Vauxhall celebrates 60 years of vehicle production at Ellesmere Port

• Stellantis’ Ellesmere Port plant is celebrating 60 years since first car rolled off production line
• Production started in June 1964 with Vauxhall Viva
• Ellesmere Port is UK’s first EV-only manufacturing plant and manufactures compact electric van for Vauxhall/Opel, Peugeot, Citroen & Fiat Pro
• Approaching 6m vehicles built at Ellesmere Port since 1964
• Electric van production to begin at Stellantis Luton plant from 2025

Stellantis is celebrating 60 years of vehicle manufacturing at its Ellesmere Port plant, marking six decades since the first car, a Vauxhall Viva, rolled off the production line on 1 June 1964.

Ellesmere Port was constructed in 1962 and opened in 1964 producing the Vauxhall Viva. Since then, it has produced celebrated models such as the Vauxhall Chevette and, since 1980, seven generations of the hugely popular Vauxhall Astra. During its lifetime, the plant produced more than a million units of the Viva, more than a quarter of a million Vauxhall Chevettes, and more than 4.1 million Vauxhall Astras.

Stellantis Ellesmere Port plant is now a key part of British electric vehicle (EV) production, being the UK’s first EV-only volume manufacturing plant following a £100m investment by Stellantis as part of the company’s Dare Forward 2030 commitment to become carbon neutral by 2038. Production of EVs began at Ellesmere Port in September last year, with Vauxhall/Opel Combo Electric, Citroën ë-Berlingo, Fiat e-Doblò and Peugeot E-Partner being produced there.

In 1970 Ellesmere Port occupied more than 350,000m2, but has since undergone several key changes, including the addition of a battery assembly shop, upgraded General Assembly and relocation of the bodyshop. This has contributed to a 60% reduction of the total site area for improved energy efficiency and productivity. At 118,000m2, the entire plant is now a similar size to the previous bodyshop.

Ellesmere Port’s transition to electric-only production continues Vauxhall’s tradition of building vehicles in the UK, which started at the company’s Luton plant in 1905, having transferred from Vauxhall in London where it started in 1903. From next year, Luton will begin producing medium electric vans for Vauxhall, Opel, Citroën, Peugeot and Fiat Professional.

Present at the 60th anniversary celebrations for plant staff and local dignitaries was Keith Tabiner, who was on the production line at Ellesmere Port in 1964 when the first Vauxhall Viva was produced. His three sons, Mark, Mike and Phil, also work at Ellesmere Port today, meaning that the Tabiner family has a combined 152 years of employment at the plant.  The plant has enjoyed a high level of such loyalty, dedication and length of service from many employees across the decades.

Keith Tabiner said: “Having witnessed the first Vauxhall Viva roll of the production line in 1964, and worked at Ellesmere Port for a total of 40 years, it’s a pleasure to be back and see the plant going from strength to strength making the electric vehicles of the future. I’ve always driven Vauxhalls and with three of my sons following in my footsteps and working at the plant today, everything we have is thanks to Ellesmere Port.”

Diane Miller, Ellesmere Port Plant Director, said: “We are excited to mark such an impressive milestone, celebrating production that began sixty years ago with the Viva, and now continues into the future with electric vans from Fiat, Citroën, Peugeot, Opel and Vauxhall. For six decades, Ellesmere Port has been a central pillar of the local area, and whose people have continually taken great pride in their work at the plant to provide millions of vehicles for the UK and beyond and now continue to do so in the transition to a more sustainable future.”

Maria Grazia Davino, Group Managing Director, Stellantis UK, remarked: “It is gratifying to celebrate six decades of vehicle production at Ellesmere Port, which continues to produce the latest generation of electric vans. Stellantis is the only OEM producing vans, including electric vans, in volume in the UK, and I would like to share my congratulations to the employees at the plant, who continue to work incredibly hard to produce the vehicles that will help to electrify businesses across the UK and in the more than 20 countries to which we export electric vans.”

Kaiserslautern plant is a key location in Stellantis production network: components for more than 30 models of different brands

• Kaiserslautern currently supplies six Stellantis brands
• Europe's Car of the Year 2023, Jeep Avenger, will also come from West Palatinate
• Planning for Gigafactory at Kaiserslautern site continues

With production of components for more than 30 vehicle models from Stellantis world, the Kaiserslautern plant has developed into a key location in the international production network.

Employees in Kaiserslautern currently produce components for numerous vehicles from six different automobile brands, including Opel models Corsa, Mokka, Crossland, Combo Life as well as Astra and Astra Sports Tourer. Also in cars from Peugeot (208, 2008, 308, new 3008 and new 5008, 408, 508, Rifter) and Citroën (C3, C4, C5 Aircross, Berlingo) as well as in DS 7 Crossback, in Fiat 500 and in Europe's car Year 2023, Jeep Avenger is fitted with parts from Palatinate, latter with reinforcements in door area.

Even beyond classic components business, automotive location in West Palatinate is strategically well positioned for mobility of future. Automotive Cells Company (ACC) joint venture, in which Mercedes-Benz and TotalEnergies are involved alongside Stellantis/Opel, will build a Gigafactory on same site in which battery cells for electric vehicles will be produced from 2025. Planning for this billion-euro project is progressing well.

“Kaiserslautern is ideally positioned for age of electromobility. We are looking into future with confidence,” said factory manager Rafal Trojca. Especially since components for cars from several Stellantis brands will also be produced in West Palatinate on new STLA Medium platform in the future.Vehicle platform, designed for purely electric cars, crossovers and SUV models from C and D segments, has state-of-the-art performance features such as a range of 700 kilometers, which is unmatched in this class.

Stellantis has formulated ambitious goals in its “ Dare Forward 2030 ” strategic plan. CO 2 emissions are to be halved by 2030 compared to 2021 and goal of net zero CO 2 emissions is to be achieved by 2038. Remaining emissions (in single-digit percentage range) are to be offset. In this context, the aim is to achieve, among other things, a sales share of 100% battery-electric passenger cars in Europe and 50% for passenger cars and commercial vehicles in United States by 2030.

Diamond Jubilee: Vauxhall celebrates 60 years of manufacturing at Ellesmere Port

• Vauxhall’s Ellesmere Port plant is celebrating 60 years of manufacturing
• Diamond jubilee comes as Ellesmere Port looks ahead to producing the next generation of battery electric LCV and passenger car models
• £100 million investment in Ellesmere Port by parent group Stellantis was announced last year to support its transformation to electric vehicle manufacturing
• Stellantis commitment to net zero globally by 2038 and to halve carbon impact by 2030

Celebrations coincide with final Vauxhall Astra rolling off the production line with more than 4 million built at Ellesmere Port across seven generations

Vauxhall is celebrating an incredible 60 years of manufacturing at its Ellesmere Port plant ahead of its £100 million transformation into the first Stellantis plant to produce solely battery-electric models by the end of the year.

