#PSA
Le Bailout Watch: Peugeot Saved By French Government
Europe’s second-largest automaker and GM alliance partner PSA Peugeot-Citroen is being saved from the brink for the time being. PSA is putting the final touches on an agreement with creditor banks on 11.5 billion euros ($14.9 billion) of refinancing, in addition to 7 billion euro ($9 billion) in government guarantees for its captive financing arm Banque PSA Finance, Reuters says.
Opel And PSA To Share Four Platforms. But Will They Share Plants?
After a lot of he loves me, he loves me not, GM and Peugeot PSA finally took their fledgling 7 percent relationship a few concrete steps forward. At least on paper. GM and PSA will not just buy new parts together. They will share platforms, the key to make joint purchasing work. The timing of this announcement, coinciding with a bailout by the French government, however is a bit unfortunate.
Le Bailout Watch: France To Save Peugeot, Germans Say Verboten
The French government will provide multi-billion euro guarantees to GM’s alliance-partner PSA Peugeot-Citroen via PSA’s banking arm, Reuters says. Don’t bet on it happening: There is already opposition from Germany, and wait until Brussels officially hears of the deal.
PSA In Deep Merde, Bailout By French Government - Or GM?
Tomorrow, GM’s sick French partner PSA Peugeot Citroen will publish quarterly sales. They are expected to be très dégoûtant, and will set off a chain reaction: The credit rating agencies will put PSA’s already alarming rating down a notch further to near-dead status. Its captive financing arm BPF, a bank in its own right, will go down with the mothership. The bank’s rating is not allowed to stay more than two notches above the parent. This will drag the bank into junk bond territory, and borrowing costs will explode. The French government is here to help – for a price.
"Joint Purchasing Without Joint Platforms Is Smoking Joints:" GM To Announce Procurement Plans With PSA, Nothing Else
The great October surprise announcement of progress at GM’s Opel front is turning into an October letdown. What will be announced “this month, early next month” will be a joint purchasing agreement between GM and 7 percent partner PSA Peugeot Citroen, GM CEO Dan Akerson told Reuters ahead of the Sao Paulo Auto Show’s media preview. In the industry, the joint purchasing agreement is seen as a non-event.
With Junk Status Looming, PSA's Finance Arm May Be Its Savior
How does the French government save an ailing car maker that employs thousands of people without actually bailing out the auto maker? By baling out their finance unit, of course!
Despite "Buy" Ratings, Wall Street Frustrated By GM
GM’s stock is still considered a “Buy” in the eyes of much of Wall Street, but analysts say that more changes are needed to accelerate the pace of growth in the post-Bailout era.
Fitch Throws A Wrench In GM/PSA Merger Plans
Ratings firm Fitch released a memo Tuesday outlining some possible problems relating to the proposed GM-PSA merger.
PSA And Opel To Be Married, One Way Or The Other
Yesterday, La Tribune in Paris had it on good authority that moribund Opel and the carmaking arm of PSA Peugeot Citroen would be merged into a joint venture.Reuters started digging a bit deeper and can say with conviction that “General Motors and PSA Peugeot Citroen are exploring ways to combine European operations in a second phase of the carmaking alliance they forged to save costs earlier this year.” They just don’t know yet how.
Malaise-Merger: Opel And PSA To Be Combined
Think of it as a merger of the equally sick: PSA’s automotive division (Peugeot Citroen) and Opel could be put into one company, a joint venture between GM and PSA, La Tribune reports with Reuters providing the translation.
Fiat And PSA Taken Down A Notch By Moody's, Their Banks Are A Ticking Bomb
Carmakers do get hurt when someone calls their cars junk. When Moody’s calls your credit rating junk, then this hurts a lot: It makes financing more expensive, or possibly impossible. Moody’s lowered the credit rating of Fiat and PSA Citroen Peugeot to Ba3 with negative outlook. Translation: This is serious junk, and it might get worse.
Peugeot Already Cutting 208 Production
More bad news from PSA – production of the brand-new Peugeot 208 subcompact will be cut by one third, as PSA grapples with an imploding market for small cars in Europe.
Ghosn: Renault May Have To Leave France
Renault chief Carlos Ghosn said in a radio interview with RTL that his company could leave France if it is unable to compete at home. Asked if Renault could disappear, Ghosn said: “In its current form, yes.”
Daimler-Renault-Nissan Alliance Gets Results, GM-PSA Doesn't
TTAC readers who followed our past reporting on the developing relationship between Daimler and the Renault/Nissan Alliance will not be surprised in hearing what Carlos Ghosn and Dieter Zetsche told the press today. If you think you’ve heard it all before, you are right. You did here.
GM's Docherty Sees "Very Scary Numbers" In Europe
GM’s Susan Docherty, who is in charge of Chevrolet Europe, is shocked by GM alliance partner PSA Peugeot Citroen. PSA, along with Fiat, are producing “very scary numbers” with discounts of as much as 30 percent off gross sale prices, Docherty told Bloomberg. Opel’s numbers can be even scarier.
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