The settlement applies to Volvo engines from model years 2010–2016. The California Air Resources Board (CARB) believes that the description of certain emission controls on the engines has been insufficient.
According to Volvo's internal review, there is no support for the claim that "anyone has acted in bad faith, and the settlement is expressly made without admission of any liability," the company writes in a press release.
Volvo has, among other things, agreed to pay $71 million to a CARB fund and invest $108 million in projects to reduce emissions in California.
The Volvo Group's operating profit for the second quarter of this year will be negatively affected by $196.5 million.
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