Rover Cars.........Volume 4 (LOCKED) - barchettaman
This follows on from the Rover Cars thread, vol 3, which can be found here:-

www.honestjohn.co.uk/forum/post/index.htm?t=30853

This thread is now closed and you should seek out volume 5....

One interesting bit of math that jumped out at me today. Gov are prepared to bung 6.5 million at MGRover to keep the workforce paid for a week. MGRover is, according to multiple media sources, losing 25 million a month. It strikes me that a company that can only break even by building its product without workers might not be on the soundest footing.
Rover's losses ... - madf

From today's DT: your new Rover has just lost a large % of its value...

tinyurl.com/4duwg


Rover owners lose two-year warranty
By Andrew English and Christopher Hope
(Filed: 13/04/2005)

MG Rover walked away from its new-car warranty responsibilities last night, leaving up to 150,000 owners to pay for any problems with their cars.

Rob Hunt, of the MG Rover administrator, explained in a statement that "the company no longer has sufficient funds to reimburse warranties".


Mounting concern: ?There isn't any cash? to cover warranties
He said three-year warranties "continue in the first instance to be a matter between dealers and their customers". But he suggested that they might consider buying another warranty from "an alternative provider".

Normally, warranty work would be performed free by MG Rover dealers and the bill would subsequently be paid by the company, which underwrites the first two years. The third year's warranty is dealer-backed mechanical breakdown insurance cover, arranged through a third-party specialist.

Some 150,000 drivers who bought cars in the past two years are affected.

Although MG Rover has not had a particularly high level of warranty claims, it has liabilities of up to £300 million to its trade creditors.

Any outstanding warranty bills are therefore "simply another liability, along with all the others", said one MG Rover source, "and there isn't any cash to cover these bills".

Richard Cort, the chairman of the MG Rover dealer council which represents 264 dealerships, said: "I'm very disappointed, but I think the show must go on.

"You've got to remember that, on average, every dealer is owed £100,000 in unpaid warranty payments and sales allowances. I'd like to hold the dealer network together and make sure our customers are looked after with a third-party warranty that is as cost-effective as possible."

Parts and servicing for the rest of the two million or so Rover cars on the roads should continue to be supplied as normal, although no free servicing agreements will be honoured.

MG Rover parts are supplied by the American company Cat Logistics, which claims that the supply of parts should be safe.

"We have in excess of £40 million worth of MG Rover parts in stock," said John Parkinson, the chairman of Cat Logistics.

"We bought the business six months ago, so we were aware of the risks, but we have direct relations with over 800 suppliers and if we can't resource the part there, we'll get the tool and take it somewhere else to have it made."

The families of workers at MG Rover's Longbridge plant will take their concerns to Downing Street this morning. Four coaches will ferry about 200 wives and girlfriends to London, where they will deliver a letter to No 10. They will urge the Government to continue attempts to save the company and ensure generous redundancy terms.

The protest has been organised by Liz Hanks, 39, and Gemma Cartright, 38.

Mrs Hanks's husband, Phillip, who works in the paint shop at Longbridge, said his wife was angry about the way workers were treated.

"The wives are seeing our livelihoods go down the drain and it's not the workers' fault," said Mr Hanks, 39. "We build quality cars and know MG Rover could be back as the world's best manufacturer."

Thousands of workers were sent home on a week's full pay on Monday while the administrator, Price Waterhouse Coopers, worked on securing their futures with unions and Department of Trade and Industry officials.

PWC was only stopped from laying off 5,300 workers when the Government handed over a £6.5 million loan to pay their wages for a week, without clearing it with the European Commission. The company's position will be reviewed in a few days.

Tony Blair said "we just have to do whatever we can to help" save production. But City sources said the possibility of a life-saving takeover deal by China's Shanghai Automotive were remote.





madf


Rover's losses ... - bimmer-driver
The above post agrees with what my uncle told me. He's chief technician at the local Rover dealer, and has been told to under no circumstances carry out any warranty work, unless they get written confirmation from the customer that they understand that they will have to pay.
Rover's losses ... - malteser
What about the Sale of Goods act and the laws of contract?
Rover may walk away, but I don't think the supplying dealer can!
--
Roger. (Costa del Sol, España)
Rover's losses ... - Garethj
Cat Logistics, which claims that the supply of parts should be safe.
"....if we can't resource the part there, we'll get
the tool and take it somewhere else to have it made."

Of course Cat don't own the tool, Rover / the administrators do so that statement may be difficult to back up!
Rover's losses ... - NowWheels
Of course Cat don't own the tool, Rover / the administrators
do so that statement may be difficult to back up!


But who else is going to pay more than scrap value for the tools?
Rover's losses ... - livefortheday
They could put them on eBay.
Rover's losses ... - blue_haddock
They could put them on eBay.


Just had a brain wave - why don't they put Rover on Ebay - highest bidder wins!
Rover's losses ... - NowWheels
Just had a brain wave - why don't they put Rover on Ebay - highest bidder wins!

Does Ebay allow negative bids?

(i.e. seller pays cash to have a liability taken off her hands)
Rover's losses ... - livefortheday
Only bidders with a positive feedback of 10 and over can bid on this item?!
Rover's losses ... - frostbite
Can anyone explain to me what the 'deputation' to Downing Street can possibly hope to achieve (except their pictures in the media)?
Rover's losses ... - patently
Can anyone explain to me what the 'deputation' to Downing Street
can possibly hope to achieve


They hope to demonstrate the first successful operation of a time machine by taking the entire country back 30 years to 1975.

With fortune, they will be partially successful and will only reach 1979. :-)
Rover's losses ... - NowWheels
With fortune, they will be partially successful and will only reach 1979. :-)


Back to Blondie having two number hits in the UK singles chart? Or were you thinking of Gloria Gaynor? ;-)
Rover's losses ... - livefortheday
"Call Me" the SAIC re-mix?
Rover's losses ... - NowWheels
"Call Me" the SAIC re-mix?


Nice one!

The Top 20 singles for 79 offer a lot of relevant possibilities.

"I don't like mondays" (Longbridge version "I don't like mon, tues, wed, thu, fri ...")

