GM may be forced to write down value

GENERAL MOTORS may be forced to write-down the value of its recent tie-up with PSA Peugeot Citroën as the twin French companies…

GENERAL MOTORS may be forced to write-down the value of its recent tie-up with PSA Peugeot Citroën as the twin French companies slide ever deeper into the red.

Since the deal was inked in February, PSA Group shares have shed 56 per cent of their value, meaning that GM has effectively lost half its investment.

It probably won't mean the end of the collaboration though; incoming Opel boss Steve Girsky has said that plans are being put in place to stop the slide, including developing the next Peugeot 508, Citroën C5 and Opel Insignia on a common platform with common engines.