Analysts look for big changes at Renault

Carlos Ghosn (right) isn’t expected to announce his strategy for Renault until February 9, but industry analysts are already doing some crystal ball-gazing to predict possible changes at the struggling French automaker.
A Reuters survey of analysts came up with a consensus estimate of $1.2 billion in cost reductions, and staff cuts of up to 10 percent. One-time costs and charges as part of restructuring, plus an absence of new models is expected to make 2006 a difficult year, regardless of the details of Ghosn’s strategy.

Analysts suggest that Ghosn’s strategy may include selling its interests in non-core businesses, such as Volvo’s truck operation.

Share This Photo X