Arab Today, arab today peugeot warns on sales accepts financing terms
Last Updated : GMT 21:53:08
Arab Today, arab today
Arab Today, arab today

Peugeot warns on sales, accepts financing terms

Arab Today, arab today

Arab Today, arab today Peugeot warns on sales, accepts financing terms

Paris - AFP

French auto group PSA Peugeot Citroen, struggling with deep restructuring and just supported with state guarantees, said on Wednesday that sales had fallen by 3.9 percent in the third quarter and that it was waiving dividends. The group, which has announced 8,000 job cuts and a plant closure, said that sales fell to 12.9 billion euros ($16.7 billion) in the quarter amid increasing competition and a weakening of the European market. It warned that it now expected sales in Europe, its main market, to fall by 9.0 percent instead of 8.0 percent forecast previously. And it expected its net debt to rise to 3.0 billion euros at the end of the year instead of 2.4 billion euros. The group\'s financial arm BPF announced that it would receive state guarantees totalling 7.0 billion euros over three years. The second biggest carmaker in Europe said that in return it would not pay a dividend or issue stock options during this period. BPF said it had also obtained cash facilities from banks amounting to 11.5 billion euros of which 1.0 billion euros was an additional sum. Group finance director Jean-Baptiste de Chatillon said that most of these credit lines had already been negotiated for 2013-2015. \"The state has announced its intention to provide its guarantee for refinancing in respect of new bond issues in the next three years, up to 7.0 billion euros,\" he said. This would enable BPF to leverage its assets and to launch a savings plan for savers in France, as the financial arm of French rival automaker Renault had done recently, he said. The government said in a separate statement that another condition attached to the state guarantee was the creation of a monitoring committee on which the state, PSA and an independent administrator would sit. A representative of the staff of PSA would also join the group\'s supervisory board. An independent expert brought in to examine the planned job cuts found that restructuring was needed because of strategic mistakes going back 20 years and as the company had failed to keep up with globalisation. In a separate statement, the group announced a four-pronged programme for joint industrial projects with its strategic partner GM of the United States. The price of shares in PSA fell 3 percent in morning trading in response to the announcements.  

arabstoday
arabstoday

Name *

E-mail *

Comment Title*

Comment *

: Characters Left

Mandatory *

Terms of use

Publishing Terms: Not to offend the author, or to persons or sanctities or attacking religions or divine self. And stay away from sectarian and racial incitement and insults.

I agree with the Terms of Use

Security Code*

Arab Today, arab today peugeot warns on sales accepts financing terms Arab Today, arab today peugeot warns on sales accepts financing terms

 



Arab Today, arab today

Name *

E-mail *

Comment Title*

Comment *

: Characters Left

Mandatory *

Terms of use

Publishing Terms: Not to offend the author, or to persons or sanctities or attacking religions or divine self. And stay away from sectarian and racial incitement and insults.

I agree with the Terms of Use

Security Code*

Arab Today, arab today peugeot warns on sales accepts financing terms Arab Today, arab today peugeot warns on sales accepts financing terms

 



Arab Today, arab today France defies terrorism through tourism

GMT 15:18 2017 Saturday ,20 May

France defies terrorism through tourism
Arab Today, arab today Zainab Fadel Oglu designs “Shakerin” mosque

GMT 12:13 2017 Thursday ,11 May

Zainab Fadel Oglu designs “Shakerin” mosque
View News in Arabic - Business: أخبار الشركات
Arab Today, arab today
Arab Today, arab today
Arab Today, arab today
Arab Today, arab today
 
 Arab Today Facebook,arab today facebook  Arab Today Twitter,arab today twitter Arab Today Rss,arab today rss  Arab Today Youtube,arab today youtube  Arab Today Youtube,arab today youtube
arabstoday arabstoday arabstoday arabstoday
arabstoday arabstoday arabstoday
arabstoday
بناية النخيل - رأس النبع _ خلف السفارة الفرنسية _بيروت - لبنان
arabstoday, Arabstoday, Arabstoday