Cliff Richard / "We don't talk any more"

Lena Martell / "One day at a time"

The Bee Gees / "Tragedy"

Tho #18 probly isn't relevant: Gary Numan / "Cars"

... but Abba's Chiquitita seems ripe for a very minor rewrite:

"MG-Rover, tell me what's wrong
You're enchained by your own sorrow
In your eyes there is no hope for tomorrow
How I hate to see you like this
There is no way you can deny it
I can see that you're oh so sad, so quiet

Rover's losses ... - livefortheday
V good!

How about a bit of Aretha Franklin and "Rescue Me"

"Rescue me
Oh take me in your arms
Rescue me
I want your tender charms
'Coz I'm lonely and I'm blue
I need you and your love too"

Rover's losses ... - patently
Oh dear me.

I think I'd rather stick to Blondie, please.
Rover's losses ... - livefortheday
Last one (from me anyway):

Build me up Buttercup by The Foundations:

"Why do you build me up (build me up) Buttercup, baby
Just to let me down (let me down) and mess me around
And then worst of all (worst of all) you never call, baby
When you say you will (say you will) but I love you still
I need you (I need you) more than anyone, darlin'
You know that I have from the start
So build me up (build me up) Buttercup, don't break my heart"
Rover's losses ... - NowWheels
Oh dear me. I think I'd rather stick to Blondie, please.


Lots of MG-Rover stuff in Blondie:

"Backfired, your plan, your plan backfired"

"One way or another, I'm gonna lose ya'"

"Don't move too slow 'cause the man from Mars is through with cars"

"Don't go be bad 'cause you been had/Don't go away sad/Don't go away mad,/Just go away!"

"Once I had a love and it was gas/Soon turned out, had a heart of glass"
Rover's losses ... - mjm
How about Roy Orbison:--

It's (R)Over.

Golden days before they end ___
Rover's losses ... - PhilW
"How about a bit of Aretha Franklin and "Rescue Me""

Typical, wrong choice of Rover rescuer (again) - try Fontella Bass!!!
Rover's losses ... - Adam {P}
I feel very sorry for the families of the Rover workers but something annoyed me before.

One of the wives petitioned Downing Street and said something along the lines of,

"Rover can make fantastic cars up there with the best of the world."

I don't want to sound unconstructive but is she on about the right company?

Apart from the silly little companies, I can't think of a single car (new) that I want less than a Rover. (75 excluded).

Unhelpful I know but when has anything I've said been anything else?
--
Adam
Rover's losses ... - NowWheels
Apart from the silly little companies, I can't think of a
single car (new) that I want less than a Rover. (75
excluded).


Rover 25 or Hyundai Accent?

Rover 45 or Fiat Stilo?
Rover's losses ... - Adam {P}
Like I said. Even though the Accent is the epitomy of blandness, I'd have to take that over the 25.

Stilo or 45? Ok it's a Fiat but still no contest. That's how against 45's I am. That's how against Rover's I am.
--
Adam
Rover's losses ... - DL
£100K in unpaid warranty claims and sales incentives per dealer (on average..) etc - now that's gonna make a big hole in Dealer accounts.....

The Network must be very jittery at the moment...
--
groups.msn.com/honestjohn - Pictures say a thousand words.....
Rover's losses ... - Thommo
Whoever it was wanted a 75 V8 think they only need to hang on a week or two and they should get one for around £5,000.

Looks to me like existing stock will have to be sold on at whatever price can be had possibly at no reserve auctions then as far as the dealers are concerned for car sales thats it.

Repair work will still roll in whilst the parts last...
Rover's losses ... - livefortheday
It was me...and if I could get one for £5K I would definately be happy.....until it brokedown!

Could HJ, give us all any clues as to how he sees the prices for new Rovers? i.e.What would he pay for a V8?
Rover's losses ... - pd
The list is endless:

Come on Rover - Shania Twain
Phoenix from the Flames - Robbie Williams
How to be Dead - Snow Patrol
Take the Money and Run - Terrorvision
It Wont be Long - Alison Moyet
The Night I Fell Asleep at the Wheel - Barenaked Ladies
End of a Century - Blur
Behind the Wheel - Depeche Mode
This Train Don't Stop There Anymore - Elton John
Temporary One - Fleetwood Mac
Disappear - INXS
Against All Odds - Phil Collins
Stuck in a Moment You Can't Get Out Of - U2

etc. etc.
Rover's losses ... - clariman
They hope to demonstrate the first successful operation of a time
machine by taking the entire country back 30 years to 1975.


I was under the impression they already had!
Rover's losses ... - spikeyhead {p}
PWC was only stopped from laying off 5,300 workers when the
Government handed over a £6.5 million loan to pay their wages
for a week, without clearing it with the European Commission.


It seems to me that if the average wage of the workforce is in excess if £1000 per week its hardly surprising that the company isn't making a profit.
--
I read often, only post occasionally
Rover's losses ... - Heppubansan
I noticed that too, but I guess you have to take into account all the white collar workers (not everyone works on the assembly line). It does still seem very high!
Rover's losses ... - madf
Deja Vu?

DTI quicklinks
Rt. Hon. Stephen Byers - Former Secretary of State for Trade and Industry (Dec 1998 - Jun 2001)
"Extending Opportunity and Excellence in Manufacturing"
AEEU Conference on Manufacturing Britain 2001, West Midlands.


Friday, March 16, 2001

Other speeches


It's exactly a year ago that BMW announced that its intended sale of Rover and the potential closure of Longbridge.

Today I want to look at the lessons learned from Longbridge. About the importance of manufacturing and of an active industrial and regional policy. And to announce new measures for the car industry and a major package of support to strengthen the West Midlands economy.

One year on, it's useful to take stock of where we are at Longbridge. And what could have been.

One year ago people were predicting meltdown at Longbridge.

There were forecasts that the Alchemy bid could cut Rover's workforce to as low as 1,500, with production cut from 230,000 to as few as 50,000.

We faced the threat of closure of the Longbridge plant, with the loss of 9,000 direct jobs and 15,000 jobs in the supply chain and the wider economy.

