French automakers get $11.8 billion bailout
Following in the footsteps of similar programs in the United States and the United Kingdom, the French government has approved a bailout of sorts for its domestic automakers and their financial arms. Portions of these funds are to be used to further the development of green automotive technologies, including hybrids and fully electric vehicles. The main condition to receiving this money is that the automakers must keep their French factories open and operational.
Here's a quick rundown of what's being doled out: Renault and PSA Peugeot Citroën will each get loans totaling $3.9 billion, while their captive financing units will each receive $1.3 billion in loan guarantees. This should help consumers looking to purchase cars get the credit that they need. Renault Trucks, which is a unit of Swedish truckmaker Volvo AB, has been awarded $640 million and auto suppliers with operations in France will get $785 million in loans.
[Source: Inside Line]
Reader Comments (Page 1 of 1)
gorr 3:28PM (2/11/2009)
This is another attemps to escape free business. The more state subsidies and controls and regulations the more they kill the poors. I know it sound not related but it is. All these 3 compagnies are already own and operated by the french goverment. The poors is the ones trying to get in business wothout subsidies, only private investors. These are private investors but investing with goverment (peoples) money for them and only for them, the others are terrorists.
Since the realease of the slayer records ' god hates us all' everyone is seeking the protection of the state to escape the influence of water.
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ZapPow 6:52AM (2/12/2009)
Renault and PSA Peugeot Citroën aren't owned and operated by the french government. The french state has a 15 % stake in Renault while about 63 % is owned by private entities. The rest is divided between Nissan, Renault's employees, and Renault itself. The french state doesn't have any part of PSA Peugeot Citroën, controlled by the Peugeot Family. Other shareholders are private banks, funds, employees. Renault Trucks has been sold to Volvo in 2001, Renault remaining with only 20 %.
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gorr 7:33AM (2/13/2009)
I knew that this site was own and operated and populated by state employees or lobbyists.
All we hear by you is tax, cannot replace toxic gasoline, non-poluting and very cheap hydrogen fuel is impossible and cannot be applied to cars, trucks, airplanes, ships, agricol and industrial machineries and electrical generation, green algae fuel is very costly and is not ready and will take many time before it can hit the market, we import too much petrol from hostile regimes, While at the same time all actual car compagnies in the entire world are financed and managed by state employees and many many inventions and inventors are been banned to enter the market.
Even the green inventions and inventors that we see on youtube are been naysay in this green site.
State employees are a disease spreading fast and the last country having escaping communist mentality, u.s.a, is communist since 11 sept 2001. Since that time no new private business have appeared.