France’s biggest carmaker, PSA Peugeot Citroen, has reported a six-month loss after its sales fell by more than a fifth compared with a year earlier.
The firm made a net loss of 962m euros ($1.4bn; £830m) between January and June, compared with a profit of 733m euros for the same period in 2008.
Sales were down 22%, and the company warned that losses would continue for the remainder of the year.
It does not expect European car sales to recover until the end of 2010.
The firm sacked former chief executive Christian Streiff in March.
Global car sales have fallen sharply over the past year as consumers have cut back on spending in the face of the worldwide recession.
Peugeot said it expected industry-wide European sales to drop 12% this year.
Source: BBC News