Ellesmere Port opened in 1962 and began as a production plant for the Vauxhall Viva. Since then it has produced iconic models from the Vauxhall range including the Chevette and successive generations of the Vauxhall and Opel Astra. In total, more than 5.2 million vehicles have rolled off the production lines at Ellesmere Port over the past 60 years.

The diamond jubilee comes as Ellesmere Port readies itself for a £100 million upgrade to become the first Stellantis plant to produce solely battery-electric models, from early next year.

The popular Vauxhall Combo-e and its Opel equivalent will be some of the first electric vehicles to be produced at Ellesmere when the plant reopens, along with Peugeot e-Partner and Citroën e-Berlingo vans. Ellesmere Port will also produce a range of passenger vehicles across the Stellantis brands including the Vauxhall Combo-e Life, Opel Combo-e Life, Peugeot e-Rifter and Citroën ë-Berlingo MPVs.

These light commercial vehicles, and their passenger car variants, are all powered by a 100 kW (136 hp) motor with a 50 kWh lithium-ion battery.  They can be charged at up to 100 kW and take just 30 minutes to charge from 0% to 80%, capable of up to 174 miles of range under WLTP conditions.

Paul Willcox, Managing Director, Vauxhall & Senior Vice-President, Stellantis, said: “Over the last 60 years, Ellesmere Port has become one of the great British car plants, producing some of the most popular cars on the roads across generations. With one era closing, we’re now looking forward to an all-new electric era at Ellesmere, with the site becoming the first Stellantis plant to produce solely electric vehicles. Vauxhall is fast moving towards an electric future and I’m pleased to see the next-generation of Vauxhall electric vehicles made in Britain.” 

Vauxhall has committed to selling only electric vehicles from 2028, seven years ahead of the Government deadline, and the transformation at Ellesmere Port will ensure the UK remains at the forefront of electric vehicle manufacturing. The plant upgrade also forms a part of Stellantis’ commitment to become a carbon neutral group, globally, by 2038 – and to halve its carbon footprint by 2030, based on 2021 data. 

As Vauxhall looks ahead to the future electric vehicle production at Ellesmere Port, the plant is marking the end of production there for one of the brand’s most iconic models – Vauxhall Astra. Having first produced the Vauxhall Astra from 16th November 1981, then in its first generation, more than 4 million Astra models have been built at Ellesmere Port.

Production of the seventh generation Astra model came to a close on 6th April 2022.  The final Vauxhall Astra model to roll off the production line was an Astra Sport Tourer SRi Nav 1.2 Turbo Manual in Hot Red and the occasion was celebrated with a gathering of the plant workforce as well as former employees.  

6th April 2022: Last Vauxhall Astra rolls off production line

Work will now be undertaken to transform Ellesmere Port into an electric vehicle manufacturing centre when it restarts production in early 2023. 

Eighth generation All-New Astra, and Astra Sport Tourer, are now available to order and deliveries to UK customers are starting imminently.  Available now with plug-in hybrid technology, a fully electric version of both cars will also arrive next year as part of Vauxhall’s commitment to only sell fully electric vehicles from 2028. 

With over 90 years of history of manufacturing in the UK, Vauxhall is currently the only mainstream automotive brand to produce vans in Britain. Alongside Stellantis’ Ellesmere Port plant, Vauxhall continues to make vans at its factory in Luton, which has been operating since 1907 and stands as Britain’s oldest car factory.

Ellesmere Port will support sustainable mobility through the production of an all-electric vehicle, starting in 2022

• Ellesmere Port to become Stellantis’s first manufacturing site dedicated to battery electric LCV and passenger car models for Vauxhall, Opel, Peugeot and Citroën
• Industrial performance improvements as a result of strong  cooperation between the company, the Unite Union and, most importantly, the workforce
• Stellantis £100million investment supported by the UK government to secure an all-electric future for the plant
• Ambition for Ellesmere Port plant to be carbon neutral by mid-decade
• Ellesmere Port to support Stellantis Europe’s leading LCV position
• Vauxhall continuing its tradition of manufacturing vehicles in the UK, which started in 1903

Stellantis announces a £100million investment in Vauxhall’s Ellesmere Port manufacturing plant to transform the site for a new era in electric vehicle manufacturing.  Ellesmere Port will become the first Stellantis plant to produce a solely battery-electric model, in both commercial and passenger versions, by the end of next year, for Vauxhall, Opel, Peugeot and Citroën brands and for both domestic and export markets. This dedication to battery electric vehicles will go towards achieving the UK Government’s decision to stop sales of pure petrol and diesel engined vehicles from 2030.

Stellantis investment in Ellesmere Port will leverage the performance improvement actions that have been made possible thanks to a collaborative process between the company, the Unite the Union and based on the workforce’s drive to transform their plant.

Stellantis strong willingness to ensure a sustainable future for Ellesmere Port has been consistently supported by the UK Government, the Cheshire West and Chester Council, Cheshire and Warrington Local Enterprise partnership and Chester College.

Carlos Tavares, Chief Executive Officer at Stellantis, said: “Performance is always the trigger for sustainability and this £100million investment demonstrates our commitment to the UK and to Ellesmere Port. I particularly want to thank our highly skilled, dedicated workforce for their patience and contribution; we never let them down.  Equally, I want to thank our partners the Unite Union for their open mind set and strong cooperation and, of course, the UK Government for their continued support. Producing battery electric vehicles here will support clean, safe and affordable mobility for the citizens. Since 1903 Vauxhall has manufactured vehicles in Britain and we will continue to do so.”

UK Government, Secretary of State for Business, Energy and Industrial Strategy, Kwasi Kwarteng, said: “Ellesmere Port’s proud tradition in auto manufacturing will continue for many years to come thanks to today’s investment. Stellantis’ decision to double down on their commitment to this site is a clear vote of confidence in the UK as one of the best locations globally for competitive, high-quality automotive production.

Today’s decision will not only power Ellesmere Port into a clean future, but will secure thousands of jobs across the region in the supply chain. In this global race to secure electric vehicle production, we are proud to support Britain’s auto sector in this crucial transition as we work to build back better.”

