Renault will receive a loan of up to 5 billion euros

Renault will receive a loan of up to 5 billion euros

June 3, 2020 0 By autotimesnews

The company entered into an agreement with a group of banks.

According to the press service of Renault, the automaker has signed an agreement with a group of banks (BNP Paribas, Credit Agricole, HSBC France, Natixis and Societe Generale), under which the company will receive a loan of up to 5 billion euros under state guarantees.

The brand will be able to receive the amount either fully or partially in different shares by the end of the year. Initially, banks announced that the loan term is 12 months, but it can be extended for another three years. France, in turn, provides guarantees of up to 90% of the loan amount.

Note that in late May, the automaker said that the company intends to cut costs by more than 2 billion euros. Under this program, the brand will reduce 15,000 employees within three years, and will also reduce annual production capacity to 3.3 million cars.