Updates (VW Diesel Information)

8/17/2019 Updates (VW Diesel Information)

1/12

UPDATES (Volkswagen Diesel Information)

STATEMENT BY VO!S"A#EN $E#A$DIN# EPA INVESTI#ATION

Se% &' *&+

Volkswagen Group of America, Inc., Volkswagen AG and Audi AG received today notice

from the US Environmental rotection Agency, US !epartment of "ustice and the

#alifornia Air $esources %oard of an investigation related to certain emissions

compliance matters. As environmental protection and sustaina&ility are among

Volkswagen's strategic corporate o&(ectives, the company takes this matter very

seriously and is cooperating with the investigation.

Volkswagen is committed to )*ing this issue as soon as possi&le. +e want to assure

customers and owners of these models that their automo&iles are safe to drive, and

we are working to develop a remedy that meets emissions standards and satis)es our

loyal and valued customers. wners of these vehicles do not need to take any actionat this time

STATEMENT BY P$O,- D$- MA$TIN "INTE$!O$N .EO O, VO!S"A#EN A#

Se% * *&+

-he U.S. Environmental rotection Agency and the #alifornia Air $esources %oard EA

and #A$%/ revealed their )ndings that while testing diesel cars of the Volkswagen

Group they have detected manipulations that violate American environmentalstandards.

-he %oard of 0anagement at Volkswagen AG takes these )ndings very seriously. I

personally am deeply sorry that we have &roken the trust of our customers and the

pu&lic. +e will cooperate fully with the responsi&le agencies, with transparency and

urgency, to clearly, openly, and completely esta&lish all of the facts of this case.

Volkswagen has ordered an e*ternal investigation of this matter.

+e do not and will not tolerate violations of any kind of our internal rules or of the law.

-he trust of our customers and the pu&lic is and continues to &e our most importantasset. +e at Volkswagen will do everything that must &e done in order to re1esta&lish

the trust that so many people have placed in us, and we will do everything necessary

in order to reverse the damage this has caused. -his matter has )rst priority for me,

personally, and for our entire %oard of 0anagement.

STATEMENT BY P$O,- D$- "INTE$!O$N

Se% / *&+

2I am shocked &y the events of the past few days. A&ove all, I am stunned that

misconduct on such a scale was possi&le in the Volkswagen Group.


2/12

As #E I accept responsi&ility for the irregularities that have &een found in diesel

engines and have therefore re3uested the Supervisory %oard to agree on terminating

my function as #E of the Volkswagen Group. I am doing this in the interests of the

company even though I am not aware of any wrong doing on my part.

Volkswagen needs a fresh start 4 also in terms of personnel. I am clearing the way forthis fresh start with my resignation.

I have always &een driven &y my desire to serve this company, especially our

customers and employees. Volkswagen has &een, is and will always &e my life.

-he process of clari)cation and transparency must continue. -his is the only way to

win &ack trust. I am convinced that the Volkswagen Group and its team will overcome

this grave crisis.5

STATEMENT BY T0E SUPE$VISO$Y BOA$D O, VO!S"A#EN A#

Se% + *&+

-he Volkswagen Supervisory %oard consulted intensively on the current situation at its

meeting today. -here is a&solutely no e*cuse for the manipulations which have deeply

shocked Volkswagen. -he company will leave no stone unturned in getting to the

&ottom of this, will call those responsi&le to account, and take the necessary actions.

-he )rst conse3uences in this regard were agreed upon at today's meeting6

7. -he Supervisory %oard has authori8ed the #hairman to mandate German and US

lawyers to o&(ectively investigate and fully clarify the manipulation of emissions data

of diesel engines.

9. -he E*ecutive #ommittee of the Supervisory %oard will &e charged with

coordinating and safeguarding all necessary steps to monitor clari)cation until such

time as a proposed committee commences its work.

:. +ith the information currently availa&le the Supervisory %oard recommended the

immediate suspension of some employees. -his process is already underway.

