Volkswagen’s stock will be removed from the Dow Jones Sustainability indices after the automaker cheated on emissions tests.
The carmaker’s admission on September 18th that it systematically manipulated US emissions tests prompted a review of its status, SandP Dow Jones Indices and RobecoSAM said in a statement on Tuesday.
The stock will be pulled after the close of trading on October 5th from the DJSI World, DJSI Europe and all other related indices, according to the statement. SandP Dow Jones Indices and RobecoSAM manage the Dow Jones sustainability indices, which track the performance of companies that rank the best in their industries in terms of economic, environmental and social criteria.
The Dow Jones Sustainability World Index, introduced in 1999, was the first global such benchmark, according to the companies. Volkswagen is also included in London Stock Exchange Group FTSE4Good indices of socially responsible companies. Membership in those benchmarks is reviewed in June and December, with input from an independent advisory committee, David Harris, head of FTSE Russell ESG, the unit that provides the indices, said.
Volkswagen’s stock fell as much as 5 per cent and was trading down 0.5 per cent at €98.80 in afternoon in Frankfurt. The shares have plunged 39 per cent since September 18th, reducing the company’s market value by €27.5 billion.
- Bloomberg
