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Volkswagen will reportedly name Porsche brand chief its new CEO amid diesel emissions scandal

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Matthias Mueller appears poised to become Volkswagen AG's next CEO as the German automaker cleans house amid a massive diesel emissions scandal.

Germany VolkswagenFILE - In this Sept. 6, 2015 file photo a worker completes engines during the so called 'Open Door Day' to celebrate the 25th anniversary of the German manufacturer Volkswagen Sachsen in Zwickau, eastern Germany. Volkswagen's share price swung wildly Wednesday, Sept. 23, 2015 as the future of CEO Martin Winterkorn hung in the balance amid the company's growing emissions scandal. Above and beyond legal problems, the scandal is a huge problem for a brand long identified with trustworthiness and reliability. And there are concerns that could spill over into a wider image problem for goods "made in Germany." (AP Photo/Jens Meyer) 

DETROIT, MI - Matthias Mueller appears poised to become Volkswagen AG's next CEO as the German automaker cleans house amid a massive diesel emissions scandal.

Mueller, a Volkswagen veteran who currently runs the company's Porsche brand, will ascend to the automaker's top spot while other executives will continue to be fired, sources close to the matter told Bloomberg Business

Mueller would replace Martin Winterkorn, who stepped down Wednesday. Winterkorn said in a statement that vacating his spot is in the best interests of the company so that it can get a fresh start, though he said he said he is not aware of any wrongdoing on his part.

On Thursday, reports said Volkswagen AG's board planned to fire several executives, including U.S. chief Michael Horn.

The moves come as the company wades through the largest scandal in its 78-year history.

Last week it came to light that Volkswagen has admitted to the U.S. Environmental Protection Agency that it used software in 482,000 of its diesel cars sold in the U.S. to trick emissions tests.

The EPA and the California Air Resources Board uncovered the defeat device software in the Volkswagen cars after independent analysis at West Virginia University raised questions about the cars' emissions levels.

The Volkswagen cars in question meet emissions standards tests in a laboratory or testing station, but in normal operation, they emit nitrogen oxides at up to 40 times the standard, according to the EPA.

Fallout from Volkswagen's admitted trickery now includes possible criminal probes, class-action lawsuits and potentially massive fines. The company faces as much as $18 billion in penalties in the U.S. alone.

On Tuesday, the automaker said 11 million cars globally have the defeat devices. 

In the U.S., the engine is found in these models:

* Jetta (Model Years 2009 - 2015)
* Beetle (Model Years 2009 - 2015)
* Audi A3 (Model Years 2009 - 2015)
* Golf (Model Years 2009 - 2015)
* Passat (Model Years 2014-2015)

David Muller is the automotive and business reporter for MLive Media Group in Detroit. Email him at dmuller@mlive.com, follow him on Twitter or find him on Facebook. 


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