INVESTOR PRESENTATION December, 2010 Investor Relations James - - PowerPoint PPT Presentation

INVESTOR PRESENTATION

December, 2010

Investor Relations James Palmer + 33 1 40 66 54 59 James.palmer@mpsa.com

PEUGEOT - UG-FR

Investor update – December 2010

2

This presentation may contain forward#looking statements. Such forward#looking statements do not constitute forecasts regarding the Company’s results or any other performance indicator, but rather trends or targets, as the case may be. These statements are by their nature subject to risks and uncertainties as described in the Company’s annual report available on its Internet website (www.psa#peugeot#citroen.com). These statements do not reflect future performance of the Company, which may materially differ. The Company does not undertake to provide updates of these statements. More comprehensive information about PSA Peugeot Citroën may be obtained on its Internet website (www.psa#peugeot#Citroën.com), under Regulated Information.

GROUP OVERVIEW

Investor update – December 2010

4

PSA Peugeot Citroën

• The company is listed on the Paris NYSE Euronext and employs 196 000 employees
• worldwide. Market cap. approximately of €6bn
• FY 2009 turnover of €48.4bn (9M 2010: €41.4bn, change 10/09: +17.3%)
• 3 188 000 vehicles sold worldwide in 2009 (2 664 000 vehicles in 9M 2010,

change 10/09: +12.2%)

• Europe’s No. 2 vehicle manufacturer with market share of 13.8% in 2009

(14,3% in 9M 2010) and a worldwide market share of 5.1% Two powerful, distinct and complementary brands >

Investor update – December 2010

5

Group worldwide sales

2009 9M 2010

2 159 000 WESTERN EUROPE 1 668 000

+5.4%

1 583 000

9M=

2009 9M 2010

RUSSIA 41 000 39 000

+18.6%

33 000

9M=

2009 9M 2010

CHINA 272 000 263 000

+39.9%

188 000

9M=

2009 9M 2010

LATIN AMERICA 232 000 205 000

+17.7%

9M= 174 000

WORLDWIDE SALES

2009 9M 2010

+12.2%

9M=

2 664 000 2 375 000 3 188 000

Investor update – December 2010

6

PSA Peugeot Citroën – 200 years of history

1992 1998 2001 2002 2005 2006 2008

DCAC joint venture set up with Dongfeng Motors to assemble Citroën ZX models in China. ECIA completes a friendly acquisition of equipment manufacturer Bertrand Faure. The new company, named Faurecia, is more than 50%

• wned by PSA Peugeot Citroën.

Porto Real production plant inaugurated in Brazil Joint venture DPCA created with Dongfeng Motors to expand cooperative production of Peugeot and Citroën models in China Joint PSA Peugeot Citroën# Toyota production plant inaugurated in Kolin, Czech Republic

2009

The cornerstone is laid for the Kaluga plant in Russia and an agreement is signed with Mitsubishi Motors Corporation Appointment of Philippe Varin as Chairman of the Managing Board

1976

The Peugeot Citroën group is created by the merger of Citroën SA and Peugeot SA, in which Peugeot takes over Citroën

1978 1979

PSA Peugeot Citroën acquires Chrysler Europe Creation of “Peugeot#Frères”. The Peugeot brothers convert a grain mill into a steel foundry

1810 1896

Armand Peugeot founds the company "Automobiles Peugeot" to continue to produce cars and trucks Creation of CREDIPAR; French finance subsidiary of PSA New Production plant inaugurated in Trnava, Slovakia

Investor update – December 2010

7

16.5 million diesel engines produced since 1998 More than 1.5 million units since 2006 SUVs since 2005 and now electric vehicles 75 000 Peugeot and Citroën SUVs produced Engines and mechanical sub#assemblies since 1966 Light commercial vehicles and MPVs 6.3 million vehicles produced since 1978

The company has well established valuable cooperation

DIESEL ENGINES PETROL ENGINES SUVs AND ELECTRIC VEHICLES PETROL ENGINES LIGHT COMMERCIAL VEHICLES AND MPVs 1.5 million compact city cars produced since 2005 COMPACT CITY CARS HYBRID COMPONENTS Development of hybrid components for front#wheel# drive vehicles

Investor update – December 2010

8

Non#automotive activities

Listed at Paris in the NYSE Euronext stock exchange 23.7% of H1 2010 Group’s recurring operating income