The day after BMW's announcement, I came to Longbridge. I met the workforce, the unions and the management.

Understandably there was a sense of anger. Of frustration. And of helplessness.

The decisions taken by BMW in relation to Rover showed that in a time of globalisation we face two choices - a choice between uncontrolled change, forced by the markets and commercial pressures. Or a process of economic reform that delivers economic efficiency and social justice in which people and their communities can be genuine partners in change and not the innocent victims of change.

I was always clear. A Labour Government will always back the second option.

Some said there was no role for government. We should stand to one side. Do nothing, leave everything to the market.

But there were 24,000 good reasons why we didn't turn away. And that was the 24,000 jobs at stake.

That is why we brought together John Towers and his Phoenix consortium with BMW. That is why, the day after BMW announced its decision to sell Longbridge, I set up a Task Force, involving all the partners concerned with regenerating the areas most affected.

As a result of the decisions taken, and the hard work of many people in this region, the situation is very different one year on.

There are still 7,500 people employed at Longbridge - 5,500 at MG Rover and a further 2,000 at Longbridge Powertrain.

There have been job losses at Longbridge - around 1,500 overall. The huge majority have been voluntary and the Employment Service has been on hand to help with retraining and finding new work.

At the same time, the Task Force and local partners have helped to secure new investment to the region. Including Marconi's decision last year to build a new communications headquarters in the West Midlands, creating 2,200 new jobs.

There is now an air of optimism at Longbridge.

MG Rover have achieved sales of 203,000 in the last year - beating its target of 200,000. Achieved despite disruption caused by the sale, the associated negative publicity, and the move of Rover 75 production from Cowley to Longbridge.

And at the Geneva motorshow recently we saw new MG Rover products which will increase production: the launch of the Rover 75 estate and three new MG models.

I don't think even the most optimistic among us would have predicted this one year ago.

This is a tribute to the work of John Towers and the Phoenix Consortium. To local MPs like Richard Burden. And above all to the resilience and commitment of the Longbridge workforce and the local community.

A year ago some commentators claimed that the situation at Longbridge showed that manufacturing was no longer important for the UK economy.

I have always rejected that view.

A strong manufacturing sector is a vital and integral part of the economy.

It accounts for about a fifth of our national income with almost £150 billion of output per year.

Manufacturing employs around 4 million people directly and indirectly it employs two and half million in service sector jobs.

Increasingly, manufacturing involves complex processes to make high value added products, which are a source of sustained competitive advantage

Advances in manufacturing - whether new goods or new processes - can lead to productivity improvements across the whole economy.

It includes some of our most innovative businesses investing heavily in research and development.

Just look at aerospace, where employment has increased by a fifth - nearly fourteen thousand extra jobs - between 1998 and 2000.

We're seeing significant investment in other sectors too. Including cars, where last month there were announcements of new investment of £240 million by Ford at Bridgend and £200 million by General Motors at Ellesmere Port. Coming on the heels of the earlier announcements by Nissan and Toyota, this is further evidence that the UK remains a good place for the car industry to locate.

The AEEU and its members have, of course, made an important contribution to this success - which reflects the flexibility and skills of our workforce and a big improvement in productivity.

In the UK we have world class companies, plants and workers. We are world leaders in some sectors.

But we do need to do better. To extend manufacturing excellence. To raise productivity, innovation, and skills in all sectors.

And we all know that some industries are facing real pressures.

Global markets and the introduction of new technology mean that this is a period of major business change and restructuring.

All sectors have to adapt to compete in the future.

Change for business is nothing new but the pace of change can be threatening for industry and people.

As an active, enabling Government our task is to equip people to adapt to change, to help open up new opportunities for business and enable established industries to modernise.

The need for this new approach to industrial policy was clear in relation to Longbridge last year. It was clear that we had to move beyond the dogmatic distinctions that were made in the past.

When government was either interventionist - dictating to businesses and often standing in the way of growth and prosperity - or simply relied on market forces and a laissez-faire approach which didn't serve the national interest.

The plain truth is that businesses should run business.

But there are steps that governments can take to help create an environment that allows business to prosper, that give people the opportunity to realise their full potential.

In this world of great complexity and rapid change, we need an active industrial policy. Based on innovation, enterprise and skills, on maximising the potential of all parts of Britain and on exploiting the talents of all our people.

First and foremost industry needs economic stability.

For years we have had violent swings of the economic cycle.

Ten years ago inflation was over 8%. Interest rates were over 13%.

One million manufacturing jobs were lost in the early 1990s.

This Government will not return to those days.

Almost four years ago now, we reformed the whole basis of economic policy-making.

We took tough decisions early on to make the Bank of England independent, to put in place a proper fiscal framework, and to pay back the national debt.

As a result, inflation is the lowest for decades, and is the lowest in Europe. Long-term UK interest rates are around their lowest levels for over 35 years, converging with those of Germany.

I fully recognise the concerns of some sectors of manufacturing about the sterling-euro exchange rate.

Some have argued that joining the single currency would end all our difficulties.

Our policy is clear.

We remain committed to joining a successful single currency in principle. In practice the five economic tests must be met.

As the Chancellor said in October 1997 "the potential benefits are obvious - in terms of trade, transparency of costs and currency stability."

So in principle we would join but the economic conditions have to be right because this is essential to membership being in the national interest. Only then would we make a recommendation to the British people to join.

We are committed early in the next Parliament to assess whether or not these tests have been met. If they have been met then the final decision will be for the British people in a referendum.

That is our policy - it has not been changed and will not change.

It is a policy which is understood by business. It is clear to me that had we ruled out joining then investment decisions which have recently been made would not have been taken in favour of the United Kingdom.

The economic stability we have achieved now gives us a once in a generation opportunity. To build for the future on firm foundations. To establish lasting economic success.

As we cut the costs of economic failure - cutting public debt, reducing unemployment, and with low inflation - we are freeing up the finance necessary to invest in the infrastructure and high quality public services that our country so badly needs.

This means that, without risking our hard won stability, we are now investing in reforms to promote innovation and entrepreneurship and support dynamic manufacturing industry.

To be successful in this fast moving, dynamic economy, companies must innovate. Not just in products but processes, marketing and management.

