The Peugeot family is on war footing with the French government. It “hit back at suggestions by a government official that its members have favored their own financial interests over the development of the family-controlled auto maker,” says the Wall Street Journal. Basically, the family followed the line of argument suggested by TTAC.
After French industry minister Arnaud Montebourg accused the family of collecting dividends while PSA was in trouble, the family said “Quels dividendes, Monsieur?”
Not too surprisingly, the family argues that no dividend was approved in three of the past four years. It also added that the €78 million ($96 million) dividend it received for the 2010 financial year was less than the family’s contribution to this year’s capital increase.
The industry minister is not amused. Said Montebourg:
“We have a real problem with Peugeot’s strategy, the alliance with GM, and the behavior of its shareholder.”