The Peugeot Citroen group has fired its chief executive Christian Streiff.
Streiff is the second boss of a major car company to face the axe over the weekend, along with General Motors boss Rick Wagoner.
The PSA Peugeot Citroen supervisory board yesterday decided to remove Mr Streiff from his position with immediate effect.
“The supervisory board has unanimously decided that the exceptional difficulties facing the automotive industry necessitate a change of management at the head of the group,” president of the Peugeot Citroen supervisory board, Thierry Peugeot, said in a statement.
Streiff will be replaced in June by Philippe Varin, the man credited with turning around the fortunes of Anglo-Dutch steel firm Corus over the past five years.
Until then, the responsibilities of chief executive for the group will be assumed by Roland Vardanega, senior vice-president of industry and components.
Despite the fact that Peugeot Citroen recently announced a net loss of €343m (£320m), Streiff described the decision to remove him as ‘incomprehensible’, saying that his recent record of cost-cutting, stock reduction and new product launches has been well received by the financial community.