FINANCING & SERVICES TRANSPORT AND LOGISTICS

10.7% of H1 2010 Group’s recurring operating income 19% of H1 2010 Group’s recurring operating income

AUTOMOTIVE EQUIPMENT

Investor update – December 2010

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A step ahead in pioneering vehicles & services A global player An industry benchmark for operational efficiency

Ambitions and performance objectives

OUR AMBITIONS 30% Sales & Marketing 15% High growth markets 55% Production, Development & SG&A €3.3bn PERFORMANCE PLAN 2010A2012

CURRENT HIGHLIGHTS

Investor update – December 2010

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Key highlights YTD 2010

• Operating and financial performance restored

► Market trends better than expected ► Market share growth in Europe, Latin America and China ► Profitability restored in H1, Expectations raised for H2 & 2010 ► Solid financial structure and active optimisation of debt

• Progressing on our ambitions

► Building blocks in place in high growth markets to reach 50% sales by 2015 ► Products to support market share and pricing power ► Pioneering technologies to reduce CO2 emissions ► New co#operations to support growth and generate development synergies ► Performance plan delivering operational excellence

Investor update – December 2010

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Cars and light commercial vehicles – Market

Europe* China**

Q1 2010

• Q2 2010
• Latin America

Q1 2010

• Q2 2010

Q1 2010 Q2 2010

• * Europe = EU + EFTA + Croatia ** Only cars

10M 2010

• 10M 2010

10M 2010

• Market trends

A 5%

2010 FY Expectations

+ c. 10%

2010 FY Expectations

+ c. 20%

2010 FY Expectations

Investor update – December 2010

13

Market share growth Worldwide

> Increased market coverage > Success of new models

• 3.2%

Russia China* Latin America

• 5.8%
• 3.4%

Q3 2010 Q3 2009 Q3 2010 Q3 2009 Q3 2010 Q3 2009

Europe 30

2009 2008 10M 2010

* Only cars

Investor update – December 2010

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• H1 2009

H1 2010 Variation Revenues 23 497 28 394 +20.8% Recurring operating income/(loss) (826) 1 137 % of revenues #3.5% 4.0% Non–recurring operating income and (expenses) (506) (69) Operating income/(loss) (1 332) 1 068 Net financial income (expenses) (226) (241) Income taxes 470 (227) Share in net earnings of equity affiliates 24 137 Consolidated net income/(loss) (1 064) 737 Net income/(loss), Group share (962) 680 Earning per share (in euros) (4.24) 3.00

Group results

Automotive recurring operating income: break even in H2 Group recurring operating income: > €1.5bn for the full year 2010

Investor update – December 2010

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Strong Liquidity Position

• End 2009

End H1 2010 Cash and cash equivalents 7 843 9 084 Current & non current financial assets 1 185 1 271 Total 9 028 10 355 BackAup facility (undrawn) 2 400 2 400 Total liquidity available 11 428 12 755 Net debt position 1 993 1 732 Total shareholders’ equity 12 447 13 845 Gearing ratio 16,0% 12,5%

Significant liquidity headroom Low gearing of 12.5%

Net debt position at 31st December expected at similar level

> >

Investor update – December 2010

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Renewed €2.4bn undrawn credit line maturing July 2013

Solid financial structure

!"#$ %"!& #

• Gross debt pro forma at 25.10.10

Weighted average remaining maturity: 5.3 years >

2011 2012 2013 2014 2015 2016 2033

1 735 435 1 551 3 066 777 1 075 600

Current ratings: Moody’s: Baa3/Negative/P3 Standard and Poor’s: BB+/Stable/B

NEW MODEL MOMENTUM

Investor update – December 2010

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New model momentum

PEUGEOT 3008 New CITROËN C3 CITROËN C3 Picasso PEUGEOT 5008

2009

Investor update – December 2010

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New model momentum

PEUGEOT RCZ PEUGEOT Hoggar PEUGEOT 408 CITROËN DS3 CITROËN C5 China CITROËN Aircross CITROËN C Zero PEUGEOT i0n PEUGEOT 508 et 508SW CITROËN DS4 PEUGEOT 3008 Hy4 New CITROËN C4

2010 End of 2010 2011

STRATEGY UPDATE

Investor update – December 2010

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Progress on our ambitions A global player 50% of vehicle sales in high growth markets by 2015 A step ahead Design, emissions, services Operational excellence €3.3bn Performance Plan