;. 0atthias 0 to elect 0r. =ans !ieter Btsch as a mem&er of the

Supervisory %oard. -he Supervisory %oard intends to su&se3uently elect him as its

#hairman.

%erthold =u&er, !eputy #hairman of the Supervisory %oard, said6 2-he testmanipulations are a moral and political disaster for Volkswagen. -he unlawful &ehavior

of engineers and technicians involved in engine development shocked Volkswagen (ust


3/12

as much as it shocked the pu&lic. +e can only apologi8e and ask our customers, the

pu&lic, the authorities and our investors to give us a chance to make amends.5 -he

Supervisory %oard today commissioned an American law )rm to assist in further

clari)cation and in preparing the necessary steps.

MESSA#E TO OU$ .USTOME$S ,$OM MI.0AE 0O$N P$ESIDENT AND .EO

VO!S"A#EN #$OUP O, AME$I.A

Se% 1 *&+

0essage to our customers from 0ichael =orn, resident and #E, Volkswagen Group

of America

video/ =i, my name is 0ichael =orn, I am the president and #E of the Volkswagen

Group of America. n &ehalf of our company, I would like to oCer our sincere apologies

to those aCected &y our violation of the #A$ and EA emission standards. +hile we

are still gathering all the facts, itDs clear that our company &etrayed the trust of you,

our customers, our employees, our dealers and the pu&lic. -he )ndings of this

investigation do not reect our values or who we are as a company and we are

devoted to setting things right. +e are cooperating closely with regulatory authorities

to develop a remedy., lease know, and itDs very important, that your vehicles remain

safe and legal to driveF owners do not need to take any action at this point of time.

+hen we have a remedy in place, customers will &e noti)ed of the ne*t steps

immediately. If you have 3uestions or concerns, please contact our customer care

centre. they're prepared to respond to your 3uestions and concerns. +e have much

work ahead of us &ut we are committed at every level of the company to what must

&e done to regain your trust and we hope that you will give us that opportunity. -hank

you very much.

n Septem&er 7, 97>, Volkswagen Group of America, Inc. and Volkswagen AG

received notice from the US Environmental rotection Agency, US !epartment of

"ustice and the #alifornia Air $esources %oard informing V+ that those agencies had

determined that some of our 9.H ;1cylinder -!I vehicles do not comply with

applica&le emissions regulations.

-he vehicles aCected &y the noti)cations include6

V+ "etta -!I 0odel ears 9@ 4 97>/

V+ "etta Sport+agen -!I 0odel ears 9@197;/

V+ Golf -!I 0odel ears 97197>/

V+ Golf Sport+agen -!I 0odel ear 97>/

V+ %eetle -!I and V+ %eetle #onverti&le -!I 0odel ears 979197>/

V+ assat -!I 0odel ears 979197>/


4/12

As environmental protection and sustaina&ility are among Volkswagen's strategic

corporate o&(ectives, the #ompany takes this matter very seriously and is cooperating

with the investigation.

Volkswagen is committed to )nding a remedy as soon as possi&le. +e want to assure

customers and owners of these models that their automo&iles are safe to drive, andwe are working to develop a remedy that will meet the e*pectations of the

government agencies.

wners of these vehicles do not need to take any action at this time. nce we have

information regarding a remedy, consumers will &e noti)ed.

+e understand that owners of the cars aCected &y the emissions compliance issues

are upset. +e ask our valued customers for their patience as we address this issue as

3uickly as we can.

ou may have noticed that we have stopped advertising our latest -!I models. +e didthis as an interim step while we seek the government approvals that will allow us to

oCer our 9.H ;1cylinder -!I models for sale.

+e are committed to making this right and preventing it from ever happening again.

+e will &ring these -!I vehicles into compliance with the federal and state emissions

regulations.

Along with our parent company, Volkswagen AG, we are committed to do what must

&e done, and &egin to restore your trust.

+e will share more information with you as it &ecomes availa&le.

-hank you for your understanding.

