PEUGEOT is preparing a pan-European fleet programme to ensure the company's new 607 flagship car enjoys high residual values.

Under the plan, franchised dealers in several countries will receive financial support from the manufacturer each time they buy back a 607.

The plan follows extensive talks with influential business and fleet buyers in key markets in the run-up to the car's showroom debut, and underlines the important role the 607 is set to play in bolstering Peugeot's image as a high-range producer.

'We have been working with the business community in various countries since last September because it is important that this car is regarded as a total success,' said Peugeot chief executive Frederic Saint Geours.

'Our network will be able to use a special system to buy back used versions of the 607 so that the residual value remains very high. The programme will maintain this.'

In an exclusive interview, he told Fleet News Europe: 'It is very important in the fleet business to guarantee a residual value as high as possible so that you can have small figures for the overall cost of ownership.

'We are putting more support into this buy-back programme than we have ever done before because we're trying hard for this car to have good residual values. We want to ensure that every owner will be quite happy.'

Saint Geours declined to put a figure on the level of support available to dealers, saying it was confidential commercial policy and that it would vary according to the conditions in different countries.

'It will not be possible to operate exactly the same scheme in the UK as in France or Germany. Because the 607 will not be sold in large numbers, we will be able to follow very accurately what is happening with each car,' he said. (April 2000)