CHINA

Investor update – December 2010

23 Netherlands Austria Italy France Spain Australia Belgium Turkey Indonesia Romania Germany Russia Canada Mexico Malaysia Sweden Japan

CHINA

Poland Sth Korea USA South Africa Portugal UK Brazil Switzerland India Argentina Iran

Greece

Czech Rep 100 200 300 400 500 600 700 800 Number of PC on the roads

China

135 000 000 PC 25 000 000 PC

1 000 000 2 000 000 3 000 000 4 000 000 5 000 000 6 000 000 7 000 000 8 000 000

Passenger car equipment rate 2009 Passenger car market

Investor update – December 2010

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5 000 10 000 15 000 20 000 25 000 30 000 C H I N A U S A R U S S I A B R A S I L I N D I A J A P A N G E R M A N Y U K I T A L I A F R A N C E S P A I N I R A N K O R E A M E X I C O C A N A D A U K R A I N A U S T R A L I A M A L A Y S I A B E L U X A R G E N T I N A

China

• Source: PMT 29/10/2009

Passenger cars in 2020

Investor update – December 2010

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China

CHINESE EUROPEAN First time buyers 80% 13% Male ratio 83% 67% 2 person households 17% 52% Average number of persons per household 3.3 2.7 1 car per household 75% 38% Manager or above 53% 19% Average age 35 yrs 49 yrs Urban driver 89% 63%

Investor update – December 2010

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Strengthening of Dongfeng Peugeot Citroën Automobile > Second JV with Chang’an to expand Chinese footprint > Develop China Tech Center in Shanghai >

China

Managing Board member based in Shanghai >

Investor update – December 2010

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• Vehicle sales up 50% to 176 000
• Net income, Group share of €97m* vs €9m H1 09
• One new vehicle launch per year, per brand
• STT Hybrid vehicles from 2011
• Capacity increased to 450 000 units with opening
• f Wuhan 2 in November 2009
• Third plant to come on stream in 2013

* PSA 50% share of net profit consolidated as equity affiliate

PEUGEOT 408 CITROËN C5

Record performance in H1 2010 at DPCA > 5% market share in 2015 >

China

Investor update – December 2010

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PEUGEOT 207 Hatchback PEUGEOT 207 Sedan PEUGEOT 307 Hatchback PEUGEOT 307 Sedan PEUGEOT 508 PEUGEOT 408

PSA Peugeot Citroën in China Locally produced Peugeot Cars

Investor update – December 2010

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CITROËN C2 Hatchback 1 CITROËN Xsara Picasso CITROËN Triomphe CITROËN Elysée Hatchback CITROËN Quatre Hatchback CITROËN C5 CITROËN Elysée Sedan CITROËN Quatre Sedan

PSA Peugeot Citroën in China Locally produced Citroën Cars

Investor update – December 2010

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PSA Peugeot Citroën in China Imported cars

CITROËN C4 Coupé CITROËN C4 Picasso CITROËN C6 PEUGEOT 407 Coupé PEUGEOT 407 SW PEUGEOT 207 CC PEUGEOT 407 PEUGEOT 308 SW PEUGEOT 308 CC

Investor update – December 2010

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A global player: China

• 50#50 JV, capitalised at RMB 4bn
• Development of LCVs
• Launch of Citroën DS line
• Production capacity of 200k p.a.

at Shenzhen

• Final authorization expected early 2011

Second JV with Chang’an to expand Chinese footprint >

Investor update – December 2010

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China

CITROËN Metropolis PEUGEOT 3008 Hybrid4

Develop China Tech Center in Shanghai > Managing Board member based in Shangai >

• New product growth momentum
• Develop environmental leadership

OTHER STRATEGIC DEVELOPMENTS

Investor update – December 2010

34

Latin America and Russia

• New model momentum:

Peugeot Hoggar, Citroën Aircross

• 3yrs investment programme for product development

and plant capacity:

► Brazil: €530m ► Argentina: €170m

PEUGEOT Hoggar CITROËN Aircross PEUGEOT 308

Latin American development > Russian production underway >

• Assembly started at Kaluga plant with the Peugeot 308,

Citroën C4 since April 2010

• Production of SUVs since September 2010

Investor update – December 2010

35

Core range models for high growth markets

Vehicles: Production:

