WASHINGTON: German automaker Volkswagen AG said Thursday it reached a settlement with 10 US states on environmental and consumer claims stemming from its emissions cheating scandal.

The company has agreed to pay $157.5 million to the states, including New York, Massachusetts and Pennsylvania, resolving suits by the states against VW for violating emissions standards.

“The agreement avoids further prolonged and costly litigation as Volkswagen continues to work to earn back the trust of its customers, regulators and the public,” VW said in a statement.

Volkswagen so far has agreed to pay out more than $20 billion in the US.—AFP