Volkswagen delays earnings report | Fin24
 
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Volkswagen delays earnings report

Feb 07 2016 15:19
Elisabeth Behrmann with assistance from Christoph Rauwald and Karin Matussek

London - Volkswagen AG said it will publish its annual results as soon as April and may hold the shareholders’ meeting in early June, four to six weeks later than scheduled as the company determines the financial fallout from the diesel emissions scandal.

The company on Friday took the unusual step of announcing that both events had been pushed back, underscoring the the extent of the turmoil caused by the September disclosures of deceptive emissions systems in diesel cars. The earnings were scheduled for March 10 and the annual general meeting for April 21.

The emissions disclosures have already prompted the company to revise its earnings targets and set aside €6.7bn ($7.5bn) to cover the cost of repairs for about 11 million vehicles around the world. Still uncertain is how to meet tough pollution regulations in the US, where authorities rejected the carmaker’s first proposal.

No dates for the report or meeting have been set, spokesperson Eric Felber said by phone in discussing the four- to six-week delay. The new timeframe was originally reported by Bild am Sonntag. On Friday, the Wolfsburg, Germany-based carmaker reiterated it expects an operating result to be about the same as the previous year, within the range of its earlier forecasts.

In a separate development, a plan to come up with a compensation program for VW customers in the US within 60 to 90 days from mid-December may face delays, Frankfurter Allgemeine Sonntagszeitung reported, citing an interview with US lawyer Kenneth Feinberg. The company and US regulators haven’t yet agreed on a plan to fix the vehicles, the newspaper said.

The company appointed Feinberg to design and administer an independent resolution program over claims related to diesel vehicles rigged to cheat emissions tests. All options, including financial settlements and buyback of cars remain on the table, he said.

vw  |  emissions scandal
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