0ichael =orn

resident and #E

Volkswagen Group of America

TESTIMONY O, MI.0AE 0O$N BE,O$E T0E 0OUSE .OMMITTEE ON ENE$#Y AND .OMME$.E SUB.OMMITTEE ON OVE$SI#0T AND INVESTI#ATIONS

O2t ' *&+

n ct. , 97> at 7 a.m. E!-, 0ichael =orn, resident J #E, Volkswagen Group of

America, testi)ed in front of the U.S. =ouse of $epresentatives' Energy and #ommerce

#ommittee Su&committee on versight and Investigations regarding the diesel

emissions compliance issue.

Testimon3 of Mi24ael 0orn Presi5ent an5 .EO of Volkswagen #ro6% of

Ameri2a In2-

Before t4e 0o6se .ommittee on Energ3 an5 .ommer2e


5/12

S672ommittee on O8ersig4t an5 In8estigations

O2to7er ' *&+

#hairman Upton, #hairman 0urphy, $anking 0em&er allone, $anking 0em&er

!eGette, other 0em&ers of the #ommittee, thank you for inviting me to testify &efore

the #ommittee today.

0y name is 0ichael =orn, and I am the resident and #E of Volkswagen Group of

America, a su&sidiary of Volkswagen AG, head3uartered in +olfs&urg, Germany. I have

volunteered to come &efore this #ommittee at the very outset of these in3uiries in an

eCort to show our commitment to cooperation. +e have not had the opportunity to

review all aspects of this matter, indeed the investigation is (ust &eginning. -herefore,

my testimony and my answers to your 3uestions will, &y necessity, have to &e

considered preliminary and &ased on my &est current recollection and information.

n &ehalf of our company, and my colleagues in Germany, I would like to oCer asincere apology for Volkswagen's use of a software program that served to defeat the

regular emissions testing regime.

In the spring of 97; when the +est Virginia University study was pu&lished, I was told

that there was a possi&le emissions non1compliance that could &e remedied. I was

informed that EA regulations included various penalties for non1compliance with the

emissions standards and that the agencies can conduct engineering tests which could

include 2defeat device5 testing or analysis. I was also informed that the company

engineers would work with the agencies to resolve the issue. Hater in 97;, I was

informed that the technical teams had a speci)c plan for remedies to &ring the

vehicles into compliance and that they were engaged with the agencies a&out the

process.

n Septem&er :, 97>, Volkswagen AG disclosed at a meeting with the #alifornia Air

$esources %oard 2#A$%5/ and the U.S. Environmental rotection Agency 2EA5/ that

emissions software in four cylinder diesel vehicles from model years 9@197>

contained a 2defeat device5 in the form of hidden software that could recogni8e

whether a vehicle was &eing operated in a test la&oratory or on the road. -he software

made those emit higher levels of nitrogen o*ides when the vehicles were driven in

actual road use than during la&oratory testing.

In Volkswagen's recent ongoing discussions with the regulators, we descri&ed to the

EA and #A$% that our emissions control strategy also included a software feature that

should &e disclosed to and approved &y them as an au*iliary emissions control device

2AE#!5/ in connection with the certi)cation process. As a result, we have withdrawn

the application for certi)cation of our model year 97K vehicles. +e are working with

the agencies to continue the certi)cation process.

-hese events are deeply trou&ling. I did not think that something like this was possi&le

at the Volkswagen Group. +e have &roken the trust of our customers, dealerships, and

employees, as well as the pu&lic and regulators.

Het me &e clear, we at Volkswagen take full responsi&ility for our actions and we are

working with all relevant authorities in a cooperative way. I am here to oCer the


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commitment of Volkswagen AG to work with this #ommittee to understand what

happened, and how we will move forward. EA, #A$%, the U.S. !epartment of "ustice,

State Attorneys General, as well as other authorities, are ful)lling their duties to

investigate this matter.