Plant at Ellesmere Port will celebrate its 60th anniversary next year, having been built in 1962, and produced its first car, the Vauxhall Viva, in 1964.  Since that time, it has produced subsequent generations of the Vauxhall Viva, the Vauxhall Chevette and then each generation of the Vauxhall and Opel Astra.  In total, since 1964, it has built over 5.2 million vehicles. 

This new era of manufacturing will see a transformation of the Ellesmere Port plant “fit for the future”, with a new body shop, upgraded general assembly, a compression of the site area and the creation of an on-site battery pack assembly.  In addition, there will be further support to enable a pathway to carbon neutrality for the plant by the middle of this decade.  The plant aims to be 100% self-sufficient for electricity and work will commence imminently on potential wind and solar farms. 

Stellantis has also announced the intention to consult on further investment into the Ellesmere Port site with the creation of a new UK parts distribution centre.

From later next year, Ellesmere Port will build the following all-electric vehicles:

Electric LCV:

Vauxhall Combo-e

Opel Combo-e

Peugeot e-Partner

Citroën e-Berlingo

Electric Passenger Car:

Vauxhall Combo-e Life

Opel Combo-e Life

Peugeot e-Rifter

Citroën e-Berlingo

These light commercial vehicles, and their passenger car variants, are all powered by a 100kW (136hp) motor with a 50kWh lithium-ion battery.  They are able to be charged at up to 100kW and take just 30 minutes to charge from 0% to 80%.  Under WLTP conditions, they are capable of up to 174 miles of range.

Stellantis is the LCV market leader in Europe and, in the UK, Vauxhall leads sales in the fast growing all-electric LCV segment.

Vauxhall, Opel, Peugeot and Citroën brands have already committed to each offering all-electric versions of their entire respective van model ranges before the end of 2021.  Fiat Professional is also committed to offering electrified and alternatively fuelled versions across its van range.

With rising LCV usage in urban areas, partly due to the growth in demand for online delivery services, these zero-emissions-in-use vans will make a significant contribution to reducing emissions in towns and cities across the country.

The passenger car version will enable families to enjoy a “zero emission” active life with up to seven seats, benefitting from a modern high-tech interior, with great levels of comfort and adaptability and interior space, premium comfort and smart safety features.

Groupe PSA strengthens its electric offensive with a new eVMP platform (Electric Vehicle Modular Platform)

• Between 2020 and 2025, Groupe PSA will gradually move from two multi-energy platforms to two 100% electrified platforms to support the e-mobility development.
• New eVMP platform will serve as the basis for a wide range of electric vehicles for the C- and D- segments.
• eVMP will offer high-performance with an autonomy of up to 650 km (WLTP cycle) and a benchmark storage capacity with 50 kWh per meter available within the wheelbase.

Groupe PSA considers that being in perfect harmony with the development of the electric vehicle market is a determining factor in the relevance of its offer. Thereby, the group will launch from 2023, vehicles in C- and D-segments from sedan to SUV in different regions of the world. These vehicles will benefit from this new reference platform, eVMP "Electric Vehicle Modular Platform".

eVMP concentrates all the Groupe PSA's engineering know-how with 60 to 100 kWh of embedded energy and an optimised architecture that exploits the entire sub-floor for the battery. By restoring 50 kWh per meter within the wheelbase, it is benchmark in the electric vehicle market and will therefore be able to offer an all-electric range from 400 km to 650 km (WLTP cycle) depending on the body. In order to provide a high-performance solution adapted to each mobility need anywhere in the world, hybrid derivatives may be offered on certain markets on the basis of this state of the art electric platform.

In addition to high level of technical performance, the efficiency of eVMP also lies in the optimisation of R&D and industrialisation costs. This is achieved through the use of certain sub-assemblies and existing high-performance battery modules. In addition, the industrial process has been studied to obtain maximum synergies with the existing means in our plants, therefore limiting investments. In the same logic of making in-house electrical components, this platform complements parts developed and manufactured with Groupe PSA or with its e-motors or ACC Joint venture.

"With this eVMP platform, Groupe PSA once again demonstrates its ability to innovate by developing for its customer’s state-of-the-art and affordable technologies thanks to the frugality that has enabled a significant reduction in R&D and industrial investments. This global platform will make it possible to offer a range of vehicles that are perfectly respectful of the environment, meeting the changing expectations of our customers and guaranteeing driving pleasure and safety on board, values that are the basis of the Group's reputation today", said Nicolas Morel, Research and Development Director at Groupe PSA.

Groupe PSA remains profitable in H1 2020 despite Covid

• €25.1 billion Group revenue
• 3.7% Automotive division [1] adjusted operating margin [2] at €731 million
• Net result group share at €595 million
• €153 million Automotive positive free cash flow excluding working capital
• Strong financial security at €23.2 billion

Carlos Tavares, Chairman of Groupe PSA Managing Board said: “This H1 result proves the Group’s resilience, as a reward of 6 consecutive years of intense work to increase our agility and lower our breakeven point. The Group is also weathering this crisis thanks to the commitment of the teams, focused to deliver a clean, safe and affordable mobility for our customers. We are determined to achieve solid rebound in the second half of the year, while finalizing the birth of Stellantis before the end of Q1 2021.”

Group revenue amounted to €25,120 million in H1 2020, down by 34.5% compared to H1 2019. Automotive division revenue amounted to €19,595 million down by 35.5% versus H1 2019, mainly driven by the negative impact of volumes and country mix (-40.5%), the decrease of sales to partners (-0.5%) and the impact of exchange rates (-0,6%) ; conversely, revenues benefited from the positive effect of product mix (+3.4%) and price (+0.4%), as well as others (+2.3%).

Group adjusted operating income [3] amounted to €517 million, down 84.5% with Automotive adjusted operating income down 72.5% at €731 million. This 3.7% profitability level was reached despite the sharp decline of automotive markets and thanks to a positive product mix and cost reductions.

Group adjusted operating margin reached 2.1%, down 6.6 pts versus H1 2019.

Other operating income and expenses amounted to -€35 million, compared to -€847 million in H1 2019.

Group net financial income and expenses improved to €52 million compared to -€166 million in H1 2019.

Consolidated net income reached €376 million, a decrease of €1,672 million compared to H1 2019. Net income, Group share, reached €595 million, down €1,237 million compared to H1 2019.

Banque PSA Finance reported adjusted operating income of €463 million [4], down 9.7%.

Faurecia adjusted operating income was a loss at -€159 million.

Free cash flow of manufacturing and sales companies was -€4,704 million of which -€3,601 million for the Automotive division.

