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Costco to change how it sells gas

4/24/2009

Issaquah, Wash. Costco Wholesale has agreed to install new pumps at some stores to adjust gasoline prices when fuel temperatures rise above 60 degrees.

The agreement would end Costco's involvement in a lawsuit filed by consumers who say gasoline retailers have knowingly overcharged consumers for years by selling fuel that contains less energy because it's warm or hot.

Under the agreement, Costco will install the pumps in 14 southern and southwestern states. It has agreed to install such price-adjusting pumps in seven other states and the District of Columbia if it begins buying temperature-adjusted fuel wholesale in those areas.

A federal judge in Kansas must approve the settlement.

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