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Plans for a joint small-car program with GM are"under review", Paris-based Peugeot said on Wednesday as the company continues to lose ground to rivals in Europe.
"As a result, the announced mid-term (alliance) synergies may be readjusted downwards," Peugeot said in a statement.
Peugeot, a distant European second to Volkswagen by sales, is fighting to rein in losses by cutting domestic jobs and plant capacity while pursuing tie-up talks with Chinese partner Dongfeng Motor.
Revenue fell to 12.11 billion euros ($16.68 billion) in the three months ended Sept. 30 from 12.58 billion in the year-earlier period, Peugeot said.
The carmaker has continued to lose European market share this year to VW and other major competitors. Currency effects also contributed to the sales decline, it said.
Peugeot nonetheless reiterated its goal to cut 2013 operational cash consumption at least by half to 1.5 billion euros, with a further "very significant reduction" of cash consumption next year.
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