Renault SA, France’s second-biggest carmaker, said first-quarter revenue fell 12 percent as an intensifying car-market contraction in Europe that’s now in its sixth year overwhelmed delivery growth outside the region.
Euro-area services and factory output shrank for a 15th month in April as the currency bloc struggled to emerge from a recession, adding to pressure on the European Central Bank to do more to boost growth.
European car sales are sliding to a 20-year low after German concerns over the debt crisis sent demand plunging last month in the region’s biggest economy and removed the main buffer protecting automakers.
Renault SA, France’s second-largest carmaker, eliminated debt at the auto-manufacturing unit for the first time in its 14-year tie-up with Nissan Motor Co. as it held back on spending and refrained from cutting vehicle prices.
Renault SA, France’s second-biggest carmaker, finalized a deal with unions to cut its French workforce by 17 percent and freeze wages in exchange for not closing any plants in the country for three years.