+e are determined to make things right. -his includes accepting the conse3uences of our acts, providing a remedy, and &eginning to restore the trust of our customers,

dealerships, employees, the regulators, and the American pu&lic. +e will re&uild the

reputation of a company that more than two million people worldwide, including

dealers and suppliers, rely upon for their livelihoods.

ur immediate goal is to develop a remedy for our customers. +hile much work is still

to &e done, I'd like to talk today a&out how we get from where we are now to that

goal.

Lirst, we are conducting investigations on a world1wide scale into how these matters

happened. $esponsi&le parties will &e identi)ed and held accounta&le. -horoughinvestigations have already &egun, &ut any information developed at this stage is

preliminary. +e ask for your understanding as we complete this work.

Second, it is important for the pu&lic to know that, as the EA has said, these vehicles

do not present a safety ha8ard and remain safe and legal to drive.

-hird, technical teams are working tirelessly to develop remedies for each of the

aCected groups of vehicles. -hese solutions will &e tested and validated, and then

shared with the responsi&le authorities for approval. -here are three groups of vehicles

involved, each containing one of the three generations of the 9.H diesel engine. Each

will re3uire a diCerent remedy, &ut these remedies can only &e our )rst step for our

customers.

Lourth, we will e*amine our compliance, processes, and standards at Volkswagen and

adopt measures to make certain that something like this cannot happen again.

Lifth, we commit to regular and open communication with our customers, dealers,

employees, and the pu&lic as we move forward. As )rst steps, we have set up a

designated service line and we&site to &e a channel for this communication, and I

have sent a letter to every aCected customer.

I can oCer today this outline of a path forward toward the goal of making things right.

?evertheless, Volkswagen knows that we will &e (udged not &y words &ut &y our

actions over the coming weeks and months.

M

-hese events are fundamentally contrary to Volkswagen's core principles of providing

value to our customers, innovation, and responsi&ility to our communities and the

environment. -hey do not reect the company that I know and to which I have

dedicated 9> years of my life. It is inconsistent that the company involved in this

emissions issue is also a company that has invested in environmental eCorts to reduce

the car&on footprint in our factories around the world.


7/12

Volkswagen Group has a deep commitment to preserving our environment. As one of

the world's largest automo&ile manufacturers, our commitment to the environment

e*tends throughout every aspect of our &usiness in the more than 7> countries in

which we operate.

Lor e*ample, here in the United States, Volkswagen's manufacturing facility in#hattanooga, -ennessee serves as a model for Volkswagen plants around the world for

increasing energy eNciency and reducing emissions, water, and materials usage and

waste. In recognition of the plant's eNciency, Volkswagen #hattanooga received a

platinum certi)cation from the U.S. Green %uilding #ouncil's Headership in Energy and

Environmental !esign 2HEE!5/ program.

-he facility is the )rst and only automotive manufacturing plant in the world to receive

the latinum #erti)cation. As environmental protection and sustaina&ility are central

to Volkswagen's core values, these events have &een particularly trou&ling. ur

conduct in the events that &ring us here today &elittle the eCorts of Volkswagen to

lead in environmental responsi&ility.

ver the K years Volkswagen has &een in the United States, it has &ecome part of the

American culture. -here are more than K, Americans employed directly &y

Volkswagen Group of America in its K facilities across the United States6 from a

customer relations center in Au&urn =ills, 0ichigan and a testing la& in Golden,

#olorado, to a parts distri&ution center in =aslet, -e*as, and our state1of1the1art

manufacturing facility in #hattanooga, -ennessee. -hat factory, alone, employs more

than 9,9 people and is e*panding. +e are part of communities all across the

country. -housands more hardworking men and women are employed at our parts

suppliers and the network of a&out 7, dealerships across the United States.

In closing, I again apologi8e on &ehalf of everyone at Volkswagen. +e will fully

cooperate with all responsi&le authorities. +e will )nd remedies for our customers, and

we will work to ensure that this will never happen again.

-hank you again for allowing me to testify today, and I look forward to your 3uestions.

STATEMENT BY VO!S"A#EN #$OUP O, AME$I.A

No8 *&+

+e received notice from the U.S. Environmental rotection Agency on ?ov. 9, 97>

regarding certain :.H VK engines. It contains allegations we take very seriously and

we are fully cooperating with the agency.

