2014 marked the start of a period of economic re-building for the PSA PEUGEOT CITROËN Group and the results of this are starting to emerge: an increase in vehicle sales volume, 2.2 billion Euros of free cash flow, debt-free, stock reduction and finally profitable automobile activity: all levers of the "BACK IN THE RACE" plan set out by President Carlos TAVARES. The strong results in the first quarter of 2015 provide further indication of the success of this plan.
Banque PSA Finance, privileged partner of the three brands of PSA Group, through its Wholesale and Retail activity is critical to the success of this plan. In this context, the relationship between BPF and the brands is, more than ever crucial to the success of the Group.
We are making strong progress towards this objective thanks to the new relationship with Santander Consumer Finance. The partnership was signed on the 10th July 2014 between Banque PSA Finance and Santander Consumer Finance, a major player in the European Banking sector. This new partnership marks a turning point for Banque PSA Finance and is the start of a new era for the bank.
This agreement was necessary to respond to the changes in our economic environment and to ensure that we can fund our activity in the most effective way. The strength and stability provided through the cooperation will allow us to become more competitive and improve our chances of success in the 11 joint ventures planned within Europe, the biggest market of our three brands.
The successful launches of the two joint ventures in France and UK at the beginning of February are already bearing fruit in terms of penetration and profitability. In addition, the MFSA granted permission for the launching of our Insurance joint ventures which started their activities on May 1st. We are on both sides determined to make a success of the 8 next launchings and this until the beginning of 2016.
All Banque PSA Finance and Santander Consumer Finance teams involved in the project have worked closely to launch this ambitious and exciting venture making BPF the privileged bank of the brands; this new partnership will lead to collective success for the PSA Group, the three brands and their dealers.
Chief Executive Officer of Banque PSA Finance