board: VW Will Change for the Better - http://clapway.com/2015/11/09/volkswagen-board-is-at-the-verge-of-collapse123/

Volkswagen is facing the greatest crisis of its history, with over 11 million diesel cars cheating heir carbon dioxide ratings to fit the standard. The initial scandal broke out when US National Highway Traffic Safety Administration noticed inconsistencies in the car’s emission tests, which later revealed that a special software had been put in their diesel cars to fake the figures to fit regulations.

The Volkswagen Board of Directors say that the company will have an even deeper plunge as employees speak out and claim that the deception is worse than reported, some even admitting that some non-diesel cars have the software used to cheat the emissions tests. This has put about $2.15 billion at risk in addition to the $7.2 billion that they’ve been fined already.

CO2 emissions in Volkswagen cars have been confirmed to have been manipulated since 2013, according to the Volkswagen Board, but it hadn’t been entirely intentional. An engineer confessed to the company that it was in order to amend an error made by technicians that could not be fixed by legal means otherwise, and that for fear of retribution, it was kept under wraps. This came when previous Volkswagen CEO Martin Winterkorn ordered a 30% decrease in CO2 emissions on all Volkswagen diesel cars, and this must have been to steep a feat for engineers to achieve.

The people responsible for breaking out the scandal are still employed by the company, and Volkswagen’s new CEO Matthias Mueller, appointed in the midst of the scandal, and the rest of the Volkswagen Board promise to show investors and clients alike that Volkswagen is looking to turn a new leaf.

 

Volkswagen Board: VW Will Change for the Better

Volkswagen Scandal Causes Distrust With Clients - http://clapway.com/2015/11/02/volkswagen-scandal-causes-distrust-with-clients-123/

Herbert Diess extended an apology to all Volkswagen investors and customers at the Tokyo Motor Show for the emissions test cheat scandal the company has just been thrown into.

The American Environmental Protection Agency found a software installed on Volkswagen diesel vehicles which allowed the cars to cheat emission tests, and immediately after the news broke out, the automaker’s Japanese sales dropped by a third. This was fueled most likely by the scandal, but also by the lack of new models.

The company faces a potential recall of millions of cars and an $18 billion fine. Diess promised to bring a new and better Volkswagen to the world, and that the company’s first priority is not their stocks but rebuilding trust with their customers to the brand.

Immediately after issuing the apology, Diess and Sven Stein, head of Volkswagen’s Japan division, unveiled their newest plug-in hybrid sport utility car. This scandal also prompted the delay of the release of a diesel model in Japan, from the first quarter of 2016 to the second half. Though it doesn’t use the same engine or software as the cars involved in the scandal, the company didn’t want to put customer trust in further jeopardy.

Volkswagen had initially beat Toyota to the top of the Japanese auto market on the first half of 2015, but now Toyota has reclaimed is throne. It’s yet to be seen how Volkswagen will recover as 2016 sets in.

Volkswagen Scandal Causes Distrust With Clients