Peugeot's Nicolas to retire this year

Although the French manufacturer pulled out of the World Rally Championship at the end of last season, the company has been readying itself for a return to sportscar racing in 2007, when it will enter Le Mans with a diesel-powered prototype to rival Audi's new R10.

Nicolas' successor will be Michel Barge, currently Peugeot's director of product.

Barge, 60, joined Chrysler France in 1973, before taking on a succession of different responsibilities within Peugeot, in product, marketing, advertising and sales.

"I am passionate about all forms of motorsport, and I will make sure that Peugeot's sporting policies remain an intrinsic part of the brand, thanks to our customer competition department and the new Le Mans project," Barge said.

Nicolas, 61, was a successful rally driver in the 1907s before hanging up his helmet in September 1984 to take charge of Peugeot Talbot Sport's customer department.

He became sporting director in 1999, with responsibility for the WRC programme that netted three consecutive manufacturers' championships. He then took overall charge of Peugeot Sport on March 1 2005 from Corrado Provera.