We can not try to compete on labour costs and raw materials alone. We succeed when we add value to our products.

Employers and workers, together with their unions, need to work together to tackle these issues.

But Government also has a key role to play. A role which this Government takes very seriously.

That's why we will drive forward an active industrial policy.

To extend manufacturing excellence - investing in skills, making the most of new technology, supporting industries of the future, raising innovation in every region.

An industrial policy based on three clear steps.

First, putting in place the building blocks for the future.

We are boosting investment in UK science to ensure we remain at the cutting edge of research and that the science base is linked to industry. Over the next three years we are putting over £1 billion into science - on top of the £1.4 billion we have already invested.

We are investing in skills and training to ensure that the skills of our workforce meet the future needs of industry.

And we are investing £180 billion in the transport infrastructure industry needs to move goods quickly, efficiently and cleanly.

Second, we are creating a modern regulatory framework that drives innovation and encourages growth and increased productivity.

That means promoting competition, which provides a spur for firms to increase productivity.

And providing incentives for the sustained investment we need to improve productivity in manufacturing.

Enhanced capital allowances since 1997 and new tax credits to encourage investment and innovation have already saved business over £1 billion with a third of a billion pounds being saved by manufacturing.

In last week's Budget the Chancellor announced that we are now seeking views on a new tax credit aimed at boosting R&D and innovation in larger companies - particularly manufacturing businesses. This new credit is designed to complement the R&D tax credit for small companies introduced in April 2000.

And third, we are improving support for business. Providing world class, forward-looking business support for manufacturers to expand at home and overseas.

That's why my Department is working with a wide range of industry sectors to see how they can take advantage of the opportunities of e-commerce. To ensure that UK industry can reap the potential benefits of technological developments.

In sectors like aerospace, oil and gas, metals and chemicals we are supporting industry forum adaptation programmes, to enable industry to adopt best practice in production and supply chain management.

And in the car industry where today I can announce a major package of measures to help the industry modernise and compete.

We are providing £15 million towards the Foresight Vehicle Mobility programme, helping the industry develop safer, cleaner cars. And we are supporting a new industry initiative to set up a supply chain database to strengthen links between the car assembly and component supply parts of the sector.

These initiatives will help the industry to improve its competitive position and meet the challenges of the future. But in order to meet the challenges of the future, we need to do more.

That's why I am setting up a new industry led group to look at how, over the medium term, the vehicle industry's competitiveness will be improved.

Its job will be to come up with practical actions, not lots of analysis, and report to me in 6 months, not longer. Industry representatives and Government officials will work together on medium and long-term issues to actively promote more innovation and higher productivity in the car industry.

As we saw in relation to Longbridge, manufacturing is a regional issue. Its economic significance is greater in some regions than others. Some regions are still heavily dependent on particular industries or companies.

Manufacturing is less than 12% of GDP in London and around 16 per cent in the South East.

In contrast, here in the West Midlands manufacturing makes up over 29 per cent of the region's GDP. It represents 28% of regional GDP in the North East. And over 26 percent in the North West and Yorkshire and the Humber.

It is these regions which have the highest concentration of established industries. Industries which are facing the greatest restructuring. Which have the greatest need of modernisation and help in adapting to change.

As I announced at an AEEU seminar earlier this year, we are giving Regional Development Agencies in these regions additional funding to support innovation and enterprise.

Last week the Chancellor and Deputy Prime Minister announced challenging new targets for RDAs, including targets to raise productivity in their region and increase business innovation. And as from next year RDAs will have new flexibility to decide their own budget priorities to deliver these new targets.

Last month David Blunkett and I published a White Paper on enterprise, skills and innovation, in which we set out further measures to build regional capabilities - investing in skills, making the most of new technology, supporting industries of the future, raising innovation in every region.

Research and development is one of the key building blocks for business innovation and success. Yet there are significant variations in the levels of R&D across the country.

In 1997, investment by manufacturing business in R&D represented 9 per cent of gross value added in the South East, compared with around 2 per cent in Yorkshire and the Humber and the North East and just over 3 per cent in the West Midlands.

To help tackle this, in addition to the R&D tax credits I mentioned earlier, we will establish new University Innovation Centres to enable universities and businesses to collaborate on large scale research and development and boost levels of innovation and technology transfer. The first five involve companies such as BAe, Proctor & Gamble and Hewlett Packard.

And a network of Technology Institutes will provide advanced learning in IT and new technology, ensuring that people have the skills they need for the jobs of the future.

These initiatives will strengthen collaboration on cutting edge technology between universities and manufacturing industry.

But we need to be concerned not only with those industries at the leading edge.

We must also help more established industries to modernise and adapt to a changing world.

I announced last year that in each region we will establish a Manufacturing Centre of Excellence to respond to the needs of smaller manufacturing firms.

We will now build on that proposal to establish a new Manufacturing Advisory Service, providing practical, "hands on" help for smaller manufacturing firms who want to introduce world class manufacturing practices and technologies.

Here in the West Midlands we are complementing these initiatives with a package of measures, including proposals from the Rover Task Force, to modernise, diversify and regenerate the region?s economy.

I would first like to thank the Task Force members for all the good work they have done, especially Alex Stephenson and Advantage West Midlands who have led the Task force.

Last year I pledged £129 million to support good quality projects in the region, in the wake of BMW's decision to sell Rover.

Today I am announcing details of a £60 million package to support the main proposals from the Rover Task Force, which is the final part of this commitment.

Last year I said that we would support economic regeneration and job creation in the region. That's what this package is all about.

We will provide funding to set up a new regional automotive centre, providing a single location for the SMMT Industry Forum, and a showcase for West Midlands schools to encourage careers in engineering.

We are providing funds to boost apprenticeships in the region, and provide opportunities for those already working in the automotive industry to learn new skills.

Projects will also include schemes to encourage and assist businesses to research new market opportunities, develop new products, exploit new technology, and improve efficiency.

In addition, a number of projects are now being planned to support the potential development of three high-tech corridors in the region.