Automotive free cash flow was positive at €153 million excluding working capital.

Total inventory, including independent dealers and importers [5], stood at 505,000 vehicles at 30 June 2020, down 24% compared to 30 June 2019.

Net financial position of manufacturing and sales companies was €2,886 million at 30 June 2020 of which €6,957 million for the Automotive division.

Market outlook: in 2020, the Group anticipates a decrease by 25% of the automotive market in Europe, by 30% in Russia and Latin America, and by 10% in China. 

Operational outlook: Groupe PSA has set the target to deliver over 4.5% Automotive adjusted operating margin [6] on average for the period 2019-2021.

[1] Automotive Division (PCDOV)

[2] Adjusted operating income related to revenue

[3] Adjusted operating income (loss) excludes from Operating income certain adjustments comprising Restructuring costs, Impairment of CGU’s and Other operating income (expense) considered rare or discrete events and are infrequent in nature.

[4] 100% of the result of Banque PSA Finance. In the financial statements of Groupe PSA, joint ventures are consolidated using the equity method.

[5] Including Peugeot importers outside Europe

[6] Automotive Division (PCDOV) adjusted operating income related to revenue

Groupe PSA and Punch Powertrain Expand Strategic Partnership in Electrification

• Agreement to establish second Joint Venture
• New Joint Venture to design, manufacture and supply state of the art components and sub-systems for the future generation of the electrified transmission (e-DCT [1])
• e-DCT will equip Groupe PSA’s Mild Hybrid Electric (MHEV) and Plug-in Hybrid Electric (PHEV) vehicles and carmakers globally

Groupe PSA and Punch Powertrain have signed an agreement to establish a second Joint Venture and expand their strategic partnership in the field of electrification, to contribute to fight against climate change.

Punch Powertrain holds majority control in the new Joint 61/39 Venture, which will design, manufacture, and supply Punch Powertrain’s breakthrough DT2 [2] dual clutch transmission for the industry’s next generation of mild hybrid electric (MHEV) and plug-in hybrid electric (PHEV) vehicles. The business will initially supply Groupe PSA’s global operations and aims to supply other vehicle manufacturers worldwide. The Joint Venture agreement is subject to customary regulatory approvals.

“Our clear manufacturing strategy is to have a vertical integration of components, particularly key technologies such as electrified powertrains. We have understood that the future is much more than reducing emissions. The challenge ahead of us is electrification at affordable cost, aligned with our raison d’être (Central Purpose)” said Olivier Bourges, Executive Vice President, Programs and Strategy and Member of the Managing Board.

“We are delighted to launch this second Joint Venture Agreement with Groupe PSA, Europe’s second largest car manufacturer,” said Jorge Solis, Chief Executive Officer, Punch Powertrain. “Over the past 45 years, Punch Powertrain has continuously pioneered innovative and cost-effective transmission technologies. This new venture will spearhead the industrialization of our next generation of transmissions for hybrid electric vehicles for Groupe PSA and other carmakers worldwide.”

Punch Powertrain DT2 48V and PHEV Dual Clutch Transmission

Punch Powertrain will contribute its DT2-related business unit, including world-class engineering, manufacturing, and support functions to the new entity which is expected to be operational by the third quarter 2020. Punch Powertrain will also transfer its current DT2- related facilities in Sint-Truiden, Belgium, and Eindhoven, the Netherlands. In turn, Groupe PSA will make a cash investment in the Joint Venture.

New Joint Venture, “Punch Powertrain PSA e-transmissions”, will supply Punch Powertrain’s innovative, ultra-efficient and compact automatic transmissions. Known as the DT2, this cost-efficient dual clutch transmission is the first in the industry to integrate an electric motor in a mild hybrid electric vehicle.

This latest Joint Venture will supply one of the industry’s first 48V solutions to equip mild hybrid electric vehicles (MHEV), resulting in significant fuel savings and reduction in CO2 emissions, compared to regular internal combustion engine powered vehicles.

A high voltage variant of the DT2 is designed for plug-in hybrid electric vehicles (PHEV) and allows full electrically powered driving.

In April 2019 Groupe PSA and Punch Powertrain originally signed an agreement to establish their first Joint Venture “Punch Powertrain PSA e-transmissions assembly”. This Joint Venture will assemble the future generation of electrified transmissions (e-DCT) at Groupe PSA ’s facility in Metz, France, starting in 2022. This breakthrough transmission will equip Groupe PSA’s next generation of hybrid vehicles.

[1]  e-DCT ; electrified Dual Clutch Transmission

[2] Dual Clutch Transmission by Punch Powertrain, available in 48V, plug-in hybrid or conventional variants.

Groupe PSA achieved a new profitability record in 2019

• €74.7 billion Group revenue up 1%
• 8.5% Group adjusted operating margin [1] at €6.3 billion
• 8.5% Automotive division [2] adjusted operating margin up 0.9 pt at €5.0 billion
• Record net result Group share at €3.2 billion
• €3.3 billion Automotive division free cash flow
• PACE! plan target achieved with Opel Vauxhall 6.5% adjusted operating margin

Carlos Tavares, Chairman of Groupe PSA Managing Board said: “Our skilled and committed teams made the difference once again and we have achieved record results in 2019, driven by our agile, customer focused and socially responsible approach. We are ready for the energy transition and all teams are focused to offer a clean, safe and affordable mobility for customers. Based on our business model and fighting spirit which has proved to be efficient, we are eager to enter a new era with the projected merger with FCA.”

A dividend of €1.23 per share [3] will be submitted for approval at the next Shareholders’ Meeting.

Group revenue amounted to €74,731 million in 2019, up by 1.0% compared to 2018. Automotive division revenue amounted to €58,943 million up by 0.7% versus 2018, mainly driven by product mix (+4.3%) and price (+1.2%), which offset the decrease of sales to partners (-1.7%), the negative impact of exchange rates (-0.5%), volumes and country mix (-2.4%) as well as others (-0.2%).

Group adjusted operating income [4] amounted to €6,324 million, up 11.2% with Automotive adjusted operating income up 12.8% at €5,037 million. This 8.5% strong profitability level was reached thanks to a positive product mix and further cost reductions despite exchange rate headwinds and raw material costs increases.

Group adjusted operating margin reached 8.5%, up 0.8 pt versus 2018.

Other operating income and expenses amounted to -€1,656 million, compared to -€1,289 million in 2018.

Group net financial expenses decreased to -€344 million compared to -€446 million in 2018.

Consolidated net income reached €3,584 million, an increase of €289 million compared to 2018. Net income, Group share, reached €3,201 million, up €374 million compared to 2018.

