Volkswagen agrees billion dollar settlement linked to emissions scandal

Volkswagen has agreed to pay at least $1.2bn (€1.12 bn) as part of a settlement linked to the emissions scandal.

The money will be paid by way of buybacks and compensation to US owners of cars rigged to cheat emissions tests.

The German carmaker could pay even more - as much as $4bn - if it cannot repair many of the cars in a way that satisfies regulators.

The proposed settlement covers owners of some 78,000 Audi, Volkswagen and Porsche cars.