• Peugeot 408

Wuhan, China Palomar, Argentina

• Mid#size sedan

Vigo, Spain China & Latin America to follow

• “Global small” vehicle

Under consideration

PEUGEOT 408

A STEP AHEAD

Investor update – December 2010

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Progress on our ambitions A global player 50% of vehicle sales in high growth markets by 2015 A step ahead Design, emissions, services Operational excellence €3.3bn Performance Plan

Investor update – December 2010

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Design

PEUGEOT RCZ CITROËN DS3 CITROËN DS4 PEUGEOT 508

Investor update – December 2010

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Emissions

≈ 85%

Gasoline and diesel

2012 2011 2010 2009

≈ 15%

Electric and hybrid

2020 Diesel 207, C3 & DS3 99g CO2/km Gasoline

• 1l. 3 cyl

≤99g CO2/km Stop & Start up to

• 15%

CO2/km Electric vehicle Hybrid Plug-in < 50g CO2/km Full hybrid diesel «HYbrid4 diesel»

1 million vehicles ≤120g CO2/km by 2012 vs 750 000 in 2009 >

Investor update – December 2010

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Electric cars & scooters

CITROËN C#Zero PEUGEOT iOn CITROËN Berlingo Electric PEUGEOT E#vivacity Scooter

Investor update – December 2010

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Hybrid technologies

PEUGEOT 508 CITROËN DS5 Hy4 PEUGEOT 3008 Hy4

Investor update – December 2010

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Customer services and mobility

Customer services

• Insurance, maintenance, emergency call
• Fleet management system
• Launched in 26 European cities by year end
• 4 000 active clients in France
• No membership required
• Instant mobility
• Travel service

OPERATIONAL EXCELLENCE

Investor update – December 2010

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Progress on our ambitions A global player 50% of vehicle sales in high growth markets by 2015 A step ahead Design, emissions, services Operational excellence €3.3bn Performance Plan

Investor update – December 2010

45

High growth markets

15%

Sales & Marketing

30%

Production, Development & SG&A

55% €3.3bn Performance Plan 2010A2012 >

2010 2011 2012

€854m at 30.06.10 €1.1bn

Performance Plan delivery

Investor update – December 2010

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To sum up

Products to support market share and pricing power > Pioneering technologies to reduce CO2 emissions > Underpinned by operational excellence > Building blocks in place in high growth markets to reach 50% sales by 2015 >

APPENDIX I INDUSTRIAL STRATEGY

Investor update – December 2010

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Plant locations

Automobile manufacturing plants Mechanical component plants and foundries * Joint#ventures

Kolin * Trnava Bursa Kaluga * Wuhan * Porto Real Buenos Aires Rennes CharlevilleAMézières Mulhouse Sochaux Vesoul Vigo Mangualde Madrid Val di Sangro (Selvelsud *)

'(! )*$ ) +",- '!

Jeppener

( . "

Douvrin * Valenciennes Hordain (Selvenord *) Trémery Metz Poissy SaintAOuen Aulnay sousABois Xiangfan * Caen SeptAFons

Investor update – December 2010

49

Efficiency improvement to date

2010 2009 2008 2007

A12%

3 500 000 3 600 000 3 700 000 3 800 000 3 900 000 4 000 000 4 100 000 4 200 000 4 300 000 4 400 000 4 500 000

Surface downsizing >

• European capacity

>

2007 2008 2009 2010

A10%

• 2.8

2.6 2.4 2.2

Investor update – December 2010

50

Efficiency improvement to date in Europe

96 98 100 102 104 106 108 110 2007 2008 2009 2010

A8% Hours per vehicle >

21 000 18 800 16 400 14 500 13 900

13 000 17 000 21 000 25 000

Non producing workforce > A34%

White collar headcount at end of the year

• 2007

2008 2009 2010

Investor update – December 2010

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Performance Plan: operational KPI

Increase capacity utilisation in Europe from 81% in 2008 to 105% by 2012* Reduce production hours per vehicle by 20%

Capacity utilisation, manufacturing productivity

* Hourly capacity x 16 hours x 235 days

Investor update – December 2010

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Increase capacity utilisation in Europe

