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Volkswagen forced to sell stake in Suzuki

The six-year-long failed marriage between Volkswagen and Suzuki has finally come to an end. Almost. An arbitration panel in London issued its final verdict which, according to a VW press release, cleared Suzuki in terminating the agreement, so VW now needs to get rid of its 19.9-percent share. However, the tribunal's decision said VW performed all of its obligations and Suzuki didn't – the Japanese carmaker should have given VW last-call rights for a delivery of diesel engines, but failed to. The breach opens Suzuki up to damage claim, but so far VW only says it reserves the right to sue. Now that Suzuki has an outside investor to provide funds it meant to get from VW, perhaps both can get back to their reasons for being. The press release is below. Ruling in arbitration proceedings: Cooperation between Volkswagen and Suzuki deemed terminated - Arbitral tribunal confirms Volkswagen met contractual obligations and finds that Suzuki has ordinary right to terminate agreement based on reasonable notice - Volkswagen to dispose of its 19.9 percent stake in Suzuki and expects positive effect on Company's earnings and liquidity from transaction - Arbitrators also find that Suzuki breached its contractual obligations to Volkswagen under the agreement and that Volkswagen has right to claim damages Wolfsburg, 30 August 2015 - An arbitral tribunal in London has announced its ruling in the dispute between Suzuki Motor Corporation and Volkswagen Aktiengesellschaft. As a result, cooperation between the two parties is deemed terminated. The arbitrators confirmed that Volkswagen met its contractual obligations under the cooperation agreement and found that Suzuki has terminated the agreement upon reasonable notice. Volkswagen will therefore now dispose of its 19.9 percent stake in Suzuki and expects a positive effect on the Company's earnings and liquidity from the transaction. The arbitral tribunal also confirmed that Suzuki breached its contractual obligations to Volkswagen under the agreement and that Volkswagen has the right to claim damages. "We welcome the clarity created by this ruling. The tribunal rejected Suzuki's claims of breach and found that Volkswagen met its contractual obligations under the cooperation agreement. Nevertheless, the arbitrators found that termination of the cooperation agreement by Suzuki on reasonable notice was valid, and that Volkswagen must dispose of the shares purchased.

2015 VW e-Golf coming to ZEV states for $35,445* this November

Is $6,465 too much to get someone thinking about buying a Nissan Leaf to opt for the Volkswagen e-Golf instead? That's the price difference between the current EV sales champion, which now starts at $28,980, and the just-announced price for the e-Golf, which will sell for $35,445 in the US when it arrives in about ten states (basically, the ZEV states that follow California's lead in zero-emission vehicle rules) this November and will qualify for the federal tax credit of up to $7,500. VW says that the extra money will get you "the most versatile electric vehicle in its class." There is only one trim line, the SEL Premium, which will be the first VW in the US with all-LED headlights. The car's powertrain numbers pretty much match the Nissan Leaf, though. The e-Golf has a 24.2-kWh lithium-ion battery (the Leaf has a 24-kWh pack) and a 115-hp, 199-pound foot electric motor (107 hp,187 lb-ft in the Leaf). The e-Golf's official EPA numbers are not yet available, but VW says it will have an "average range between 70 and 90 miles." The Leaf has an official EPA range of 84 miles. The e-Golf has a better onboard charger – 7.2 kW vs. 3.6 or 6.6, depending on your Leaf's options – and has SAE Combo fast charging capability as standard. VW is also working with 3Degrees to offset all of the emissions "created from production, distribution and charging of the e-Golf for up to approximately 36,000 miles of driving." VW also announced prices for its lightly facelifted 2015 Jetta today. The base model, the 2.0-liter S with a manual transmission, starts at $17,325 while the top-of-the-line model, the Hybrid SEL Premium, will set you back at least $31,670. The lowest-cost TDI is the S manual, which starts at $21,640 and features VW's new 2.0-liter diesel four. A new limited-edition 1.8 Sport model with a firmer suspension, tinted taillamps and rear spoiler starts at $20,895. All VW prices listed exclude VW's *$820 destination charge and you can find all the details on trim lines in the press releases below.

2015 Volkswagen Jetta TDI

Volkswagen calls its 2015 Jetta "refined, redesigned," and countless man-hours have gone into its re-engineering, but you'd need to crawl all over the car, unbolt most of the body, drive it or spend some time on VW's website to fathom the changes. That's why we wrote, "2015 Volkswagen Jetta is new, we promise," when we first saw the car in New York last April. While we wait for a sweeping next-generation overhaul to come, the marquee elements for now are the new structure underneath designed to win an IIHS Top Safety Pick+ rating, fuel economy increases and a heavily reworked 2.0 TDI diesel engine. Plus, there's ornamental detailing around the body and updated interior, and the revamped trim package and accessories matrix promises to provide more value. That makes it a better buy than the 2014 model, assuming it can find buyers ready to appreciate the subtleties. Outside, improved aerodynamic prowess is the primary goal, and almost all of the visual refresh works to further that aim. A new grille with three cross fins sits atop a slipperier bumper and air intakes. On models with the 1.8T gas engine and new 2.0 TDI diesel, the grille is fitted with a shutter to decrease drag and, on the diesel, speed up the engine warming. There are sleeker rain gutters inside the A-pillars and paneling under the body by the rear axles. Attending to airflow in back is an altered decklid reshaped with an integrated spoiler. Among the other changes are optional adaptive bi-Xenon headlights lined with 15 LED running lights and a chrome strip of brightwork. New fog lights are set in the flanks of the lower lip, and LED taillights can be had on the GLI and Hybrid models, with a tweaked VW logo sitting in between. The illuminating upgrades continue inside with ambient lighting and a crisper dash cluster display. Those cabin changes are joined by an optional "tunnel" theme for the gauges, a new steering wheel design with piano black accents and chrome, redesigned vent controls and new fabric options. Changes to the front substructure from the bumper to the front doors, and strengthened A-pillars combined to win the 2015 sedan a Top Safety Pick+ rating from the Insurance Institute for Highway Safety. We're here to focus on the diesel model, and the updated EA288 2.0 TDI engine and its modular packaging is the most visceral highlight for 2015, inserting new numbers on every line of the spec sheet compared to its predecessor, save for cylinder bore spacing.