Groupe PSA Will Enhance Purchasing Performance by Setting up a New Joint Purchasing Organization

Regulatory News:

Groupe PSA (Paris:UG):

The new joint purchasing unit will bring together Peugeot/Citroën/DS (PCD) and Opel/Vauxhall (OV) Purchasing and Supplier Quality Organizations in less than five months after the acquisition of OV.

The aim of the new unit is to increase Groupe PSA’s efficiency and purchasing power through economies of scale and value creation, thus boosting competitiveness. In the long term, purchasing will account for 30% of the synergies expected to result from the integration of OV into Groupe PSA.

Supplier relations will be simplified with the introduction of single contact persons for suppliers with a significant amount of business, together representing €38.8 billion annual purchasing volume in Europe.

The new unit will be operational by January 2018. It brings together all the multicultural PCD and OV teams.

Thanks to the experience acquired together with the two existing joint projects carried out since 2013 and one getting ready in the first half of 2018, Groupe PSA can enter this new phase with confidence and determination.

"The joint PCD and OV purchasing teams in Europe are committed to help the Group achieve its ambitious objectives. This integration will enable us to increase efficiency in our procurement processes and therefore contribute to the execution of our plans,” said Yannick Bézard, EVP Purchasing of Groupe PSA.

About Groupe PSA

The Groupe PSA designs unique automotive experiences and delivers mobility solutions to meet all client expectations. The Group has five car brands, Peugeot, Citroën, DS, Opel and Vauxhall, as well as a wide array of mobility and smart services under its Free2Move brand, aiming to become a great carmaker and the preferred mobility provider. It is an early innovator in the field of autonomous and connected cars. It is also involved in financing activities through Banque PSA Finance and in automotive equipment via Faurecia. Find out more at groupe-psa.com/en.

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