The Board of Directors of Renault Group has decided to suspend Renault Group activities in its manufacturing plant in Moscow as of 23 March. Regarding its stake in AVTOVAZ, Renault Group said that it is assessing the available options, taking into account the current environment, while acting responsibly towards its 45,000 employees in Russia.

Renault Group already implements the necessary measures to comply with international sanctions.

As a result of the suspension, Renault Group has to revise its 2022 financial outlook with:

• A Group operating margin of around 3% (vs ≥ 4% previously);

• A positive automotive operating free cash flow (vs ≥ €1 billion previously).

A non-cash adjustment charge amounting to the accounting value of the consolidated intangible assets, property, plant and equipment and goodwill should be recorded at the time of the 2022 first half results. As of 31 December 2021, this value amounted to €2.195 billion.

Renault was the first company to start assembling foreign-make vehicles in Russia; the Russian company was created in partnership with the Moscow government in 1998. Renault and AVTOVAZ entered a strategic partnership in 2008, in which Renault invested US$1 billion for 25% + 1 share of AVTOVAZ’s shares.