Capacity utilisation, Harbour index* >

* Hourly capacity x 16 hours x 235 days

105%

• Est. 89%

81%

2009 2010 2011 2012

Investor update – December 2010

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Surface downsizing

2010 2012

3.9 millions 3.6 millions

• A7%

Investor update – December 2010

54

Industrial process lead time optimisation

2010 2012

100

• 90

A10%

Investor update – December 2010

55

Energy reduction

2009 2012

78

• 100

A22%

Investor update – December 2010

56

Industrial quality improvement

2009 2012

“Right first time”

125 100

• +25%

Investor update – December 2010

57

0,5 1 1,5 2 2,5 3 3,5 4 4,5 5 2009 2012

Safety performance

Lost time incident frequency rate (LTIF)

1.5 4.6

Divided by 3

Investor update – December 2010

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Workforce flexibility and Industrial relations

• Well#established workforce flexibility

► New enhanced agreement in September 2010 ► Flexible night shift

• Manpower planning
• Upgrading competence & skills

Investor update – December 2010

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Reducing HPV

2009 2012

Hours per vehicle

100 80

• A20%

APPENDIX II POISSY PLANT CASE STUDY

Investor update – December 2010

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History of Poissy Production

1978

2008 1996

• 2004

1958 1938 Construction of the 1st Poissy Plant by FORD Launching of the new « Great Poissy Plant » by Simca (including stamping, welding and mechanical workshops)

Poissy joins PSA Peugeot Citroën Group

Industrial surfaces downsizing started Complete renewal of production process

Investor update – December 2010

62

Poissy « mother plant » for « B#segment »

CITROËN DS3 PEUGEOT 207

2010 >

Poissy is one of the 8* PSA Peugeot Citroën’s plants dedicated to the production of « B#segment » models

CITROËN New C3 PEUGEOT 207 SW

> 1 220 vehicles/day (2 shifts on each production line) > 4 500 employees > 1 500 apprentices and temporary workers

* Aulnay, Buenos Aires, Madrid, Mulhouse, Porto Real, Trnava, Wuhan

Investor update – December 2010

63

Poissy’s process key facts

• One of the five

stamping shops

• f the Group
• Daily production:

121 000 parts of which 60% shipped to others PSA plants

Stamping shop

>

• Laser geometrical

quality control after each stage (platform, bodyshell, body in white)

• 100% of welding

points are performed by robots

Welding shop

>

• Using water based
• colours. The 1st

compact process among PSA Group (without priming)

• European

benchmark for solvents emissions

• Production of two

tone vehicles

Paint shop

>

• Quality guaranteed

by autocontrol alert system available for each operator (Andon)

• Final quality

checking line (1 500 controls points within 45 minutes)

Assembly lines

>

Investor update – December 2010

64

Description of the downsizing process

• f the industrial surfaces

1 2 3 5 6 4 JANUARY 2009

Stamping shop Stamping shop Welding shop Welding shop Assembly lines Assembly lines Assembly lines Assembly lines Logistic Logistic Paint shop Paint shop

Investor update – December 2010

65

Description of the downsizing process

• f the industrial surfaces

ALL THE PRODUCTION PROCESS CONCENTRATED INTO 4 BUILDINGS 1 2 3 4 2013

Stamping shop Stamping shop Assembly lines Assembly lines Assembly lines Assembly lines Paint shop Paint shop Welding shop Welding shop

Investor update – December 2010

66

Benefits of downsizing

2010 2013 Process surfaces 600 000 500 000 Lead time 25 20 Energy !"#$ 1 250 1 000 Cost improvement of 207 successor #% actual 207 & 100 75

APPENDIX III Q3 2010 REVENUES ANALYSIS

Investor update – December 2010

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Q3 2010 key highlights

• Consolidated revenues up 10.3% vs Q3#2009 (+4.3% like for like)
• Automotive Division revenues up 2.3%

► Positive new car positive pricing/mix of +4.3% ► Sound inventory rotation of 61 days

• Market share growth in Europe, Latin America and China
• Sustained recovery at Faurecia, with revenue up 44.1% (11.5% like for like)

Investor update – December 2010

69

Q3 and 9 month revenues

• Q3# 09

Q3A10 Change 10/09 like for like 10/09 9M # 09 9M A10 Change 10/09 like for like 10/09 Automotive 9 256 9 465 +2.3% # 27 914 30 639 +9.8% # Faurecia 2 268 3 267 +44.1% +11.5% 6 648 10 093 +51.8% +21.6% Gefco 701 794 +13.3% # 2 096 2 509 +19.7% # Banque PSA Finance 458 464 +1.3% # 1 373 1 383 +0,7% # Other businesses and intra#company eliminations (901) (997) # # (2 752) (3238) # Total revenues 11 782 12 993 +10.3% +4.3% 35 279 41 386 +17.3% +11.8%

