Bill Haslam

Gov. Bill Haslam says no VW deal yet

Gov. Bill Haslam said Monday his administration is having "very productive conversations" with Volkswagen about adding a new sport utility vehicle line in Chattanooga, but he said "it would be very premature to say we have a deal."

"I think it's a little premature to say that it's a done deal," Haslam said in response to a German newspaper report last week that VW was likely to build the new SUV in Chattanooga. He characterized the discussions as "very productive."

"We talk with them on the phone all the time and we've had face-to-face conversations in the last two weeks," Haslam said.

Local gas prices rise 6 cents

Chattanooga gas prices Monday were up by more than 6 cents a gallon from a week ago, but they remained nearly 28 cents per gallon below the U.S. average, according to the AAA Daily Fuel Gauge Report.

Investor concerns about oil disruptions from the conflicts in Iraq have pushed up oil and gas prices in the past couple of weeks as the unrest has intensified.

AAA said the average price of a gallon of gasoline sold in Chattanooga Monday at just under $3.41 a gallon, or 12 cents a gallon more than a year ago. Nationwide, the average price of gas Monday was $3.68 a gallon, or 11 cents a gallon more than a year ago.