PSA reports 2.2% drop in sales

French car manufacturer PSA Peugeot Citroen SA has reported that the economic meltdown led to a 2.2% drop in the sales of its cars and light trucks last year.

The second largest automaker in Europe said that it sold 3.19 million assembled vehicles and kits in 2009 - down from 3.26 million vehicles sold the previous year.

The figure includes a 3.3% decline for the Peugeot brand and a 0.7% fall for Citroen-badged cars and light trucks.

In countries like France and Germany, the government's  "cash for bangers" scheme helped  the car market to increase sales amid the recession. But with the closing of the plan this year,  PSA is predicting that sales of cars might see a one-digit decline in average over the year.

PSA Peugeot Citroen SA is well known for its models such as the Peugeot 207 and Citroen C4 Picasso.

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