All these actions are aimed at modernising the automotive sector, and diversifying the economic base of the region, so that it can compete successfully with a world class workforce, and is not too reliant on one industry or a single employer

We need to build on the strengths and diversity of the West Midlands economy if we are to establish lasting economic success in the region.

This package of measures is designed to do exactly that.

We will help industry to adapt to change. To encourage the new industries of the future. And to help established industries modernise and compete in new markets.

Manufacturing matters to our country. Once the cradle of the industrial revolution, we can now be at the heart of the knowledge economy of the 21st century.

Across manufacturing, I believe that government, industry and trade unions learning from each other can meet the great challenge of change.





madf


Rover's losses ... - Morris Ox
Fascinating. Now get rid of it.
Rover's losses ... - Thommo
John Towers now claiming that he was never that interested but Byers talked him in to it and the business plan was done on the back of an envelope.
Rover's losses ... - patently
Rt. Hon. Stephen Byers - Former Secretary of State for Trade
and Industry (Dec 1998 - Jun 2001)
"Extending Opportunity and Excellence in Manufacturing"
AEEU Conference on Manufacturing Britain 2001, West Midlands.


Well found!

Does he have anything to add to this, I wonder?
Rover's losses ... - madf
Byers' reply Daily Torygraph again (I recommend registereing with their online website .. foc excellent search facility

tinyurl.com/45th8


I acted to save Rover supply chain jobs, says Byers
Reports by Christopher Hope, Business Correspondent (Filed: 14/04/2005)


Stephen Byers MP, the former trade secretary, yesterday insisted he had no regrets over his role in helping to broker the deal which saw collapsed car company MG Rover sold to the Phoenix Four five years ago.



Mr Byers has been criticised for his decision to support a sale of the Longbridge plant to four local businessmen - John Towers, Nick Stephenson, John Edwards and Peter Beale - rather than Jon Moulton's Alchemy Partners.

While Alchemy had planned to shut down the Rover production line and focus on the MG, with the loss of about 6,000 jobs, the Phoenix Four, who bought the company for just £10, promised to keep Rover going.

However, in the five years since then the four men have made up to £40m for themselves while MG Rover has lost hundreds of millions of pounds. Last Friday, MG Rover called in the administrator after takeover talks with China's Shanghai Automotive Industry Corporation failed.

Yesterday, in his first comments since the collapse, Mr Byers answered the following series of questions:

Telegraph: Mr Byers, why did you back the Towers bid for MG Rover in 2000? Do you regret your decision?

Stephen Byers MP: For these reasons I took my decision to support the Towers bid. The Towers bid was the only one which aimed to keep volume car manufacturing at Longbridge. Over the past five years over 6,000 people have been employed directly. The Alchemy bid would have cut the workforce to less than 2,000. The Towers bid also offered the best way forward for the supply chain. In 2000 it was estimated that around 25,000 people were employed in companies supplying goods and services to Longbridge. Since 2000 many in the supply chain, with the assistance of the Government, have had the time to diversify so that they are no longer solely dependent on Longbridge.

Had the Alchemy bid been successful there would have been no time for the supply chain to find new markets, putting at risk a large number of the 25,000 jobs in the supply chain.

T: Could the DTI have insisted on checks to stop the Phoenix Four making up to £40m from the loss-making car maker over the next five years?

SB: Phoenix did not receive any government funding for their deal with BMW. When no public money is involved the Government does not have the power to impose conditions on a commercial agreement entered into between two parties.

T: Do you feel responsible for MG Rover's problems now?

SB: The present problems primarily arise from the failure to conclude a deal with the Chinese company SAIC. At the time of the 2000 deal I made it clear that an alliance with a global partner was needed for Phoenix to have a long-term future.

T: Were you misled by the Phoenix Four in any way?

SB: Not to my knowledge.

T: What would you say to the MG Rover workforce facing the sack? Should the DTI let Longbridge close now?

SB: I know the Government is doing all it can to secure jobs and volume car manufacturing at Longbridge.

That is why it is working closely with the administrators and representatives of the workforce to achieve this objective.


madf


Rover's losses ... - Thommo
£25 million added to the bung. Should get us through to 6th May.
Rover's losses ... - NowWheels
Thanks for that, madf,

One of Byers' answers caught my eye:

"In 2000 it was estimated that around 25,000 people were employed in companies supplying goods and services to Longbridge. Since 2000 many in the supply chain, with the assistance of the Government, have had the time to diversify so that they are no longer solely dependent on Longbridge."

If that's even partly true, it does suggest that the last five years have not been entirely wasted.
Rover's losses ... - Garethj
>> If that's even partly true, it does suggest that the last
five years have not been entirely wasted.

It's a government press release, why should it be true? Did Yes Minister teach you nothing? ;-)
Rover's losses ... - livefortheday
I read that as the suppliers have spotted a dead horse when they see one and off their own backs have done something else.

The government assistance went to Rover not the suppliers. Yes Minister indeed.
Rover's losses ... - NowWheels
It's a government press release, why should it be true?
Did Yes Minister teach you nothing? ;-)


Yes Minister taught me a lot, which I use in my regular dealings with govt.

One of the things I've learnt is that while it usually doesm't pay govt to tell the whole truth and nothing but the truth, it definitely doesn't pay to tell complete porkies. The recipe is usually selective truth, with varying amounts of varnish -- just as commercial organisations do. (When did you last see a car-maker claiming that their new model is faster and more desirable, but that the ride is awaful and an awful lot of corners have been cut on build quality?)

That's what struck me about this one. In the midst of all the flannel, there is the claim that suppliers have been helped to use the last five years to prepare for the crunch. Even if they didn't get much help, it does seem to me that five years to prepare for the inevitable demise of (R)over must have been very useful for the component-makers.
Rover's losses ... - No Do$h
Thanks for that, madf,
One of Byers' answers caught my eye:
"In 2000 it was estimated that around 25,000 people were employed
in companies supplying goods and services to Longbridge. Since 2000 many
in the supply chain, with the assistance of the Government, have
had the time to diversify so that they are no longer
solely dependent on Longbridge."
If that's even partly true, it does suggest that the last
five years have not been entirely wasted.


