GM and Peugeot Begin Alliance Projects by the End of 2012 image

By the end of 2012 General Motors and PSA Peugeot Citroen will start working on joint projects as part of their newly announced alliance.

The two companies declared that they each have appointed 5 executives to a combined steering committee designed to oversee “activities that are currently part of the alliance and any exploration of other potential areas of cooperation.”

The alliance was announced on February 29th and represents the companies’ effort to cut annual costs by at least $2 billion, beside their plans to return their Europe operations to profit. The alliance does not include the possible job cuts or plant closures, but will include pooled purchasing and research and development, as well as building vehicles on shared platforms to bring down costs.

The GM half of the committee includes Chief Financial Officer Dan Ammann, global product development chief Mary Barra, Vice Chairman Steve Girsky, who is leading restructuring efforts by the U.S. automaker in Europe, and Europe President Karl-Friedrich Stracke, all of whom are on the board of GM’s Opel unit in Europe, and global product planning vice president Stephen Carlisle.

The Peugeot members of the committee include head of research and development Guillaume Faury, head of purchasing Yannick Bézard and manufacturing chief Denis Martin, programs chief Jean-Christophe Quémard, and the French automaker’s chief financial officer Jean-Baptiste de Chatillon.