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Sep 30, 2016

Herndon, VA – September 30, 2016 - Volkswagen Group of America, Inc. (“Volkswagen”) today announced that it has finalized an agreement to resolve the claims of VW-branded franchise dealers in the United States relating to TDI vehicles and other matters asserted concerning the value of the franchise.

Under the proposed agreement, Volkswagen has agreed to make a maximum total of $1.208 billion in cash payments to eligible dealers and to provide additional benefits to resolve alleged past, current and future claims of losses in franchise value. The parties announced an agreement in principle on August 25.

The proposed agreement was filed today by the dealers’ counsel with the United States District Court for the Northern District of California and is subject to the approval of Judge Charles R. Breyer, who presides over the federal Multi-District Litigation (MDL) proceedings related to the diesel matter.

By its terms, the agreement is not intended to apply to or affect Volkswagen's obligations under the laws or regulations of any jurisdiction outside the United States, where the legal and factual circumstances relating to TDI vehicles differ.


About Volkswagen of America, Inc.
Founded in 1955, Volkswagen of America, Inc., an operating unit of Volkswagen Group of America, Inc. (VWoA) is headquartered in Herndon, Virginia. It is a subsidiary of Volkswagen AG, headquartered in Wolfsburg, Germany. VWoA’s operations in the United States include research and development, parts and vehicle processing, parts distribution centers, sales, marketing and service offices, financial service centers, and its state -of-the- art manufacturing facility in Chattanooga, Tennessee. The Volkswagen Group is one of the world's largest producers of passenger cars and Europe's largest automaker. VWoA sells the Beetle, Beetle Convertible, CC, Eos, e-Golf, Golf, Golf GTI, Golf R, Golf SportWagen, Jetta, Passat, Tiguan and Touareg vehicles through approximately 652 independent U.S. dealers. Visit Volkswagen of America online at or to learn more.
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Jeannine Ginivan