ETTE$ TO -* TDI O"NE$S ANNOUN.IN# #OOD"I PA.!A#E

No8 9 *&+

!ear #ustomer,


8/12

According to our information, you own or lease a Volkswagen vehicle aCected &y the

9.H -!I emissions issue. As we work tirelessly to develop a remedy, we ask for your

continued patience.

In the meantime, we would like to give you a O> Volkswagen repaid VisaP Hoyalty

#ard, a O> Volkswagen !ealership #ard, and 9;1hour $oadside Assistance at nocharge for : yearsM. +e sincerely hope you see this goodwill gesture as a )rst step

toward restoring your invalua&le trust.

-o learn more, please visit www.vwdieselinfo.com. #lick on the &lue &o* on the

we&site, and then enter your Vehicle Identi)cation ?um&er VI?/ in the designated

space. If you do not know how to locate your VI?, please consult your wner's 0anual.

After entering your VI?, follow the instructions on how to receive and activate the

Goodwill ackageM.

It is important to emphasi8e that the Environmental rotection Agency has stated that

vehicles aCected &y this issue do not present a safety ha8ard and the aCected vehiclesremain legal to drive.

If you have 3uestions or concerns, please contact our #ustomer #A$E #enter at

vwcustomercareQvw.com or 711991@R.

-hank you and &est regards,

0ichael =orn

resident and #E


M$estrictions apply. ACected customers eligi&le for the Goodwill ackage are not

re3uired to waive their rights or release their claims against Volkswagen Group of

America in order to receive the ackage. Goodwill ackage availa&le only to registered

owners or lessees as of ?ovem&er , 97> of aCected 9.H -!I vehicles who can

provide VI? and other re3uested veri)cation data. Himit one per aCected vehicle as

con)rmed &y uni3ue VI?F cards may not &e transferred or sold. ACected customers

must register for the Goodwill ackage &y April :, 97K and comply with all rogram

$ules, including activating at participating dealership within one year of issuance.

Volkswagen repaid Visa Hoyalty #ards are issued &y 0eta%ankP, 0em&er L!I#,pursuant to a license from Visa U.S.A. Inc. -his card can &e used anywhere Visa de&it

cards are accepted. !ealership card can only &e used at participating Volkswagen of

America dealerships. %oth cards e*pire one year after date of issuance upon

registration for the Goodwill ackage. Void where prohi&ited and outside U.S. and

uerto $ico. See vwdieselinfo.com or call 711991@R for important eligi&ility,

registration, activation, and other rogram $ules.

ETTE$ TO TOUA$E# /-* TDI O"NE$S

De2 9 *&+


9/12

!ear #ustomer,

n ?ovem&er 9nd, Volkswagen received notice from the U.S. Environmental rotection

Agency and the #alifornia Air $esources %oard alleging that -ouareg :.H -!I vehicles

0odel ears 9@ 4 97K/ do not comply with applica&le emissions regulations. I

would like you to know that we take these allegations very seriously, and that we arefully cooperating with the investigation.

According to our records, you own or lease one of these aCected vehicles. I am writing

you today to oCer a personal and profound apology. Environmental responsi&ility is

one of the core values of the Volkswagen &rand, and I assure you that making this

situation right is the num&er one priority for our company right now.

As we work hard to develop remedies for the aCected vehicles that will satisfy our

customers and regulators, we kindly ask for your patience. -his will take some time,

and we will of course notify you once we have more information. So that we can keep

you well informed, we encourage you to visit www.vwdieselinfo.comtouareg andprovide us with your most updated contact information and email address.

lease know that the Environmental rotection Agency has stated that vehicles

aCected &y this issue do not present a safety ha8ard for car owners and drivers, and

the vehicles remain legal to drive. If you have 3uestions or concerns, please contact

our #ustomer #A$E #enter at vwcustomercareQvw.com or 711991@R.

