France close to agreeing rescue plan for car firm
PEUGEOT CITROEN:France is close to agreeing a deal to prop up PSA Peugeot Citroën by giving €5-7 billion in financial guarantees to the carmaker’s lending arm.
The rescue plan, which needs approval from Brussels, would be the most significant government intervention yet in the crisis engulfing many of Europe’s mass-market carmakers.
In exchange for funding, Peugeot has had to promise to appoint a workers’ representative to its board, and a government-approved independent board member.
France does not own a stake in Peugeot.