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February 05, 2003
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This Week:

• Porsche Carrera GT Makes World Debut in Geneva

• Opel Speedster Turbo Makes Its World Premier At The Geneva International Motor Show

• XC90 Is Pace-Setter in January Sales for Volvo ... 12.8 percent increase in North America

• BMW Group Opens New Engine Test Building - Modular Building Complex for Efficient Engine Development

• Toyota FCHV Hydrogen Fuel-Cell Vehicles Earning Top Grades In University Programs

• DaimlerChrysler Increases Operating Profit More Than Fourfold in 2002

• GM To Add H2 SUT To HUMMER Portfolio

• New Family Of Small Gasoline Engines in Douvrin, France

• Chrysler Group COO Wolfgang Bernhard Drives First All-New 2004 Chrysler Crossfire Off the Production Line

• Hella Forms Alliance With Japanese Auto Supplier

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New Family Of Small Gasoline Engines in Douvrin, France

End of 2005, PSA Peugeot Citroën will manufacture the new family of small gasoline engines, developed in cooperation with BMW Group, in Douvrin*, France. The new production unit will have a capacity of 2,500 engines a day. Paris, The engines, benefiting from the latest technologies, will be used in small and mid-range Peugeot and Citroën vehicles, as well as future MINI models. Ultimately, the new family of engines could equip a million vehicles a year. The engines will be produced using the "module" manufacturing process, developed for the 2001 launch of the 1.4-liter HDi common rail diesel engine. This process entails developing a highly integrated production unit, easily duplicable at other sites, that comprises machining lines for the main engine components (cylinder head, crankcase, crankshaft, and connecting rod) and the related assembly lines.

The new unit will cover around 60,000 square meters and will require an investment of some EUR 430 million. It will employ 850 people at full capacity.

Announced in July 2002, the cooperation between the two carmakers became active with the signature in December 2002 by Jean-Martin Folz, Chairman of PSA Peugeot Citroën, and Helmut Panke, Chairman of the Board of Management of BMW Group, on the cooperative agreement to develop and manufacture the new family of gasoline engines.

* Created in 1969, Française de Mécanique, located in Douvrin, is specialized in mass production of engines. With a workforce of more than 4,000, the mechanical components machining and assembly departments manufacture more than 7,600 engines a day for PSA Peugeot.

(January 31, 2003)