Banque PSA Finance reported adjusted operating income of €1,012 million [5], up 7.8%.

Faurecia adjusted operating income was €1,227 million, down 2.9%.

Free cash flow of manufacturing and sales companies was €2,745 million of which €3,265 million for the Automotive division.

Total inventory, including independent dealers and importers [6], stood at 606,000 vehicles at 31 December 2019, down 74,000 vehicles compared to 31 December 2018.

Net financial position of manufacturing and sales companies was €7,914 million at 31 December 2019 after IFRS 16 effect and Clarion acquisition by Faurecia and including DFG share repurchase debt.

A dividend of €1.23 per share [7] will be submitted for approval at the next Shareholders’ Meeting with an ex-dividend date considered to be on 21 May 2020, and the payment date on 25 May 2020.

Market outlook: in 2020, the Group anticipates a decrease by 3% of the automotive market in Europe and by 2% in Russia as well as a stable automotive market in Latin America.

Operational outlook:

Groupe PSA has set the target to deliver over 4.5% Automotive adjusted operating margin [8] on average for the period 2019-2021.

[1] Adjusted operating income related to revenue

[2] Automotive Division (PCDOV)

[3] Dividend per share calculated on the basis of the total number of outstanding shares of the company minus the treasury shares of the company as of 25 February 2020. The actual dividend per share will depend on the number of treasury shares held at the ex-dividend date and any shares issued or cancelled prior to this date.

[4] Adjusted operating income (loss) excludes from Operating income certain adjustments comprising Restructuring costs, Impairment of CGU’s and Other operating income (expense) considered rare or discrete events and are infrequent in nature.

[5] 100% of the result of Banque PSA Finance. In the financial statements of Groupe PSA, joint ventures are consolidated using the equity method.

[6] Including Peugeot importers outside Europe

[7] Dividend per share calculated on the basis of the total number of outstanding shares of the company minus the treasury shares of the company as of 25 February 2020. The actual dividend per share will depend on the number of treasury shares held at the ex-dividend date and any shares issued or cancelled prior to this date.

[8] Automotive Division (PCDOV) adjusted operating income related to revenue

Groupe PSA: Worldwide sales at 3.5M units in 2019

• Electrification on track: 10 [1] new models launched as a first milestone toward a 100% electrified range by 2025
• Solid position in Europe: 16.8% market share
• International businesses focused on profitable growth and manufacturing footprint development

“In all regions, our teams are driven by a strong commitment to performance, profitable sales and customer satisfaction in a highly changing environment. This commitment is supported by our Group’s core model and core technology strategies and, in the long term, feeds our ambition to provide clean, safe and affordable solutions for people and goods, to counter the global warming effect.” says Carlos Tavares, Chairman of the Groupe PSA Managing Board.

Becoming a major player in electrified mobility

Groupe PSA has already launched 10 new plug-in hybrid or all-electric models, in line with its roadmap to offer a 100% electrified [2] range from 2025, of which 50% will be electrified by the end of 2021 with 13 additional electrified models.

Since 2019, all new models launched by Groupe PSA come with either an all-electric or a plug-in hybrid powertrain. LEV orders are promising and in line with Group objectives to be compliant with European 2020 CO2 target from Day 1.

The company mobilizes its recognized expertise and works with its partners and dealers to meet customer expectations by producing and offering a competitive line-up, with easy and state-of-the-art services for day-to-day life.

Growing LCV sales

Groupe PSA has historically offered best-in-class products to cover the full diversity of customer needs. In 2019, the Group sold 765,000 units (of which 554,000 light commercial vehicles (LCVs) and 211 derivative passenger cars (PCs), and consolidated its position with a 25.1% market share in Europe [3], in particular driven by the successful renewal of its small and medium vans in the last three years.

The Peugeot Expert, Citroën Jumpy and Opel Vivaro will come in all‑electric versions from 2020 and the whole LCV range (and passenger car equivalents) electrified by 2021.

The Group’s LCV development is advancing at a good pace in Latin America, where the Group launched a comprehensive range of LCV products and services, and in Eurasia, with the Peugeot, Citroën and Opel medium van models.

Europe: focused on performance

Leveraging disciplined management to meet CO2 targets, the Group maintained its position by achieving a 16.8% market share in a market that was up a slight 1.3%, by growing in main markets, particularly in Italy (+0.5pt) and Spain (+0.2pt), and by maintaining its market share in France and the United Kingdom while slightly declining in Germany (-0.6pt).

2019 was a year of consolidation for Peugeot. The brand completely renewed its B segment offering to support its sales growth in 2020. The new electrified range, driven by the Peugeot e-208 and e-2008, as well as the plug-in hybrid versions of the Peugeot 3008 Hybrid and 508 Hybrid sedan & SW, are fully available for B2B and B2C customers and feature among the lowest CO2 emissions of the market.

Citroën had the strongest growth among the top 12 best-selling brands in Europe, increasing its market shares in the main markets. Its performance was notably driven by the C5 Aircross SUV, launched in January 2019, which will be available in a plug-in hybrid version in 2020.

DS Automobiles sales surged globally, especially in the second half of the year (+56%) driven by the success of its renewed range. In France, DS main market, the successful DS 7 CROSSBACK and DS 3 CROSSBACK models are now strongly positioned and the brand’s performance is being enhanced by the growing exclusive DS network, with 356 point of sales to date.

Opel Vauxhall focused its strategy on profitable sales channels and market segments. Through the consistent implementation of the core model strategy, Opel Vauxhall have taken steps toward ambitious future CO2 targets. The Grandland X (+29%) and Crossland X (+28%) SUVs and the LCVs (+20%) were particularly successful.

Middle East – Africa: market share increase in major markets

Groupe PSA’s market share increased by 0.4 pt in the region with registrations up 9,100 units compared to 2018, despite markets declining by 100,000 units [4]. Strong breakthroughs were made in Turkey (+2.1pts), Egypt (+6.1pts) and Morocco (+2.1pts). 2019 regional performance versus 2018 remained impacted by the wind down in Iran (May 2018) [5].

The production started mid-September 2019 in the Kenitra plant, in Morocco. The production capacity will be doubled to reach 200,000 vehicles as early as Mid-2020.

China & Southeast Asia: reshaping the business model

DPCA has set out its priorities in a six-year strategic plan presented last September, based on profitable sales, a lower breakeven point and a progressive increase in volumes for the Peugeot and Citroën brands. The DS brand is committed to the Chinese market and finalizes a new strategic plan. The sale of Groupe PSA shares in the CAPSA joint venture is part of this plan. 2020 will be the first year of Groupe PSA’s NEV offensive in China, with five NEV models to be launched and sold in China[6].

