Volkswagen Emission Scandal Continues

In the first half of 2015, Volkswagen edged out Toyota to become the world’s top-selling automaker. That may not be the case for much longer now that revelations of emissions fraud have hit the news.

Since the company announced that 11 million of its diesel cars worldwide were equipped with software that was used to cheat on emissions tests, the scandal threatens to undermine Volkswagen sales in the United States and in Europe (where statistics show the German automaker accounts for more than one of every four cars sold).

Volkswagen has said it is setting aside the equivalent of half a year’s profits — 6.5 billion euros, or about $7.3 billion — to cover the cost of fixing the cars to comply with pollution standards and to cover other expenses, which are likely to include fines as well as responses to civil lawsuits from angry customers.

ABC’s Scott Goldberg joined us from New York.