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Peugeot Investors Fear State May Block Restructuring, Echos Says

PSA Peugeot Citroen Chief Financial Officer Jean-Baptiste de Chatillon said among the reasons for the drop in the company’s share price is investors’ fear that the French government may block the carmaker’s restructuring plan, Les Echos reported, citing an interview.

“We are going to respond to all their questions at the time of the publication of our six-month results on July 25,” de Chatillon told the newspaper, adding that details on the restructuring plan would be announced at that time.

The CFO said the share price has also been affected by Moody’s Investors Service decision to put the company’s credit rating on review, and the possibility it could be downgraded, Les Echos said an e-mailed preview of an article to be published in tomorrow’s edition.

De Chatillon said the company requires a treasury of 2 billion euros to carry out its day-to-day operations, the newspaper said.

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