So 25,000 man year/years x 5 years. 125,000 man years employment then ::phut::

Or with Alchemy you had approximately 1/3rd the workforce and I guess the same proportion of suppliers, so 42,000 man years of employment.

Which assumes no growth for a stripped-down, lean and focused MG.

Then factor in the wasted R&D on the rwd 75, the CityRover and talks with SAIC.

I can't help but think Byers would have been better off a Sellers....

ND. Not moderating, just Alan having his say.
Rover's losses ... - Phil I
Don the moderating hat ND and make some sense out of the last but one line above. Tks in Adv. then delete this post. Phil I
Rover's losses ... - NowWheels
So 25,000 man year/years x 5 years. 125,000 man years employment
then ::phut::


Except that maybe it's not phut for the suppliers, if they have had time to drum up new business rather than being wholly reliant on (R)over.

I don't know what's happened to the suppliers, but it seems to me that five years with the writing on the wall should have been much better than the immediate axe they faced before the P4 takeover, and more than many other smallish suppliers get when the big comnpany folds.

No doubt somebody with access to the appropriate data will do an analysis of what happens to the suppliers -- it'll make intersting reading.
Rover's losses ... - patently
Don't tell me that Rover's demise would have been a complete surprise 5 years ago.

It's been a basket case for 30 years.
Rover's losses ... - NowWheels
Don't tell me that Rover's demise would have been a complete
surprise 5 years ago.


Surely in the late 90s, when it had BMW's backing and several new models on the way (R45, 75, MINI), it didn't look like it was going to immediately implode?
Rover's losses ... - patently
Surely in the late 90s, when it had BMW's backing and
several new models on the way (R45, 75, MINI), it didn't
look like it was going to immediately implode?


It still looked like a basket case.

The 45 was always an out of date car tarted up to look new. The early reviews of the 75 were not good, and anyone could see that its design appealed more to the old than to the young. And the new MINI was a BMW model from day one - it retailed through BMW dealers, NW.
Rover's losses ... - Civic8
>>The 45 was always an out of date car tarted up to look new

I wonder if the same thing would have been said if they changed the engine and certain electronic parts..45 is as 400/200 let down by mechanical/electrical components..Some of the problems in design go way back to austin/morris.You only need to work on one (if you are old enough)To notice differences.I would state though that Rover 200 series is still going strong.As with rover tourer..In most cases 200 series only ends up in scrap yard due to HGF/Head split/Ecu.ie cost to repair exceed cars worth. If looked after they go on for ages.The 200 series may be outdated but its cheap good ride economical.and takes a lot in boot.
--
Steve
Rover's losses ... - NowWheels
>> Surely in the late 90s, when it had BMW's backing
and
>> several new models on the way (R45, 75, MINI), it
didn't
>> look like it was going to immediately implode?
>>
It still looked like a basket case.
The 45 was always an out of date car tarted up to look new.
The early reviews of the 75 were not good, and anyone could
see that its design appealed more to the old than to the young.
And the new MINI was a BMW model from day one - it retailed
through BMW dealers, NW.


Sorry, you're right abt the 45: I meant the supposded successor to that car, the one which died when BMW left -- much was promised of it.

But the new MINI didn't go on sale until 2001. As far as I recall, it had been touted as a separate brand for a while, but according to the www.austin-rover.co.uk site, until the breakup in March 2000 Rover dealers expected to sell it. It didn't appear under BMW's wings until after the break-up.
Rover's losses ... - Ex-Moderator
>>Surely in the late 90s, when it had BMW's backing.........

And we were busy in Curitiba, Brasil buiilding a new plant to replace the UK one since it had been decided long before to close.

I don't understand how the government managed to maintain ignorance, everybody else knew. Except seemingly the employees and I guess they were relying on the government to tell them.
Rover's losses ... - PhilW
I am probably being extremely thick here, but are we (and Byers) really saying that he handed over Rover to Phoenix in the full knowledge that it would probably go bust in 5 years, in order that the suppliers would realise this and change their businesses to cope with this? And that he did this instead of preserving the core business of MG as a specialist (but smaller) manufacturer run by Alchemy? And that he did this without thinking of letting the 6000 present workers know so that they could get other jobs in the meantime? And that he did this and as a result they did not get the £50k redundancy money they would have got 5 years ago?
Or have I completely misread his statement?
Rover's losses ... - frostbite
Byers wasn't known as 'Bozo' for nothing.
Rover's losses ... - Thommo
Phil,

Its called re-writing history to make Byers look good (a difficult thing at the best of times).

Remember Winston Smith re-writing the news about the chocolate ration using his speakwrite machine?

Not double plus good.
Rover's losses ... - Peter
I see in this morning's Daily Telegraph that several companies are interested in parts of the MG-Rover company but will not take them on because of the cost of redundancies, pensions and warranties. Something to do with the TUPE rules apparently.
Bye, Bye ... - arnold2
news.bbc.co.uk/1/hi/business/4447323.stm

"MG Rover's rescue deal collapses"

"Redundancy notices will be sent out to a "significant" number of MG Rover workers this weekend, the firm's administrators have said."
Rover's losses ... - Welliesorter
If BMW has handed over the MINI to MG Rover, do
you really think it would have been the success it has
been under BMW's brilliant marketing of it? ...


You can't just blame poor marketing though. A lot of people here are talking about MG Rover as if it were just the current name for British Leyland.

The present company is the rump left behind after Leyland commercial vehicles, Jaguar, Land Rover etc. had been sold off. The new Mini was just the last in a long line of products to be separated from the main business.
Rover's losses ... - superannuated rocker
To reply to HJs point re MINI Marketing.

