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Volkswagen, Bosch reach diesel settlement worth $1.6 billion

Volkswagen Group of America and automotive parts maker Bosch reached a settlement in which the two companies will pay a combined $1.6 billion because of their roles in the automaker's diesel-emissions scandal. VW, Europe's largest automaker, will pay about $1.2 billion to either repair or buy back vehicles. Bosch said separately that it will pay more than $300 million to owners of diesel-powered Volkswagens, Audis, and Porsches. The settlement stems from emissions issues related to about 78,000 VW-made cars and SUVs with 3.0-liter V6 diesel engines that were sold in North America. VW will recall and repair about 58,000 vehicles made for the 2013-through-2016 model years. The company will also buy back, offer a trade-in credit, or terminate the leases for about 20,000 cars for the model years 2009 through 2012. The older impacted models are the Volkswagen Touareg and Audi Q7, while the newer ones are the Touareg and Q7 as well as Audi's A6, A7, A8, A8L, and Q5 models, and finally the Porsche Cayenne Diesel. Previous reports estimated the payout at closer to $1 billion. The US settlement follows one reached last year between VW and US regulators in regards to VW's 2.0-liter diesel engines. That settlement was estimated to cost VW about $15 billion and impacted owners of about 500,000 vehicles. VW has had a stop-sale on its diesel vehicles in the US since late 2015 after it was discovered that VW installed software in its diesels that allowed those vehicles to cheat emissions-testing systems. VW on Wednesday also reiterated that it would contribute $225 million towards environmental-remediation efforts in the US. Volkswagen of America CEO Hinrich J. Woebcken, in Wednesday's statement, said that "we will continue to work to earn back the trust of all our stakeholders and thank our customers and dealers for their continued patience as this process moves forward." Related Video: News Source: Volkswagen via Automotive News-sub.req.Image Credit: Shannon Stapleton / Reuters Government/Legal Green Audi Porsche Volkswagen AutoblogGreen Exclusive Emissions Diesel Vehicles vw diesel scandal scandal settlement

Volkswagen reportedly to name Matthias Muller CEO

Porsche chief executive officer Matthias Muller is expected to be named CEO of Volkswagen AG, the Wall Street Journal and other sources reported Thursday morning. Muller, 62, has led Porsche since Oct. 1, 2010, and jumpstarted the sports-car brand's expansion around the world. He replaces Martin Winkerkorn, who stepped down Wednesday amid the company's worsening diesel scandal. At least three more executives are also expected to be fired, including Volkswagen's US chief and the heads of Audi and Porsche research and development. Both brands are divisions of VW. A US spokesman wouldn't confirm the reports. An official announcement is expected at VW's board meeting on Friday. Muller's ascension caps a stunning week of turmoil for Volkswagen, which manipulated software to make its diesel-powered vehicles appear cleaner during testing that they are in real-world driving. The charges were revealed last week by the EPA, which cited the work of researchers at West Virginia University. About 482,000 vehicles are affected in the United States, which will be subject to recall, and VW estimates about 11 million of its vehicles around the world have the rigged software. The well-regarded Muller was viewed as a front-runner for the job even before Winterkorn stepped down. Before helming Porsche, he oversaw all vehicle projects globally for VW from 2007-2010. Previously, he was in charge of the Audi and Lamborghini product lines, and earlier in his career was responsible for the Audi A3 program in the 1990s. He joined Audi in 1977. He's trained as a toolmaker and studied information technology in Munich. His last name is sometimes spelled Mueller in English. Muller faces immediate challenges as he takes over VW's sprawling 78-year-old industrial empire, including recalls and regulatory actions around the world. In the US alone, the company faces a fine of up to $18 billion. VW, an industrial symbol of Germany, is also far larger than any unit Muller has run in his career. While Porsche sold 189,849 vehicles in 2014 globally, it's one of many VW brands. Collectively they sold 5.04 million vehicles through the first six months of this year, making Volkswagen the world's largest automaker. Related Video:

An Outback for architects | 2017 Audi A4 Allroad First Drive

There are crossovers – big SUV-like things that give people the commanding view of the road they crave so much – and then there are crossovers. Lifted wagons in the vein of the Subaru Outback are arguably the crossover archetype, but they've become the exception, not the rule. That's where the Audi A4 Allroad fits in. Like its predecessor, the 2017 Allroad is a rather good-looking alternative to a mid-size SUV. The A4 Allroad is again based on the lovely A4 Avant, a wagon that isn't sold in America. The Allroad has a slightly raised suspension compared to its overseas counterpart, slightly higher-profile rubber, standard two-tone paint, roof rails, fender flares, lower body cladding, and a grille with vertical slats to emphasize the rugged point. And for reasons that no automotive purist has ever been able to derive, the look totally works. You can have a two-tone Allroad in one of 13 colors with gray trim along the bottom and the fenders. Or, pay an extra $1,000 on top of the cost of metallic paint and you can opt for one of five monochrome color schemes. In either case, you'll get a handsome, aggressive front end; 18-inch five-spoke wheels; standard Xenon or optional LED lighting up front; and LED lighting in the rear. The rear blinkers have a standard swiping effect borrowed from the R8, and the same sequential motion is applied to the front turn signals on models with the optional all-LED headlights. It's a party trick, but a neat one . We'd be hard pressed to think of an interior that Audi has screwed up recently, and the latest A4 has a particularly good one that translates well to the Allroad. No matter the trim you choose, you'll get your choice of dyed leather, including the requisite brown to best showcase the Allroad's rugged intentions. The level of gadgetry and pricing rises as you work your way up the trim tree – from Premium, to Premium Plus to Prestige, with the sweet spot in the middle – and it more or less mirrors that of the A4. Opting for the Technology Package on Premium Plus models gets you Audi's Virtual Cockpit instrument cluster, a fully configurable gauge package that sets the standard for info display in the industry. (It is so choice. If you have the means, we highly recommend picking one – er, it – up.) Here, the optional advanced dash is paired with an 8.3-inch center display, which is equally intuitive and responsive.