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Auto blog

VW execs didn't think diesel problem would be so serious

Thu, Mar 3 2016

Volkswagen Group has admitted that former chairman Martin Winterkorn received two memos about the diesel scandal in 2014. Top execs ignored the problem because they didn't think it was a serious issue. VW disclosed these details to counter allegations in a German shareholder lawsuit that alleged the automaker violated the law by withholding the info from investors. A memo on May 23, 2014 first advised Winterkorn about emissions cheating. A memo on May 23, 2014, first advised Winterkorn about the study from the International Council on Clean Transportation, which identified the emissions cheating. According to VW, the document was part of the exec's weekend mail, and the company's investigation didn't discover whether Winterkorn actually read it. A rumor last month alleged this memo existed. Another memo for Winterkorn on November 14, 2014 was about several defects, including the diesel engines. The document estimated it would cost 20 million euros ($22 million US at current rates) to fix the problem. The chairman learned about the issue again on July 27, 2015, during a meeting on product issues. "Mr. Winterkorn asked for further clarification of the issue," according to VW's statement. Things got serious at the end of August 2015. Things got serious at the end of August 2015 when technicians explained the diesel issue to the legal department. VW came clean to the California Air Resources Board and the Environmental Protection Agency on September 3. A memo told Winterkorn the next day, which was also previously alleged. According to this investigation, management didn't believe the diesel problem would affect the stock price, and they estimated the cheating might cost at most a few hundred million dollars in fines. The execs were clearly wrong. The share price dropped after the scandal broke last September, and the problems have started to affect its divisions. According to Reuters, Audi reported it suffered 228 million euros ($249 million) in costs in 2015 from the emissions issue and repairing Takata's faulty airbag inflators. Volkswagen still doesn't know the exact costs of the scandal, but the automaker's law firm, Jones Day, plans to release a report in the second half of April to explain the whole affair. By that time, we might also know how VW plans to fix the problem because a judge recently gave the company until March 24 to outline a fix for the 2.0-liter TDI. CARB started evaluating a repair plan for the 3.0-liter TDI in early February.

Audi Q7 to be first diesel plug-in from VW group

Sun, Dec 7 2014

Lending credence to prior reports, the next Audi Q7 will be available with a diesel-powered, plug-in-hybrid powertrain, Automotive News claims, after speaking to a source in the Volkswagen Group. Both the gas and diesel-powered Q7 will debut in 2015, with the diesel PHV to arrive after that. Unlike Europe's other plug-in diesel, the Volvo V60, Audi's Q7 will be sold on both sides of the Atlantic, the source told AN. You can see a few spy photos of the Q7 PHV above. Audi research and development boss Ulrich Hackenberg previously confirmed that diesel plug-ins would be arriving earlier this year, although it wasn't clear which models the ultra-efficient powertrains would be offered on, or which of those would be offered here in the US. Time to play the waiting game...

Autoblog Podcast #390

Tue, Jul 22 2014

Episode #390 of the Autoblog Podcast is here, and this week, Dan Roth, Steven Ewing and Sebastian Blanco from Autoblog Green talk about the 2015 Ford Mustang specs, the 2016 Smart models, a proposal to add real-world numbers to EPA economy tests and the potential downside of autonomous cars. We start with what's in the garage and finish up with some of your questions, and for those of you who hung with us live on our UStream channel, thanks for taking the time. Check out the new rundown below with times for topics, and you can follow along down below with our Q&A. Thanks for listening! Autoblog Podcast #390: The video meant to be presented here is no longer available. Sorry for the inconvenience. Topics: 2015 Ford Mustang specs 2016 Smart FourTwo and FourFour EPA wants road tests The downside of autonomous cars In the Autoblog Garage: 2014 Nissan Leaf 2015 Audi A3 Sportback E-Tron 2014 Scion tC Hosts: Dan Roth, Steven Ewing, Sebastian Blanco Runtime: 01:33:35 Rundown: Intro and Garage - 00:00 Mustang Specs - 34:40 2016 Smart Models - 51:14 EPA Tests - 01:02:57 Autonomous Cars - 01:11:19 Q&A - 01:21:22 Get the podcast: [UStream] Listen live on Mondays at 10 PM Eastern at UStream [iTunes] Subscribe to the Autoblog Podcast in iTunes [RSS] Add the Autoblog Podcast feed to your RSS aggregator [MP3] Download the MP3 directly Feedback: Email: Podcast at Autoblog dot com Review the show in iTunes Podcasts Audi Ford Nissan Scion smart Electric Hybrid