Published: 13 Feb 2013 08:38 GMT+01:00 | Print version
Updated: 13 Feb 2013 08:38 GMT+01:00
Embattled French auto giant PSA Peugeot Citroen has announced a massive net loss of five billion euros for 2012, the worst result in its history.
But France's number one carmaker said it had built the foundations for recovery after cleaning up its balance sheet and implementing a tough restructuring plan.
Peugeot blamed the results on a previously announced 4.7 billion euro asset writedown last year and the crisis in the European car market.
The loss, announced on Wednesday, compared with a profit of 588 million euros in 2011, while revenue for the year fell 5.2 percent to 55.4 billion euros.
The results "reflect the deterioration of the automative industry environment in Europe," chief executive officer Philippe Varin said in a statement. But he added: "The foundations for our rebound have been laid."
The results were worse than forecast by analysts and overshadowed the previous record loss of 1.2 billion in 2009. Net debt stood at three billion euros, the company said.
On Monday, the European Commission authorised France temporarily to shore up Peugeot to the tune of a six-month 1.2 billion euro guarantee.
PSA Peugeot Citroen, which has a strategic tie-up with General Motors (GM) of the United States, is in the midst of a restructuring involving deep job cuts.
The historic Catholic pilgrimage site of Lourdes in south west France was evacuated on Tuesday after flash floods hit the area. Management at the shrine have told The Local they are growing increasingly concerned as waters continue to rise. READ () »
As a provocative new anti-smacking video campaign by the Fondation pour l'Enfance (Foundation for Childhood) causes a stir in France, the man behind the drive Dr. Gilles Lazimi tells The Local why France needs a law banning parents from smacking their kids. READ () »
French football stars Franck Ribery and Karim Benzema, went on trial on Tuesday, accused of paying to have sex with then underage call-girl Zahia Dehar. The process was adjourned until January, however, on a legal technicality. READ () »
The Eiffel Tower in Paris was evacuated by police on Tuesday after a man threatened to throw himself off the famous monument. Reports suggest, however, that emergency services personnel have succeeded in apprehending the man. READ () »
These words are not the latest outburst by notorious French basher, London's Mayor Boris Johnson, but were the opinion of Britain’s Napoleonic War hero Admiral Lord Nelson, whose outspoken views were revealed in a letter, auctioned in London this week. READ () »
A pregnant Muslim woman who was allegedly attacked in the suburbs of Paris by two ‘skinheads’ for wearing an Islamic face veil has suffered a miscarriage, it was reported on Tuesday. READ () »
A court in north-eastern France on Tuesday sentenced to jail an impersonator to French music icon Serge Gainsbourg for stabbing a rival tribute act for French rock star Johnny Hallyday, amid a bizarre feud between the pair. READ () »
France has more inmates behind bars than ever before, it was revealed this week, prompting hundreds of prison guards to assemble in front of more than 100 jails on Tuesday, in protest against over-crowding and safety concerns. READ () »
Much of the west and south west of France remained on alert on Tuesday with storms and heavy rain expected to hit the region, just a day after hailstorms wreaked havoc for wine growers in one part of the country. READ () »
France angrily hit back on Monday at accusations that its bid to protect Europe's film and television industries from Hollywood dominance was "reactionary". READ () »