Yes I believe the MINI would have done just as well had it been sold by MGR. I don't perceive the marketing to be particularly brilliant as I believe the car sells itself. I have to say whoever designed it did a brilliant job of capturing some of the original mini's styling cues in a modern package.
I also detect signs of the usual 'Its british it must be rubbish' thinking here.
I'm not particularly well informed here but I rather remember the Rover 75 as being a BMW design whereas the MINI was largely designed in this country. I know a significant amount of the design work was carried out by the large auto consultants such as Ricardo.
I feel quite annoyed at the sad end which MGR has met, BL certainly made some dreadful cars but it is particularly unfortunate that everyone now considers them as Rover. When you consider what a world beater the Rover 2000 family of cars was in the 70's it is scarcely believable how things have ended
Superannuated Rocker
Rover Cars.......Volume 4 - Chas{P}
Looks like it's all over for now. From the PWC website:


MG Rover group limited and Powertrain limited - both in administration - update by the joint administrators 15/04/2005 10:52


As announced on Monday this week, the joint administrators of MG Rover Group Limited and Powertrain Limited secured £6.5m funding from the Government to sustain the business for a further week. The funding was to provide a breathing space to seek to engage in discussions with SAIC.

Ian Powell, joint administrator and partner in PricewaterhouseCoopers said:

?We have received a copy letter from SAIC early this morning which communicates to the DTi that they are not willing to acquire either the whole or part of the business on a going concern basis.

In light of this important development we have concluded that there is no realistic prospect of obtaining sufficient further finance to retain the workforce while the position with other parties is explored. As we indicated earlier in the week significant redundancies will now be effected.?

Steps are now being taken to formally notify employees who will be made redundant. The administrators have established an employee Helpline and made arrangements with the Redundancy Payments Office in Birmingham to handle employee redundancy claims.

Tony Lomas, joint administrator and partner, PricewaterhouseCoopers added:

?We have worked closely with the unions, Government, employees and directors to understand the position and the options for the business. It was apparent that very significant funding would be required to sustain the business as a going concern and that a sale of the complete business would be extremely complex and would take a long time to conclude. In addition to exploring the interests of SAIC we have received a number of other enquiries. In our view, none of these is capable of resulting in a sale of the complete business.

?During the course of this week we have made every effort to establish SAIC?s intentions. We have had regular contact with SAIC?s advisers and had established direct contact with the company. SAIC has now stated its intentions and unfortunately does not wish to acquire the business.?

Ian Powell went on to add: ?We are extremely disappointed that SAIC has decided not to progress discussions to acquire the business. We are very conscious of the impact this news will have on the employees, their families and the businesses dependent on MG Rover Group.?

The joint administrators will hold a press conference this afternoon 15 April scheduled to start at 3pm in the Conference Suite at Q gate, Longbridge. Broadcast crews and journalists are asked to arrive from 2.00pm to set up equipment.

Rover Cars.......Volume 4 - IanJohnson
The only reason you buy as a going concern from Administrators is if there is something worth having and there is more than one potential buyer - just wait, let the administrator wind it up, and buy the bits you want from him without the liabilities.

Hard life isn't it!
Rover Cars.........Volume 4 - chakaping
This ran on Press Association in the last hour, reiterates much of the above - but do people think MG could now have a future as originally envisioned by Alchemy?

REJECTED ROVER SUITOR MAY RESURRECT DEAL
By Peter Woodman, PA Transport Correspondent

A rescue by a venture capitalist company that was rejected five
years ago appears to be the only way forward for MG Rover.

Jon Moulton, of Alchemy Partners, who lost out to the John
Towers-led Phoenix Holdings in the battle for Rover in 2000, has
expressed interest in resurrecting the deal.

But, as in 2000, Alchemy would only be interested in the MG sports car part of the company, meaning large-scale job losses at Rover's Longbridge plant in Birmingham.

And it seems highly unlikely that any Alchemy deal will go through, or that a mooted workers' collective buy-out plan by Rover managers and workers will come to fruition.

Yet it could all have been different if the Alchemy offer had been supported by the Government in 2000 rather than the Phoenix plan.

Earlier this week, Stephen Byers, who was Trade and Industry
Secretary in 2000, said the Government had supported the Phoenix plan as it was only one which aimed to keep volume car manufacturing at Longbridge.

He said that the Alchemy scheme would have cut the workforce to
less than 2,000, while Phoenix have been able to keep 6,000 in work for the last five years.

Asked if the Trade and Industry department could not have imposed
checks on the pay and pension arrangements the Phoenix directors had drawn up, Mr Byers said that as no public money was involved in the Phoenix deal, the Government had no power to impose conditions.

Asked if he felt responsible for Rover's problems now, Mr Byers
said the problems arose from the failure to conclude the Chinese deal and that he had made it clear in 2000 that an alliance with a global partner was needed for Phoenix to have a long-term future.

Steve Cropley, editor-in-chief of Autocar magazine, said he believed that MG Rover ``does not deserve oblivion'' while conceding that some things the company did were ``plain daft''.

He added that the Phoenix bosses were not the villains that some
will want to make them.

He went on: ``Their eyes may not always have been fixed firmly on
the ball, and their financial machinations may have looked obvious and naive, but no serious observer can doubt their fundamental good intentions.''
mf
Rover Cars.........Volume 4 - Morris Ox
Jon Moulton said as uch last week, but I think an Alchemy deal is doubtful unless he can find an automotive partner. There must be some scope in the MG brand, though.

Careful about pasting PA copy on to a site that doesn't pay, by the way ;)
Rover Cars.........Volume 4 - Robin Reliant
A Sky News report has the government claiming that there are 26000 job vacancies in the Rover catchment area, so the news for the employees is not as bleak as some feared.

I must admit to losing a lot of sympathy for the workforce after listening to some of their comments when they were in Downing Street yesterday. I don't know where they get this "The taxpayer owes us a living", attitude. That went out twenty years ago.

Rover Cars.........Volume 4 - NowWheels
I don't know where they get this "The taxpayer owes us a living", attitude.


The probably get it from the poor taxpayer having handed them over four billion quid in the last three decades :(
Rover Cars.........Volume 4 - Robin Reliant
Quote from a Rover worker interviewed on Channel 4 this evening;

"We have always built good cars, the public should have supported us and bought them. Everybody's let us down..."

Up yours, John.
Rover Cars.........Volume 4 - NowWheels
"We have always built good cars, the public should have supported us and bought them


Quite right. Who can forget the stylish and reliable Allegro?

It's scary to think that some who believes that bit about "good cars" has a vote.
Rover Cars.........Volume 4 - Adam {P}
Got to agree. It does annoy the hell out of me. Especially when they say it in disbelief as if they're the pioneers of automotive technology.