In ASEAN, the Group’s Malaysian hub NAM [7] started production with the Peugeot 3008 and 5008.

Latin America: contracting markets

Markets were hard hit in Argentina (-43%) and Chile (-11%) by the economic and political situations. Driven by the success of the new SUV C4 Cactus and the LCV offering, Groupe PSA sales remained brisk in Mexico (+13%), Brazil (+2%) and in smaller markets (Colombia, Cuba, Ecuador and Uruguay).

India-Pacific: sales growth in Japan

Sales grew slightly in the region despite declining markets. The recurring success in Japan continued with sales up 20%. Groupe PSA started the production of transmissions in India (Hosur plant), with its partner AVTEC Ltd (a CK Birla Group Co.) and is on track to launch the C5 Aircross SUV in India in 2020, to be followed in 2021 by new and disruptive Citroën models designed locally.

Eurasia: relaunch of the Opel brand

Sales increased in the region in H2 2019, especially in Ukraine and Russia. The Group improves faster than the market in Ukraine, thanks to all four brands. The Opel brand strengthened its presence in the Ukrainian market at the beginning of 2019 and the DS brand was launched in H2 2019.

Whereas the Russian market was down -2.3%, Group LCV sales increased with the Peugeot Traveller/Expert and the Citroën SpaceTourer/Jumpy. The Group recently relaunched the Opel brand in Russia, starting with the Zafira Life and Grandland X models.

[1] 4 BEV: DS 3 CROSSBACK E-TENSE, Peugeot e-208 and e-2008, Opel Corsa-e and 6 PHEV: Peugeot 3008 HYBRID, 508 HYBRID and 508 SW HYBRID, Citroën C5 Aircross Hybrid, Opel Grandland X Hybrid4, DS 7 CROSSBACK E-TENSE 4x4

BEV = Battery Electric Vehicle et PHEV = Plug in Hybrid Vehicle

[2] All-electric or plug-in hybrid

[3] LCV market share excluding PC versions

[4] Excl. Iran. Estimation at January 16th.

[5]Volumes manufactured in Iran have not been recorded in consolidated sales since May 1, 2018

[6] NEV = New Energy Vehicles / 2 BEV: Peugeot e-2008, DS 3 CROSSBACK E-TENSE and 3 PHEV: Peugeot 508L HYBRID and 4008 HYBRID, C5 Aircross Hybrid

[7] Naza Automotive Manufacturing

Groupe PSA and FCA agree to merge

New entity will have the leadership, resources and scale to be at the forefront of a new era of sustainable mobility

• Combines companies’ extensive and growing capabilities to address the challenge of shaping the new era of sustainable mobility
• Combined company will be the 4th largest global OEM by volume and 3rd largest by revenue with annual sales of 8.7 million units and combined revenues of nearly €170 billion [1]
• Creates a diversified business with among the highest margins in its core markets of Europe, North America and Latin America and the opportunity to reshape the strategy in other regions
• Merger will deliver approximately €3.7 billion estimated annual run-rate synergies with no plant closures resulting from the transaction – synergies are expected to be net cash flow positive from year 1
• Strong combined balance sheet and high level of liquidity provide financial flexibility with an investment grade credit rating expected
• Combined company will leverage investment efficiency across a larger scale to develop innovative mobility solutions and cutting edge technologies in new energy vehicles, autonomous driving and connectivity
• Broad portfolio of well-established iconic brands offering best-in-class products covering key vehicle market segments and delivering higher customer satisfaction
• Excellent working relationship between the two management teams, which share successful track records in turnarounds, value creation and successful OEM combinations
• Strong governance structure to underpin combined company performance with John Elkann as Group Chairman and Carlos Tavares as Group CEO, with a majority of independent directors [2]
• Strong support of long-term shareholders (EXOR N.V., Peugeot Family Group, Bpifrance [3] who will be represented on the Board

Fiat Chrysler Automobiles N.V. (“FCA”) (NYSE: FCAU / MTA: FCA) and Peugeot S.A. (“Groupe PSA”) have today signed a binding Combination Agreement providing for a 50/50 merger of their businesses to create the 4th largest global automotive OEM by volume and 3rd largest by revenue. The proposed combination will be an industry leader with the management, capabilities, resources and scale to successfully capitalize on the opportunities presented by the new era in sustainable mobility.

With its combined financial strength and skills, the merged entity will be particularly well placed to provide innovative, clean and sustainable mobility solutions, both in a rapidly urbanizing environment and in rural areas around the world. The gains in efficiency derived from larger volumes, as well as the benefits of uniting the two companies’ strengths and core competencies, will ensure the combined business can offer all its customers best-in-class products, technologies and services and respond with increased agility to the shift taking place in this highly demanding sector.

The combined company will have annual unit sales of 8.7 million vehicles, with revenues of nearly €170 billion[ 4], recurring operating profit of over €11 billion [5] and an operating profit margin of 6.6%, all on a simple aggregated basis of 2018 results [6]. The strong combined balance sheet provides significant financial flexibility and ample headroom both to execute strategic plans and invest in new technologies throughout the cycle.

The combined entity will have a balanced and profitable global presence with a highly complementary and iconic brand portfolio covering all key vehicle segments from luxury, premium, and mainstream passenger cars through to SUVs and trucks & light commercial vehicles. This will be underpinned by FCA’s strength in North America and Latin America and Groupe PSA’s solid position in Europe. The new Group will have much greater geographic balance with 46% of revenues derived from Europe and 43% from North America, based on aggregated 2018 figures of each company. The combination will bring the opportunity for the new company to reshape the strategy in other regions.

The efficiencies that will be gained from optimizing investments in vehicle platforms, engine families and new technologies while leveraging increased scale will enable the business to enhance its purchasing performance and create additional value for stakeholders. More than two-thirds of run rate volumes will be concentrated on 2 platforms, with approximately 3 million cars per year on each of the small platform and the compact/mid-size platform.

These technology, product and platform-related savings are expected to account for approximately 40% of the total €3.7 billion in annual run-rate synergies, while purchasing - benefiting principally from scale and best price alignment - will represent a further estimated 40% of the synergies. Other areas, including marketing, IT, G&A and logistics, will account for the remaining 20%. These synergy estimates are not based on any plant closures resulting from the transaction. It is projected that the estimated synergies will be net cash flow positive from year 1 and that approximately 80% of the synergies will be achieved by year 4. The total one-time cost of achieving the synergies is estimated at €2.8 billion.

