VW shares slide after U.S. Justice files lawsuit

FRANKFURT -- Shares in Volkswagen AG are sliding after the U.S. Justice Department sued the German automaker over emissions-cheating software fitted to diesel vehicles.

See Full Article

Volkswagen's shares were 3.1 per cent lower at 122.45 euros ($133.05) in Frankfurt trading on Tuesday morning -- easily the worst performer on the DAX index of blue chip stocks, which was 0.4 per cent higher overall.

The Justice Department's move on Monday potentially exposes the company to billions in fines for clean air violations.

Volkswagen set aside 6.7 billion euros to deal with the costs of recalling and fixing cars after the scandal erupted in September, but the ultimate costs to the company are expected to be considerably higher. A raft of private class-action lawsuits filed by angry VW owners also is pending.



Advertisements

Latest Economic News

  • Flying high: 100,000 pot plants flown from Ontario to B.C.

    Economic CTV News
    Under tight security, 100,000 marijuana plants arrived at Vancouver International Airport Saturday to be cultivated in a network of greenhouses in Langley, B.C. that’s being touted as the largest licensed cannabis production facility in the world. Source
  • Are female-led companies the answer to sexual misconduct?

    Economic CTV News
    NEW YORK -- The Weinstein Co. thought it had found a path to survival. A group of investors led by a respected businesswoman offered to acquire the company, rebrand it and install a female-led board of directors. Source
  • B.C. to appeal NEB ruling on Trans Mountain bylaw

    Economic CTV News
    VICTORIA -- British Columbia's government is appealing a decision that allows Kinder Morgan Canada to bypass local regulations in constructing its Trans Mountain pipeline expansion. The National Energy Board ruled in December that the company is not required to comply with two sections of the City of Burnaby's bylaws, which Kinder Morgan had said were hindering its ability to go ahead with the federally approved project. Source
  • PepsiCo shuts down Alberta Spitz sunflower seed factory

    Economic CBC News
    Thirty years after Spitz sunflower seeds first sprouted in Alberta, the last factory in the province is set to shut down. PepsiCo is closing the Bow Island processing plant in July, and laying off 53 workers from the small community of just 2,000 residents in the process. Source
  • Burnaby seeks appeal over tree cutting permits involving Trans Mountain pipeline

    Economic CTV News
    BURNABY, B.C. -- The City of Burnaby wants to appeal a National Energy Board decision that exempts Kinder Morgan from local land and tree clearance bylaws in the expansion of the Trans Mountain pipeline. A decision by the board last December overruled two sections of the bylaw, which would have required Trans Mountain to have preliminary plans and clearing permits. Source
  • TransCanada's Keystone Pipeline spill cleanup on schedule

    Economic CTV News
    AMHERST, S.D. -- TransCanada Corp. says cleanup of a massive on-shore oil spill from Keystone Pipeline in South Dakota is halfway finished. Last November, the pipeline leaked 210,000 gallons of crude oil onto agricultural land in Marshall County, one of the largest on-shore oil spills in the U.S. Source
  • Canada won't be 'impulsive' responding to U.S. tax cuts, Morneau says

    Economic CBC News
    The Liberal government will not "act in an impulsive way" in response to U.S. corporate tax cuts that economists say pose a threat to Canada's competitiveness, the federal finance minister said after a pre-budget meeting Friday. Source
  • Liberals lay down new rules to end use of coal, natural-gas power plants

    Economic CTV News
    OTTAWA - The federal Liberal government says its new regulations to phase out power plants fired by coal and natural gas will cost more than $2.2 billion, but potentially save the country billions more in reduced health care costs. Source
  • Morneau talks tax cuts, small biz changes with private-sector economists

    Economic CTV News
    Federal finance minister Bill Morneau was tight-lipped Friday about the upcoming budget after meeting with private sector economists, but says among the issues top of mind are the recent U.S. corporate tax cuts. He would not comment on whether tax cuts are in the cards for Canadian corporations to re-establish the country's competitiveness for attracting business. Source
  • Canada won't act in 'impulsive way' in response to U.S. tax cuts: Morneau

    Economic CTV News
    TORONTO -- The Liberal government will not "act in an impulsive way" in response to U.S. corporate tax cuts that economists say pose a threat to Canada's competitiveness, the federal finance minister said after a pre-budget meeting Friday. Source