Volkswagen has reported a third-quarter operating loss of €3.5bn (£2.5bn) in the wake of the diesel emissions scandal. The firm said it would have made a profit of €3.2bn (£2.3bn) if the "diesel issue" had not emerged. Chief executive Matthias Muller said: "The figures show the core strength of the Volkswagen Group on the one hand, while on the other the initial impact of the current situation is becoming clear.
"We will do everything in our power to win back the trust we have lost."
Volkswagen also announced it has set aside €6.7bn (£4.8bn) to deal with the controversy, €200m (£144m) more than the figure given when the scandal broke last month. Shares in the firm were up 2.7% in early trading in response to the news.
The German car maker admitted last month it had installed software designed to cheat diesel emissions tests in 11 million vehicles around the world, almost 1.2 million of which are in the UK. You can read the story here.
An investigation has been launched by the company, which has appointed a new chief executive and chairman after the scandal came to light. The software used conned US emissions testers into thinking the vehicles met environmental standards. The Environmental Protection Agency said 482,000 of VW's 2009-15 models in the US were fitted with the software, which changed engines to a cleaner mode when they were being tested.
Volkswagen is preparing to recall and fix the vehicles affected in the UK: 508,000 Volkswagen cars, 390,000 Audis, 132,000 Skodas, 80,000 VW commercial vehicles and 77,000 Seats. UK managing director Paul Willis said the company has started writing letters
Source: Sky News
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