PARIS (AP) -- French automaker Renault said Friday it will cut production at five sites after sales in October plunged more than 14 percent from a year earlier amid fallout from the financial crisis.
Renault said it would temporarily close two production sites in France and two in Spain for at least 11 days between now and Jan. 3. It also plans to close a site in Romania for 17 days in November and December.
"The financial crisis became more acute with a strong impact on the sales network," Renault said in a statement.
The automaker said measures would include altering its manufacturing program to close the gap between inventory levels and market demand, such as by helping dealers cut prices on used cars in France.
"The production reduction we are engaging is our answer to the rough decline of the automotive market to adjust our inventory level to the expected sales volume," Michel Faivre-Duboz, senior vice president for supply chain worldwide, said in the statement.
"Our aim is to come back, at the end of 2008, at the same level as end of 2007," he said.
Another tactic will be paying the cost of transporting new vehicles that are exchanged between dealerships, Renault said.
Renault said sales in October plunged 14.1 percent from the same month a year ago.
Shares of Renault SA fell 2.04 percent to 18.70 euros ($23.70) by the close of Paris trading Friday.
