Posted: Sep 7, 2012 3:57 AM
Updated: Sep 7, 2012 4:01 AM
PARIS (AP) The NYSE Euronext stock exchange says that it will remove struggling carmaker PSA Peugeot Citroen from its CAC-40 index of leading French companies.
That's a blow for the iconic company, which has been a part of the index since it was created in 1987.
The index is supposed to be representative of the entire Paris exchange and companies are chosen based on their value and the volume of stock traded. Peugeot's market value has plummeted as it has tried to turn around its loss-making operations. Its stock has fallen more than 60 percent in the last year alone.
NYSE Euronext announced the move Thursday night. It takes effect Sept. 24. Peugeot will be replaced by Solvay, a Belgium-based chemical company.