France’s CAC 40 Index Drops PSA

PSA Peugeot Citroen will be removed from France's benchmark blue-chip CAC 40 Index on Sept. 24, says transatlantic stock exchange NYSE Euronext.

Analysts had predicted the move because PSA shares have tumbled by three-quarters since July 2011 to €6.04 today, close to a 26-year low. The plunge has driven the carmaker's market capitalization down to €2 billion, the lowest of the companies in the index.

PSA has been part of the CAC 40 since the index was created 25 years ago. Criteria for listing include market cap, trading volume and number of available shares. The company will move to the less prestigious CAC Next 20 Index.