CEO Tavares to retire in 2026
CFO, North American chief replaced in reshuffle
Moves follow profit warning last week
Shares down 4, around 45 drop year to date

MILANLONDON, Oct 11 Reuters Shares in FrenchItalian automaker Stellantis resumed their decline on Friday after the carmaker said CEO Carlos Tavares would retire in 2026 and announced wide management changes which failed to lift sentiment.

The moves came after the owner of brands including Peugeot, Fiat, Jeep and Ram last week cut its 2024 profit forecast, with an estimated cash burn of up to 10 billion euros 11 billion this year, and signalled possible reductions to its dividend and share buybacks in 2025.

European Union carbon emission rules impose 40 higher costs on the carmaking industry at a time when customers are reluctant to buy expensive electric vehicles, and Chinese EV competitors have further cost advantages, Tavares told a parliamentary committee in Rome on Friday.

This is generating unbearable tension he said.

Stellantis39; Milanlisted shares were down 2.5 at 1515 GMT, at their lowest since July 2022.

COMPLACENCY

Fabio Caldato, a portfolio manager at AcomeA SGR, which holds Stellantis shares, said management, after years of success, had been slow to adapt to changes in the market.

Complacency was their sin, Caldato said. They were slow to react to a worsening of the market landscape. That39;s why the management reshuffle had to be so deep.

As part of the reshuffle, Stellantis replaced…