Volkswagen 'agrees loan' to cover emissions scandal costs

[webfact]

Volkswagen ‘agrees loan’ to cover emissions scandal costs



WOLFSBURG: -- Volkswagen is said to have agreed the terms of a 20 billion euro bridging loan with banks to help shoulder the costs of its emissions scandal.

Reuters says the news was confirmed by three sources.

They reportedly believe that VW will be healthy enough to repay the loan next spring.

Europe’s largest carmaker is under pressure to strengthen its finances. It’s widely expected to have to pay out tens of billions of euros to cover fines, lawsuits and repairs after admitting to cheating American diesel emissions tests.

The company is still trying to identify those responsible and organise refits for some 11 million vehicles worldwide.


-- (c) Copyright Euronews 2015-12-03

[NeverSure]

"...tens of billions of euros to cover fines, lawsuits and repairs after admitting to cheating American diesel emissions tests."

Actually, they cheated 330 million Americans. Some bought the cars but all breathed the air. I wouldn't be surprised to see a class action lawsuit on behalf of every American for damages. I wouldn't give a damn if it bankrupted VW even though VW has a factory in Tennessee building cars for the American market.

You couldn't run fast enough to give a VW to many Americans today. The cars have gone cold and unpopular in a country with the world's largest economy and the world's third largest population.

Serves VW right.

[TheCruncher]

I know VW is sitting on heaps of cash, but what they did causes a chain reaction, and we have only seen the tip of it yet.

I read somewhere that their last quarter sales declined by 25%.

Their credit rating were lowered twice in the past month.

Other more expensive brands of the VW group will also turn out to have used the bogus software.

Bosch is now also involved in the scandal.

I wouldn't be surprised if they declare bankruptcy in the near future.

Edited December 3, 2015 by TheCruncher

[Estrada]

"...tens of billions of euros to cover fines, lawsuits and repairs after admitting to cheating American diesel emissions tests."

Actually, they cheated 330 million Americans. Some bought the cars but all breathed the air. I wouldn't be surprised to see a class action lawsuit on behalf of every American for damages. I wouldn't give a damn if it bankrupted VW even though VW has a factory in Tennessee building cars for the American market.

You couldn't run fast enough to give a VW to many Americans today. The cars have gone cold and unpopular in a country with the world's largest economy and the world's third largest population.

Serves VW right.

At least VW have accepted to fix all their diesel cars. No deaths have been attributed to VW diesel emissions. In contrast GM have not only cheated Americans by selling them cars with faulty ignition switches, but 124 people have died and 266 have been injured. Unlike VW, GM has not accepted responsibility for 91% of claims made against them. Meanwhile GM car sales are growing rapidly.

Contrary to what you state, the cars have not gone cold and become unpopular. In fact official figures show that VW Group sales in America are continuing to increase.

Edited December 3, 2015 by Estrada

[Credo]

GM did not set out to produce an ignition that had problems. VW deliberately misrepresented their cars. A big difference.

I will also add that many years ago, I had a problem with the ignition (not a GM car) and it turned out that I had a key chain with too many keys and too much weight. It actually caused the ignition to cut out while driving. The vehicle was a Toyota pickup and this was in Thailand.

I wonder if that will turn out to be a part of the ignition problem.

[TheCruncher]

"...tens of billions of euros to cover fines, lawsuits and repairs after admitting to cheating American diesel emissions tests."

Actually, they cheated 330 million Americans. Some bought the cars but all breathed the air. I wouldn't be surprised to see a class action lawsuit on behalf of every American for damages. I wouldn't give a damn if it bankrupted VW even though VW has a factory in Tennessee building cars for the American market.

You couldn't run fast enough to give a VW to many Americans today. The cars have gone cold and unpopular in a country with the world's largest economy and the world's third largest population.

Serves VW right.

At least VW have accepted to fix all their diesel cars. No deaths have been attributed to VW diesel emissions. In contrast GM have not only cheated Americans by selling them cars with faulty ignition switches, but 124 people have died and 266 have been injured. Unlike VW, GM has not accepted responsibility for 91% of claims made against them. Meanwhile GM car sales are growing rapidly.

Contrary to what you state, the cars have not gone cold and become unpopular. In fact official figures show that VW Group sales in America are continuing to increase.

You must have different news sources as the rest of the worl

http://finance.yahoo.com/news/vws-us-sales-got-destroyed-155051006.html;_ylt=AwrXoCGUy19WRn8AuG2TmYlQ;_ylu=X3oDMTBydDI5anBsBGNvbG8DZ3ExBHBvcwM5BHZ0aWQDBHNlYwNzYw--

Volkswagen reported on Tuesday a nearly 25% decline in November sales in the US compared with the same month last year. Analysts had anticipated a plunge of 14%.

[elgordo38]

I know VW is sitting on heaps of cash, but what they did causes a chain reaction, and we have only seen the tip of it yet.

I read somewhere that their last quarter sales declined by 25%.

Their credit rating were lowered twice in the past month.

Other more expensive brands of the VW group will also turn out to have used the bogus software.

Bosch is now also involved in the scandal.

I wouldn't be surprised if they declare bankruptcy in the near future.

Isn't that always the answer for big business when they hit a snag. A year later the new revamped version of VW will emerge with zero debt. Look at GM when they declared bankruptcy. How many owners of bad/deadly ignition switches were left holding the bag. GM knew of this problem years before and did nothing. Politicians stand behind their largest donors.

Edited December 3, 2015 by elgordo38

[sanukjim]

BY BY VW.They will now have to sell Jaguar,and Porsche to stay aflot.

[TheCruncher]

BY BY VW.They will now have to sell Jaguar,and Porsche to stay aflot.

I guess Tata motors not gonna be happy when VW sells a brand they own.