Those synergies will enable the combined business to invest significantly in the technologies and services that will shape mobility in the future while meeting the challenging global CO2 regulatory requirements. With an already strong global R&D footprint, the combined entity will have a robust platform to foster innovation and further drive development of transformational capabilities in new energy vehicles, sustainable mobility, autonomous driving and connectivity.

The merged entity will benefit from an efficient governance structure designed to promote effective performance, with a Board comprised of 11 members, the majority of whom will be independent [7]. Five Board members will be nominated by FCA and its reference shareholder (including John Elkann as Chairman) and five will be nominated by Groupe PSA and its reference shareholders (including the Senior Non-Executive Director and the Vice Chairman). At closing the Board will include two members representing FCA and Groupe PSA employees [8]. Carlos Tavares will be Chief Executive Officer for an initial term of five years and will also be a member of the Board.

Carlos Tavares, Mike Manley and their executive teams have a strong track record in successfully turning around companies and combining OEMs with diverse cultures. This experience will support the speed of execution of the merger, underpinned by the companies’ strong recent performances and already robust balance sheets. The merged entity will maneuver with speed and efficiency in an automotive industry undergoing rapid and fundamental changes.

The new group’s Dutch-domiciled parent company will be listed on Euronext (Paris), the Borsa Italiana (Milan) and the New York Stock Exchange and will benefit from its strong presence in France, Italy and the US.

Under the proposed by-laws of the combined company, no shareholder would have the power to exercise more than 30% of the votes cast at shareholders’ meetings. It is also foreseen that there will be no carryover of existing double voting rights but that new double voting rights will accrue after a three-year holding period after completion of the merger.

A standstill in respect of the shareholdings of EXOR N.V., Bpifrance [9], Dongfeng Group (DFG) and the Peugeot Family (EPF/FFP) will apply for a period of 7 years following completion of the merger, except that EPF/FFP will be permitted to increase its shareholding by up to a maximum of 2.5% in the merged entity (or 5% at the Groupe PSA level) by acquiring shares from Bpifrance and/or DFG and/or on the market [10]. EXOR, Bpifrance and EPF/FFP will be subject to a 3-year lock-up in respect of their shareholdings except that Bpifrance will be permitted to reduce its shareholdings by 5% in Groupe PSA or 2.5% in the merged entity. DFG has agreed to sell, and Groupe PSA has agreed to buy, 30.7 million shares prior to closing (those shares will be cancelled). DFG will be subject to a lock up until the completion of the transaction for the balance of its participation in Groupe PSA, resulting in an ownership of 4.5% in the new group.

EXOR, Bpifrance, the Peugeot Family and Dongfeng have each irrevocably committed to vote in favor of the transaction at the shareholders’ meetings of FCA and Groupe PSA.

Before closing, FCA will distribute to its shareholders a special dividend of €5.5 billion while Groupe PSA will distribute to its shareholders its 46% stake in Faurecia. In addition, FCA will continue work on the separation of its holding in Comau which will be separated promptly following closing, for the benefit of the shareholders of the combined company. This will enable the combined group’s shareholders to equally share in the synergies and benefits that will flow from a merger while recognizing the significant value of both Groupe PSA and FCA’s assets and strengths in terms of market share and brand potential. Each company intends to distribute a €1.1 billion ordinary dividend in 2020 related to fiscal year 2019, subject to approval by each company’s Board of Directors and shareholders. At closing, Groupe PSA shareholders will receive 1.742 shares of the new combined company for each share of Groupe PSA, while FCA shareholders will have 1 share of the new combined company for each share of FCA.

Completion of the proposed combination is expected to take place in 12-15 months, subject to customary closing conditions, including approval by both companies’ shareholders at their respective Extraordinary General Meetings and the satisfaction of antitrust and other regulatory requirements.

Groupe PSA CEO Carlos Tavares and FCA CEO Mike Manley

Carlos Tavares, Chairman of the Managing Board of Groupe PSA, said: “Our merger is a huge opportunity to take a stronger position in the auto industry as we seek to master the transition to a world of clean, safe and sustainable mobility and to provide our customers with world-class products, technology and services. I have every confidence that with their immense talent and their collaborative mindset, our teams will succeed in delivering maximized performance with vigor and enthusiasm.”

Mike Manley, Chief Executive Officer of FCA, added: “This is a union of two companies with incredible brands and a skilled and dedicated workforce. Both have faced the toughest of times and have emerged as agile, smart, formidable competitors. Our people share a common trait - they see challenges as opportunities to be embraced and the path to making us better at what we do."

[1] Represents FCA Net Revenues, excluding Magneti Marelli, and Groupe PSA Revenue excluding Faurecia Revenue to Third Parties

[2] In compliance with the Dutch corporate governance code

[3] Bpifrance shall include jointly Bpifrance Participations S.A. and its wholly-owned subsidiary Lion Participations SAS

[4] Represents FCA Net Revenues, excluding Magneti Marelli, and Groupe PSA Revenue excluding Faurecia Revenue to Third Parties

[5] Represents FCA Adjusted EBIT, excluding Magneti Marelli, and Groupe PSA Recurring Operating Income excluding Faurecia

[6] Excluding Faurecia and Magneti Marelli

[7] To meet the objective of having a “majority of independent directors”, 5 out of 9 non-executive directors need to be independent

[8] Employee representatives would be defined based on legal requirements at all levels

[9] Bpifrance shall include jointly Bpifrance Participations S.A. and its wholly-owned subsidiary Lion Participations SAS

[10] Up to 1% of the shares of the merged entity plus the percentage of shares sold by Bpifrance, other than to the Peugeot Family (subject to the overall maximum of 2.5%)

Groupe PSA and FCA plan to join forces to build world leader for new era in sustainable mobility

Discussions have opened a path to the creation of a new group with global scale and resources owned 50% by Groupe PSA shareholders and 50% by FCA shareholders. In a rapidly changing environment, with new challenges in connected, electrified, shared and autonomous mobility, the combined entity would leverage its strong global R&D footprint and ecosystem to foster innovation and meet these challenges with speed and capital efficiency.

