Indexed options work similarly to traditional stock options, with one exception: Rather than having the exercise price fixed at the market price on the date of grant, the exercise price varies based on the change in an appropriate stock market index, e.g.

FORBES: How To Salvage Stock Options

Peugeot, a founding member of the main French stock market index, the Cac-40, was demoted last year as a result of its tumbling share price.

BBC: Peugeot writes off 4bn euros as car market worsens