Investor update – December 2010

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Automotive: Worldwide unit sales

' Q3 # 09 Q3A10 Change 10/09 9M # 09 9M A 10 Change 10/09 Europe 518 462 #10.9% 1 583 1 668 +5.4% Russia 9 17 +82.9% 33 39 +18.6% Latin America 62 78 +26.3% 174 205 +17.7% Rest of the world 36 56 +60.7% 101 142 +39.8% Assembled vehicles (excluding China) 625 613 A1.8% 1 891 2 054 +8.6% China 69 86 +24.3% 188 263 +39.9% Total assembled vehicles 694 699 +0.8% 2 079 2 317 +11.4% Total CKD 94 109 +16.2% 295 347 +17.6% Total assembled vehicles + CKD units 788 808 +2.6% 2 375 2 664 +12.2%

Assembled vehicles and CKD units

Investor update – December 2010

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Q3A09 Q3A10

New car revenues New car revenues

+ 3.5% A 1.5% Others FX Volumes Price

6 898 6 881

A 1.8% Product mix + 5.8% A 0.3% Country mix A 5.5%

+ 0.2%

New car revenue analysis

Investor update – December 2010

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9MA09 9MA10

New car revenues New car revenues

+ 2.7% A 1.8% Others FX Volumes Price

22 718 20 678

+ 8.6% Product mix + 5.1% 0.0% Country mix A 4.7%

+ 9.9%

New car revenue analysis

Investor update – December 2010

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Inventory

/* !* ,"0 1" 2"*,"0 ()#$

61 days 62 days 53 days

/,"0 ""

92 days

APPENDIX IV 2010 FIRST HALF RESULTS

Investor update – December 2010

75

Highlights of the 2010 first half results

• Revenues up 20.8% to €28.4bn
• Strong recovery in Group recurring operating income: €1 137m (margin of 4%) versus loss
• f €826m in H1 2009
• Significant turnaround in automotive profitability: recurring operating income of €525m

(margin of 2.5%), versus loss of €904m in H1 2009, on the back of market share gains and the Performance Plan

• Market share rises to 14.5% from 13.7% in Europe, driven by successful new models
• Net Income, Group share of €680m, versus loss of €962m in H1 2009
• Free Cash Flow of €341m, net debt of €1 732m versus €1,993m at the end of 2009

Investor update – December 2010

76

Group margin performance

2004 2005 2006 2007 2008 H1 2009 H2 2009 #3.5% 2.0% 1.0% 3.0% 0.5% 3.4% 4.4% Group 2.0% 3.3% 0.6% 1.9% #0.5% #4.8% #1.8% Automotive Group: Strong recovery > Automotive: Return to positive margin > H1 2010 4.0% 2.5%

Group and Automotive recurring operating margin %

Investor update – December 2010

77

Automotive recurring operating income

(904)

Volume market demand*

H1 2009

Country & product mix Input costs Currency Market share Warranty, SG&A, fixed costs,

• wn network

Production & procurement R&D Others

H1 2010 +446 (62) +90 +101 +54 +18 +534 (1) +45 525 Operating environment +575 Performance +854

• Delivery on Performance Plan in line with €1.1bn target for 2010

>

+204

Net price effect

* Including stock variations

Investor update – December 2010

78

Turnaround confirmed with margin of 3.2% vs 1.9% in H2 2009 >

• H1 2009

H1 2010 Variation Revenues 4 380 6 826 55.8% Recurring operating income/(loss) (187) 217 % of revenues #4.3% 3.2% Non–recurring operating income and (expenses) (69) (2) Operating income/(loss) (256) 215 Net financial income (expenses) (97) (62) Consolidated income/(loss) for the period (361) 112 % of revenues #8.2% 1.6% Free Cash Flow (149) 257 Net financial position June 30, 2010 (1 467) (1 363)

Faurecia

Investor update – December 2010

79

GEFCO

• H1 2009

H1 2010 Variation Revenues 1 395 1 716 +23.0% PSA Peugeot Citroën 874 1 125 +28.7% Third parties 521 591 +13.4% Recurring operating income 7 122 % of revenues 0.5% 7.1% Non#recurring operating income and (expenses) (15) 1 Operating income/(loss) (8) 123

