Renault-Nissan Alliance Posts Record EUR2.9B Synergies in 2013 Ahead of Launch of First Common Module Family Vehicles

Renault-Nissan Alliance

Renault-Nissan Alliance Posts Record EUR2.9B Synergies in 2013 Ahead of Launch of First Common Module Family Vehicles

PR57259

PARIS and YOKOHAMA, Japan, July 2/PRN=KYODO JBN/ --

   

    - Purchasing, powertrain and vehicle engineering areas remain the biggest

      contributors to synergies

    - "Non-traditional" business functions, such as sales and marketing,

      increase contributions

    - Moving forward, synergies are expected to accelerate with "convergence" in

      four key business functions

    The Renault-Nissan Alliance posted record synergies of 2.87 billion euros

in 2013, up from 2.69 billion euros in the previous year. Purchasing,

powertrain and vehicle engineering remained the biggest contributors as the

Alliance geared up for the launch of its first Common Module Family (CMF)

vehicles.

    (Logo: http://photos.prnewswire.com/prnh/20140130/666713-a )

    Purchasing, which is jointly managed by Renault-Nissan Purchasing

Organization (RNPO), generated 1.036 billion euros in synergies. Vehicle

engineering, which relates to common platforms and components, accounted for

714 million euros. The co-development and exchange of powertrains accounted for

525 million euros.

    Synergies are derived from cost reductions, cost avoidance and revenue

increases. Only new synergies - not cumulative synergies - are taken into

account each year. Synergies help both Renault and Nissan meet performance

objectives and, significantly, enable the carmakers to deliver higher value

vehicles to customers around the world.

    (To learn more about 2013 synergies, watch this video:

http://www.media.blog.alliance-renault-nissan.com/news/5165.)

    CMF and emerging markets drive synergies

    Common Module Family

[http://blog.alliance-renault-nissan.com/search/node/CMF ] (CMF) is the

Alliance's unique system of modular architecture and an increasing source of

synergies.

    CMF enables Renault and Nissan to build a wide range of vehicles from a

smaller pool of parts, while at the same time increasing customer choice and

quality. Small vehicles are based on CMF-A, while mid-sized vehicles are CMF-B,

and the largest vehicles are CMF-C/D.

    In November 2013, Nissan began selling its first vehicle on CMF in the

United States; the new Rogue sports utility vehicle is built on CMF-C/D. The

following month, Nissan began selling the X-Trail crossover SUV in Japan, also

based on CMF-C/D. In February, Nissan began selling the Qashqai crossover in

Europe.

    The first model based on CMF at Renault will be the replacement for the

Espace, which will debut in 2015 on CMF-C/D.

    In 2013, the Alliance also began development work on CMF-A, the most

affordable category of cars. Production of CMF-A vehicles will begin in 2015 at

the Renault-Nissan Alliance plant in Chennai, India.

    For the full press release, go to:

http://www.media.blog.alliance-renault-nissan.com/news/5165.

    

    Contact:

    Mia Nielsen

    Renault-Nissan Alliance

    +33(0)6-10-83-31-33

    mia.nielsen@renault.com

    SOURCE: Renault-Nissan Alliance

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