• Combination would create the 4th largest global OEM in terms of annual unit sales (8.7m vehicles)
• At its inception, the combined company would realize among the highest margins in the markets where it would operate, based on FCA’s strength in North America and Latin America and Groupe PSA’s in Europe
• Combination would unite the groups’ respective brand strengths across Luxury, Premium, Mainstream Passenger Car, SUV and Trucks & Light Commercial – making them stronger together
• Merged entity would bring together the companies’ extensive and growing capabilities in the technologies shaping the new era of sustainable mobility, including electrified powertrain, autonomous driving and digital connectivity
• Approximately €3.7 billion estimated annual run-rate synergies without any plant closures resulting from the transaction
• Highly respected combined management team recognised for exceptional value creation and with proven success in previous OEM combinations
• Dutch parent company Board would have balanced representation and a majority of independent Directors. John Elkann as Chairman and Carlos Tavares as CEO and member of the Board

Supervisory Board of Peugeot S.A. and the Board of Directors of Fiat Chrysler Automobiles N.V. (“FCA”) (NYSE: FCAU / MTA: FCA). have each unanimously agreed to work towards a full combination of their respective businesses by way of a 50/50 merger. Both boards have given the mandate to their respective teams to finalize the discussions to reach a binding Memorandum of Understanding in the coming weeks.

The plan to combine the Groupe PSA and FCA businesses follows intensive discussions between the senior managements of the two companies. Both share the conviction that there is compelling logic for a bold and decisive move that would create an industry leader with the scale, capabilities and resources to capture successfully the opportunities and manage effectively the challenges of the new era in mobility.

The proposed combination would create the 4th largest global OEM in terms of unit sales (8.7 million vehicles), with combined revenues of nearly €170 billion[1] and recurring operating profit of over €11 billion[2] on a simple aggregated basis of 2018 results excluding Magneti Marelli and Faurecia. The significant value accretion resulting from the transaction is estimated to be approximately €3.7 billion in annual run-rate synergies derived principally from a more efficient allocation of resources for large-scale investments in vehicle platforms, powertrain and technology and from the enhanced purchasing capability inherent in the combined group’s new scale. These synergy estimates are not based on any plant closures.

It is projected that 80% of the synergies would be achieved after 4 years. The total one-time cost of achieving the synergies is estimated at €2.8 billion.

The shareholders of each company would own 50% of the equity of the newly combined group and would therefore share equally in the benefits arising from the combination. The transaction would be affected by way of a merger under a Dutch parent company and the governance structure of the new company would be balanced between the contributing shareholders, with the majority of the directors being independent. The Board would be composed of 11 members. Five Board members would be nominated by FCA (including John Elkann as Chairman) and five would be nominated by Groupe PSA (including the Senior Independent Director and the Vice Chairman)[3]. The Chief Executive Officer would be Carlos Tavares for an initial term of five years and he would also be a member of the Board.

Carlos Tavares said: “This convergence brings significant value to all the stakeholders and opens a bright future for the combined entity. I’m pleased with the work already done with Mike and will be very happy to work with him to build a great company together.”

Mike Manley said, "I'm delighted by the opportunity to work with Carlos and his team on this potentially industry-changing combination. We have a long history of successful cooperation with Groupe PSA and I am convinced that together with our great people we can create a world class global mobility company."

The new group’s Dutch-domiciled parent company would be listed on Euronext (Paris), the Borsa Italiana (Milan) and the New York Stock Exchange and would continue to maintain significant presences in the current operating head-office locations in France, Italy and the US.

It is proposed that the by-laws of the new combined company would provide that the loyalty voting program will not operate to grant voting rights to any single shareholder in the Shareholders Meeting exceeding 30%[4] of the total votes cast. It is also foreseen that there would be no carry over of existing double voting rights but that new double voting rights would accrue after a three-year holding period after completion of the merger.

A standstill in respect of the shareholdings of EXOR N.V., Bpifrance Participations SA, DFG and the Peugeot Family would apply for a period of 7 years following completion of the merger. EXOR, Bpifrance Participations and the Peugeot Family would be subject to a 3-year lock-up in respect of their shareholdings except that the Peugeot Family would be permitted to increase its shareholding by up to 2.5% during the first 3 years following the closing, only by acquiring shares from Bpifrance Participations and DFG.

Prior to the completion of the transaction, FCA would distribute to its shareholders a special dividend of €5.5 billion, as well as its shareholding in Comau. In addition, prior to completion, Peugeot would distribute to its shareholders its 46% stake in Faurecia. This would enable the combined groups’ shareholders to equally share in the synergies and benefits that would flow from a merger while recognizing the significant value of FCA’s differentiated platform in North America and strong position in Latin America, including its market-leading margins in those regions. It would also reflect the added value that FCA’s higher-end global brands Alfa Romeo and Maserati would bring given their substantial development potential.

Extended portfolio would cover all market segments with iconic brands and strong products based on rationalized platforms and optimization of investments.

Proposal would be submitted to the information and consultation process of the relevant employee bodies, and would be subject to customary closing conditions, including final board approvals of the binding Memorandum of Understanding and agreement on definitive documentation.

Groupe PSA Q3 2019 Results

Q3 2019 Group revenue growth

• Group Q3 revenue up 1% at €15.6 billion;
• Automotive division [1] revenue up 0.1% at €11.8 billion;
• New growth of market share in Europe : +0.1 pt [2]

Groupe PSA revenue amounted to €15,579 million in Q3 2019 compared to €15,428 million in Q3 2018.

Automotive division revenue amounted to €11,824 million up by 0.1% compared to Q3 2018. A strong product mix (+4.4%) as well as positive price conditions (+1.0%) more than offset the decrease of sales to partners (-3.2%), the negative impact of exchange rates (-0.8%) including hyperinflation in Argentina as well as volumes and country mix (-0.7%) and others (-0.6%). Strong product mix stems from the success of the group’s last launches in particular Citroën C5 Aircross, Peugeot 508, DS 3 CROSSBACK and Opel /Vauxhall Combo.

Group has sold 674,000 cars in the world in Q3 2019 while continuing to prioritize profitability and to prepare efficiently the 2020 regulatory deadlines.

Total inventory, including independent dealers and importers [3], stood at 574,000 vehicles at the end of September 2019, down 29,000 units compared to end of September 2018.

Faurecia revenue was up 4.3% at €4,185 million.

Market outlook: in 2019, the Group anticipates a decrease by 1% of the automotive market in Europe, by 5% in Latin America, by 7% in China and by 2% in Russia.

Operational outlook (unchanged):

Groupe PSA has set the target to deliver over 4.5% Automotive recurring operating margin[4] on average for the period 2019-2021.

[1] Automotive Division (PCDOV)

[2] Q3 2019 vs Q3 2018, Europe 30

[3] Including Peugeot importers outside Europe

[4] Automotive Division (PCDOV) recurring operating income related to revenue