Strong pickAup in activity Solid margin of 7.1% > >

Investor update – December 2010

80

Increase in net banking revenues Benchmark cost of risk continues downward trend More than €2.7bn of funding raised year to date > > >

• H1 2009

H1 2010 Variation Net banking revenue 470 505 +7.4% Revenues 915 919 +0.4% Cost of risk (in % of average loans) 0.53% 0.47% Recurring operating income 244 269 +10.2% Number of new contracts (lease and financing) 449 463 435 041 #3.2% Total outstanding loans June 30, 2010 23.1bn 23.4bn +1.3%

Banque PSA Finance

*+,$&--."&-/*

Investor update – December 2010

81

H1 2009 H1 2010 FY 2012 Target Market share in Europe 13.7% 14.5% A B2B Market share in Europe 14.4% 15.1% 18% CO2/km: vehicles ≤ 120g/km 379 000 435 000 1 000 000 Service contracts (N°) 157 000 225 000 500 000 Mu by Peugeot (N° of outlets) 4 pilots 20 250

Sales & marketing (30%) >

Performance Plan delivery

Investor update – December 2010

82

H1 2009 H1 2010 FY 2012 Target China market coverage 33% 34% 40% Latin America market coverage 41% 47% 57% Russia market coverage 44% 51% 77%

High growth markets (15%) >

Performance Plan delivery

Investor update – December 2010

83

H1 2009 H1 2010 FY 2012 Target Capacity utilisation in Europe 66% 89% 105% Hours per vehicle (2009 base 100) # A4% A20% Development productivity (2009 base 100) # A10% A20% Repeat components 30% 39% 50% Procurement by key suppliers 25% 35% 50%

Production, development & SG&A (55%) >

Performance Plan delivery

APPENDIX V BANQUE PSA FINANCE

Investor update – December 2010

85

BANQUE PSA FINANCE

• Wholly#owned subsidiary of PSA Peugeot Citroën, established in 1982;

building on a long experience of car financing since 1919

• Banking status in France since 1995
• Specialist auto finance company, comprehensive range of financial services:

financing, insurance, warranty extension, maintenance contracts

• Loan book : €23.4bn with 80% retail (incl. fleets) and 20% wholesale
• Continuous high profitability: net banking revenue : €944m,

recurring operating income of €498m in 2009 and a benchmark cost of risk of 0.47%

• High quality balance sheet with Basel II ratio of 13.8% as of December 2009
• Rated Baa1/BBB (negative/stable) or two notches above Peugeot S.A.
• Highly successful track record in the Eurobond market

Investor update – December 2010

86

Financing policy 1/2

• Matching of maturities between assets and liabilities
• Policy to secure a minimum 6 months of activity through cash and undrawn back#up facilities
• At June 30, 2010: €9.2bn of available liquidity
• Strict independence from the Industrial and Commercial activities of PSA Peugeot Citroën
• Diversification of funding sources

Bank facilities and longAterm capital markets issued in H1 2010 Benelux 3.8% Nordic countries 4.1% Switzerland 7.4% Spain & Portugal 9.2% Italy 13.6% UK & Ireland 13.7% Asia 1.3% USA 0.5% Germany & Austria 23.5% France 22.6% Others 0.3%

Investor update – December 2010

87 567 2 141 990 4 517 2 286 1 148 631 5 416 2 854 1 199 641 6 466

Financing policy 2/2

Diversification of funding sources

June 09

• Dec. 09

June 10

Stockholder’s equity + subordinated Other liabilities Bank facilities Others* financing Capital markets Securitization

3 038 2 471 8 091 8 215 4 277 3 179 2 256 5 256 2 009 9 481 3 845 3 367 2 565 4 557 2 190 11 160 3 385

External refinancing CD CP Bonds + BMTN EMTN ShortAterm LongAterm 1$2 3) $( & $

Sources of refinancing Capital markets June 09

• Dec. 09

June 10

Total assets 26 092 26 026 27 225

• /w external refinancing

20 583 20 591 21 293

June 09

• Dec. 09

June 10

Long#term capital markets 5 084 6 047 7 107 Short#term capital markets 3 131 3 434 4 053 Total 8 215 9 481 11 160

* Including SFEF and ECB refinancing