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VW gets help from Daimler to deal with VW scandal

Volkswagen has hired Christine Hohmann-Dennhardt, a compliance officer, away from Daimler. Normally, this wouldn't be particularly big news. The reason you might care is summed up rather succinctly by Ferdinand Dudenhoeffer, director of the Center for Automotive Research at the University of Duisburg-Essen, who said that Hohmann-Dennhardt is being tasked with helping the entire German automobile industry "clean up the collateral damage from the diesel deceit." Hohmann-Dennhardt had to be released early from her contract with Daimler in order to take on this difficult role with an inter-country rival. VW Chairman Hans Dieter Poetsch thanked "Daimler AG for agreeing to our request to the early termination of Dr. Hohmann-Dennhardt's contract." What makes this move even more interesting is that Daimler and Volkswagen have had a terse relationship in recent years due to the poaching of important employees from one side to the other. According to Bloomberg, Hohmann-Dennhardt's contract with Daimler had been secured through February of 2017, but with her early release, she will start her new role on VW's board of management in January of 2016. Daimler, for its part, released a statement suggesting the decision was made "in the interests of the good corporate governance of the German automotive industry." Prior to her employment at Daimler, Hohmann-Dennhardt served for 11 years as a judge. Reading between the lines, it seems VW's massive corporate scandal has rocked the German auto industry to its core. Enough so, in fact, that Daimler would be willing to let go of a highly talented and well-respected executive – the first woman ever appointed to the German automaker's board – who had served since there since 2011. Feel free to read through VW's entire statement, below. Related Video: Dr. Christine Hohmann-Dennhardt to move to Volkswagen AG in 2016 as Board Member for Integrity and Legal Affairs Daimler AG agrees to move of Board Member for Integrity and Legal Affairs to Volkswagen AG The Chairman of the Supervisory Board of Volkswagen AG, Hans Dieter Potsch, has requested the Chairman of the Supervisory Board of Daimler AG, Dr. Manfred Bischoff, to agree to the early termination of the contract with Dr. Christine Hohmann-Dennhardt, Member of the Board of Management of Daimler AG for Integrity and Legal Affairs, which runs until February 28, 2017. She is to join the Volkswagen Group as of January 1, 2016 as the Board Member for Integrity and Legal Affairs.

Investors storm Volkswagen with $9 billion in lawsuits

Volkswagen's investors are latest group to take up pitchforks against the embattled automaker, and they're seeking $9 billion in damages, Reuters reports. The investor lawsuits were filed in a court in Braunschweig, Germany, near Volkswagen's Wolfsburg headquarters. On Monday, the first business day following the anniversary of the emissions revelations, the court received 750 lawsuits alone. All told, about 1,400 lawsuits have been filed. The largest single claim totals $3.7 billion and was filed more than six months ago. The lawsuits stem from complaints that Volkswagen didn't divulge information on the cheating software to investors quickly enough. Volkswagen has said that it hasn't broken any capital market laws. The $21.5 billion the company set aside to weather the storm may not be enough. The consumer fix is estimated to run the company $14.7 billion, either through buybacks or a fix that still seems unclear. In addition to the lawsuits, Volkswagen CEO Matthias Mueller confirmed that Audi boss Rupert Stadler is under investigation regarding the scandal. Mueller refused to give further details, but this shouldn't come as a surprise to anyone. Audi has admitted that its 3.0-liter V6 was equipped with the same emissions-cheating software as the 2.0-liter four-cylinder diesels. Stefan Knirsch, Audi's head of development, has been suspended as part of the overall investigation. Knirsch took over duties after his predecessor quit. Knisch was previously head of engine development at Audi. Related Video: News Source: Reuters Green Hirings/Firings/Layoffs Audi Volkswagen Emissions Diesel Vehicles vw diesel scandal

VW Jetta TDI dyno shows HP loss trying to recreate cheat mode

Volkswagen is working on a fix for diesel-engined vehicles that are out of compliance with emissions regulations in the US and other countries. We're told that engineers will be presenting a solution internally sometime this month, but that doesn't mean we'll actually see it in the wild this month. One big question we have about the coming fix is, will it affect the car's performance? That question relates to another we have about the engine as it is: How much performance would the 2.0-liter diesel lose right now if it were turned down to pass US emissions? The Fast Lane Car tried to sketch some answers by going to a shop in Denver, Colorado to run a 2011 Jetta TDI with a six-speed DSG transmission on an all-wheel-drive dyno. The thinking was that if you ran all four wheels the car would think it was on the road, whereas if you ran only two the car might think it's being tested. We'll get straight to the numbers: the stock sedan is quoted at 140 horsepower and 236 pound-feet of torque. When run with all four wheels turning it produced an uncorrected 114 hp and 214 lb-ft at the wheels. When run with just two wheels in motion the Jetta got 113 hp and 188 lb-ft at the wheels. Reading the graph, we're told that power differences between the two runs were as much as 15 hp and 32 lb-ft. You'll need to take some salt with these numbers, though, because the dyno and test protocol in the video are nothing like those used by the EPA. The shop attempts to trick the Jetta into 'emissions testing mode' by using the front wheels only for the two-wheel-drive run, but we have a feeling the software code at issue is far more sophisticated than that, since the ICCT, UVA, the EPA, and CARB investigated the situation for more than a year and couldn't figure out. Also, the technician adjusts for being a mile above sea level with a correction factor of 1.2 applied to horsepower and torque, which inflates the disparity in the final power differences over the two runs. Go to YouTube and read the lengthy comments on the video left by Andrew Price for a more thorough dissection of what could explain TFL's disparities. You can watch the video above, and feel free to try and dissect the results yourselves in the comments below. Related Video: