Amid Volkswagen’s giant diesel scandal, the German automaker is offering financial assistance to its U.S. dealers.
Volkswagen of America is putting into action a series of financial assistance programs that will compensate its dealerships in the U.S. that have been forced to stop sale on 2015 diesel vehicles. The EPA is also refusing to certify that Volkswagen’s 2016 diesel vehicles comply with emissions rules, meaning the sale of vehicles that make up over a fifth of Volkswagen’s total U.S. sales volume has been halted.
The company is guaranteeing bonus payments in September of $300 for each new car sold and $600 for each Passat, while offering floorplan financing reimbursement for diesel vehicles stuck on dealership lots that cannot be sold. The reimbursement plan will include both new and certified-used TDI models affected by the stop-sale until repair instructions are released.
Dealerships will also receive guaranteed payouts under the company’s customer experience bonus program, equaling one perfect of sticker for each vehicle sold in the third and fourth quarters.
“In light of recent events, we are committed to taking actions which will stabilize your profitability in the near-term,” said Michael Horn, Volkswagen’s U.S. chief, in a memo sent to dealers. “We understand the pressure these recent events have put your business under and we are committed to providing you support.”
[Source: Automotive News]
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