The Japan-based company is expected to pay $1 billion to resolve the U.S. criminal probe, according to the Journal, citing people familiar with the matter. The company is expected to pay a $25 million criminal penalty and $850 million in restitution to automakers who purchased the air bags, the sources added.
Another $125 million will go toward establishing a compensation fund for motorists or relatives the company's air bags harmed, the Journal reported.
Last year, Takata filed reports with U.S. auto safety regulators declaring nearly 14 million air bag inflators defective -- in the first of a series of required reports. Takata agreed to expand recalls by 35 million to 40 million inflators in several tranches through 2019, adding to the 28.8 million recalled before May 4.
Over a dozen automakers had recalled vehicles equipped with the air bags, which authorities have said have the potential to rupture and spray shrapnel. The National Highway Traffic Safety Administration has called it largest and most complex safety recall in history.