+e aim to fully restore your con)dence and trust in our &rand. -hank you for &eing a

valued mem&er of the Volkswagen family.

Sincerely,

0ichael =orn

resident and #E


VO!S"A#EN ANNOUN.ES EN#A#EMENT O, !ENNET0 $- ,EINBE$# TO

DESI#N AND ADMINISTE$ A .AIMS P$O#$AM $EATED TO T0E TDI

EMISSIONS .OMPIAN.E ISSUE

De2 &1 *&+

Volkswagen announced today that it has retained attorney Tenneth $. Lein&erg,

managing partner of -he Haw Nces of Tenneth $. Lein&erg, #, to design and

administer an independent claims resolution program to address claims related to the

9.H and :.H -!I vehicles aCected &y the emissions compliance issue. Volkswagen

&elieves 0r. Lein&erg will develop an independent, fair and swift process for resolving

these claims.

2+e are pleased to announce the retention of Tenneth Lein&erg. =is e*tensive

e*perience in handling such comple* matters will help to guide us as we move forward


10/12

to make things right with our customers,5 said 0ichael =orn, resident and #E,

Volkswagen Group of America.

0r. Lein&erg stated that he will 2commence work immediately designing an

independent claims process that will meet claimants' needs.5 =e added that 2we hope

to have a claims program designed as e*peditiously as possi&le. In order to do so, wewill need the input not only of Volkswagen, &ut also vehicle owners, their lawyers, and

other interested parties.5

0r. Lein&erg is a well1respected attorney with e*tensive e*perience managing high1

pro)le issues and many of the nation's most challenging legal matters. =e was

appointed to two presidential commissions &y residents $eagan and #linton and

administered several other signi)cant programs. 0ore information on Tenneth

Lein&erg can &e found at http6fein&erglawoNces.com

Volkswagen continues to fully cooperate with the U.S. Environmental rotection

Agency EA/ and the #alifornia Air $esources %oard #A$%/ as the #ompany works todevelop approved remedies for the aCected -!I vehicles as 3uickly as possi&le. As the

claims program is developed, 0r. Lein&erg will consult these agencies for their input.

ETTE$ E:TENDIN# #OOD"I PA.!A#E TO A,,E.TED /-* TDI O"NE$S

AND ESSEES

;an && *&<

!ear #ustomer,

According to our information, you own or lease a -ouareg -!I vehicle aCected &y the

:.H -!I emissions issue. As we work hard to develop remedies that will satisfy our

customers and regulators, we kindly ask for your patience.

In the meantime, we would like to give you a O> Volkswagen repaid VisaP Hoyalty

#ard, a O> Volkswagen !ealership #ard, and 9;1hour $oadside Assistance at no

charge for : yearsM. +e sincerely hope you see this goodwill gesture as a )rst step

toward restoring your invalua&le trust.

-o learn more, please visit www.vwdieselinfo.comgoodwillpackage. #lick on the2#heck Eligi&ility5 &utton on the we&site, and then enter your Vehicle Identi)cation

?um&er VI?/ in the designated space. If you do not know how to locate your VI?,

please consult your wner's 0anual. After entering your VI?, follow the instructions on

how to receive and activate the Goodwill ackageM.

lease know that the Environmental rotection Agency has stated that vehicles

aCected &y this issue do not present a safety ha8ard for car owners and drivers, and

the vehicles remain legal to drive. If you have 3uestions or concerns, please contact

our #ustomer #A$E #enter at vwcustomercareQvw.com or 711991@R.

+e aim to fully restore your con)dence and trust in our &rand. -hank you for &eing avalued mem&er of the Volkswagen family.


11/12

-hank you and &est regards,

0ichael =orn

resident and #E


M$estrictions apply. ACected customers eligi&le for the Goodwill ackage are not

re3uired to waive their rights or release or ar&itrate their claims against Volkswagen

Group of America in order to receive the ackage. Goodwill ackage availa&le only to

registered owners or lessees as of ?ovem&er , 97> of aCected -!I vehicles who can

provide VI? and other re3uested veri)cation data. Himit one per aCected vehicle as

con)rmed &y uni3ue VI?F cards may not &e transferred or sold. ACected customers

must register for the Goodwill ackage &y April :, 97K and comply with all rogram

$ules, including activating at participating dealership within one year of issuance.

