Weak dollar threatens luxury brands.

Automotive News Europe,  June, 2002  by Wernle, Bradford

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The sharp fall of the dollar against the euro threatens one of European carmakers' last bastions of profitability.

While profits on new-car sales are under growing pressure in Europe, the strong American dollar made European cars super-sellers in North America in recent years. The result has been fat profits for companies such as BMW and Porsche.

But the dollar has fallen 9.4 percent against the euro since its high in January. European car companies say they are well protected by hedging strategies, at least for now. But analysts say a prolonged slump in the dollar's value ...

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