MESSAGE OF THE CHAIRMAN OF THE MANAGING BOARD G4-1 Faced with the challenges of automotive industry, we must be more Darwinian than ever, agile and strong of our 3 identity markers: performance, responsibility and transparency. CARLOS TAVARES The automotive industry is facing a number of challenges that we have identified through major trends. Groupe PSA integrates them already in everyday life: the fragmentation of the markets that requires being both global and local, the global awareness of climate change and the economy of sharing that write a right for all to Sustainable and affordable mobility, the connectivity and the autonomy of objects that open up an immense field of possibilities without compromising on security, the digitalization that revolutionizes our ways of thinking, the behavior of consumers that drives the development of our offers. Faced with these challenges, we must be more Darwinian than ever, agile and strong of our 3 identity markers: PERFORMANCE Only the performance can protect us… In a record time (2014-2016), Groupe PSA went from a situation of near bankruptcy to one of the most efficient economic players in its sector, both financially and socially. With a Group recurring operating margin of 6.1%, it also became the industry leader in the Dow Jones Sustainability Index in "We are confident in the momentum that our leadership can create, for the benefit of our customers and employees, and more broadly for our stakeholders." (1) Socially Responsible Investment. 2 GROUPE PSA I CORPORATE SOCIAL RESPONSIBILITY REPORT 2017 September 2017 and remains included in the world’s leading SRI (1) indexes. Financial and extra-financial performances feed each other and have enabled the PEUGEOT, CITROËN and DS AUTOMOBILES brands to meet the expectations of their customers by offering products that benefit from the strengths of our Core Technology Strategy, hailed for their environmental performance. In June 2017, the EB Turbo PureTech engine received, for the third year in a row, the “Engine of the year” award in the 1 l to 1.4 l category and contributed to the commercial success of the new PEUGEOT 3008, elected “Car of the Year 2017” and the new CITROËN C3, named “Best Buy Car of Europe 2018” by the Autobest Jury. In addition, our Core Mobility Services Strategy, mould of our new brand Free2Move that revolutionizes the access to mobility services, our equity investments in many startups, our new locations including Africa, Asia and the United States, our new partnerships have given the Group the momentum and confidence it needed to expand. To consolidate this double economic and societal performance, best protection against the vagaries of the markets, it was essential that we maintain our European foundation, as the basis of
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