Volkswagen repaid Visa Hoyalty #ards are issued &y 0eta%ankP, 0em&er L!I#,pursuant to a license from Visa U.S.A. Inc. -his card can &e used anywhere Visa de&it

cards are accepted. !ealership card can only &e used at participating Volkswagen of

America dealerships. %oth cards e*pire one year after date of issuance upon

registration for the Goodwill ackage. Void where prohi&ited and outside U.S. and

uerto $ico. See vwdieselinfo.com or call 711991@R for important eligi&ility,

registration, activation, and other rogram $ules.

TDI #OOD"I PA.!A#E

n Septem&er 7, 97>, the Environmental rotection Agency and #alifornia Air

$esources %oard noti)ed Volkswagen that certain 9.H ;1cylinder -!IP vehicles do not

comply with applica&le emissions regulations. n ?ovem&er 9, 97>, Volkswagen

received a second notice from these agencies alleging that -ouareg :.H -!I vehicles

do not comply with applica&le emissions regulations.

+e've apologi8ed to our loyal customers a&out the -!I emissions issue, and as we

work tirelessly to develop an approved remedy, we kindly ask for your continued

patience.

In the meantime, we're providing aCected -!I owners and lessees with a O>Volkswagen repaid VisaP Hoyalty #ard, a O> Volkswagen !ealership #ard, and no1

charge 9;1hour $oadside Assistance for three yearsM. +e sincerely hope you see this

as a )rst step toward restoring your invalua&le trust.

Lind out if your vehicle is aCected &y the -!I emissions issue and whether you are

eligi&le to receive the -!I Goodwill ackage. ACected customers eligi&le for the -!I

Goodwill ackage are not re3uired to waive their rights or release or ar&itrate their

claims against V+GoA in order to receive the ackage.



12/12

;an & *&<

-he #alifornia Air $esources %oard #A$%/ noti)ed Volkswagen Group of America that

it has re(ected V+'s initial recall plans that were su&mitted for 9.H diesel passenger

vehicles sold in #alifornia &etween 9@ and 97>. #A$% noted, however, that this

action does not 2preclude a recall, &ut allowsW for a &roader array of potentialremedies.5 -he full press release and accompanying documents can &e found here.

+hile we will take time to fully review all documents released today, please note the

following.

#A$%'s announcement addresses the initial recall plans referenced a&ove/ that

Volkswagen su&mitted to #A$% in !ecem&er 97>.

Since then, Volkswagen has had constructive discussions with #A$%, including last

week when we discussed a framework to remediate the -!I emissions issue.

Lurthermore, this week, we have &een working with Tenneth Lein&erg to develop a

swift, fair and independent claims program, which will provide a comprehensive

remedy for our customers.

lease know that we are committed to working cooperatively with #A$% and other

regulators, and we plan to continue our discussions tomorrow during a meeting with

the U.S. Environmental rotection Agency.

+e will continue to work as 3uickly as possi&le on approved remedies for the aCected

-!I vehicles and will follow up with you as additional information &ecomes availa&le.


A%r & *&<

n April 97st, Volkswagen appeared &efore U.S. !istrict #ourt "udge #harles %reyer,

who presides over hundreds of civil lawsuits pending in the 0ulti1!istrict Hitigation

0!H/ in San Lrancisco, regarding the -!I emissions issue. -he "udge announced that

the parties had reached certain agreements in principle to resolve -!I matters.

Volkswagen is committed to earning &ack the trust of its customers, dealers,regulators and the American pu&lic. -hese agreements in principle are an important

step on the road to making things right. As noted today in court, customers in the

United States do not need to take any action at this time.

Documents

Updates (VW Diesel Information)