That being said, it was so sad watching the news before. 5000 are out of work through no fault of their own (they don't have a say in the design) and whilst I dislike pretty much every Rover car, it is Rover.


And it has gone.
--
Adam
Rover Cars.........Volume 4 - Ex-Moderator
>>Everybody's let us down..."

Right. And you've let me down by not spending £7,000 of your money on my products, whether or not you like them, want them, or can afford them. Let me know where I should send the invoice.

Given that attitude I am surprised he wasn't management, or at least quality and new ideas.
Rover Cars.........Volume 4 - Rishab C
When journalists interview the public, they always choose the ones who will give answers such as those above, they know them at a hundred paces. They always give a completely unrepresentative view of a group of people by chosing quirky ones.
Rover Cars.........Volume 4 - Robin Reliant
Rishab, I think you'd find those views shared by a good few thousand Rover employees.
Rover Cars.........Volume 4 - livefortheday
My missus has banned me from watching more Rover stuff today as I was getting...well pretty uptight about it.

My favourite annoying bits:

1) People who gave to the Tsunami appeal should think of giving money to Rover employees...From a Rover employee.

2) When we picked up our shiny new (cheap) cars, most people did not look at the small print and now we are deep in debt. The government has got to help us re our cars...From a Rover union representative.

3) If you look back through the thread I want a Rover V8. Rang a Rover dealer today who said none were available and that they had just sold their last one yesterday for £1000 off the asking price being £24000 net. No further interest (although I kind of guess you can't blame them).

4) My favourite...One of the men who brokered blowing up 6.5 million of tax payers money in one week saying without irony that any attempt to ship Rover "assets" abroad to people who have waited for the liquidation to happen (greedy capitalists?) should be resisted. The irony that they will more than likely go to one of the last communist countries in the world was a peach. Also the fact that the Rover directors got 10 million each in 5 years allegedly, yet 6.5 million has been wasted in one week again passed his thought process by.

Sorry for the rant by the way.
Rover Cars.........Volume 4 - Sofa Spud
Lada and Skoda have the last laugh!

Remember all those Lada and Skoda jokes! Skoda survives as part of VW group, of course, and Lada still makes hopelessly oudated cars that someone, somewhere must be buying! MG-Rover, on the other hand, has gone.

Cheers,
Rover Cars.........Volume 4 - Imagos
When I first joined Backroom i read a post in the annoucements that stated that this is a *pro* motoring site not an anti motoring site, any posts that where *i hate cars* or simular would be deleted.

That's why i'm genuinely upset and disapointed at the majority *stuff 'em it's their fault* and *Your're getting made redundant, i'm alright jack* posts i've read in the 4 volumes of the Rover threads so far.

Just what is the matter with you all?

As i've been told and read time and time again this is a pro motoring forum.

That's why i joined.

If this *stuff Rover, i don't give a damm* attitudes continue, i'll wonder why i'm a member of a anti car manufacterer motoring forum.

Rover Cars.........Volume 4 - Altea Ego
Imagos,

Rover is insignificant. With the exception of the 75 its cars are nondescript, aged and unsellable. They produced less than 100,000 cars last year and falling rapidly. What loss to motoring is this?

The group (from its days as BMC) has swallowed up more public money than any other enterprise. Its time is up.

Rover Cars.........Volume 4 - midlifecrisis
You say their cars were unsaleable. Yet the TF was the best selling roadster in the country and the ZR the best selling hot hatch. MG-Rover shouldn't have wasted money on the pointless SV, but put that money into developing a new model.
Rover Cars.........Volume 4 - Altea Ego
Then why did sales go down?
Rover Cars.........Volume 4 - livefortheday
1) I was made redundant last year. No-one helped me and the process of getting money out of the government is fairly long-winded and I gave up on it. I got off my rear and sorted myself out without bleating on to whoever would listen about the unfairness of it all. Therefore, I do resent the attitude of these workers who seem to think the world owes them some kind of a living. One chap said he was too old to retrain because he was 52 for example.

2) I love cars, especially British ones. However I dislike as it seems most of the responses to this thread do, to paying through taxes for a co whos product is not wanted. Thats not anti-motoring, but simple common sense.
Rover Cars.........Volume 4 - Sofa Spud
It is sad that MG-Rover is finished - sad for the workers and for Britain as its teetering home-owned motor industry is now gone. But as for mourning the passing of actual the Rover model range - are there any tears shed because the Vauxhall Cavalier and Ford Escort are no longer in production?

Cheers, Sofa Spud
Rover Cars.........Volume 4 - Imagos
- are there any tears shed because
the Vauxhall Cavalier and Ford Escort are no longer in production?


well.. yes and yes.

..and don't forget neither GM or Ford are stand alone British manufactuers. The are multi national corparations for want of a better word.
Rover Cars.........Volume 4 - Robin Reliant
There is little or no crowing on this forum about the demise of Rover. Most posters admit to being sad at the passing of Britains last volume car manufacturer, but that does not mean they want to support a company who can only survive if even more billions of tax revenue are pumped into it so that it can continue to run at a loss.

Having a car or indeed any manufacturing industry is of no use to a country if it needs public money to survive, just so we can say we've got one. The reason we are doing quite nicely today, thank you, is because at the end of the seventies we got a government who were courageous enough to realise that and do something about it. Those who hark back to the days when we were still a major manufacturer either weren't around then or are peering back through rose tinted glasses.

If the billions that were used to prop up no hope industries had instead been used to modernise the health service and transport systems we would not be needing to complain about them today.
Rover Cars.........Volume 4 - tallyman

Err, well they are sort of. For whatever reasons, to freshen up the range or whatever, the same size cars are in production.
Say Vauxhall Victor, VX, Cavalier, Vectra. Ford Cortina, Ford Sierra, Ford Mondeo. Ford Popular/Anglia/Prefect, Ford Escort, Ford Focus...

As for the British is bad thing. Yeah, if it's got a British Name it's bad. If It's a Honda Civic or a Nissan Primera it's good but strangely still British built.

Rover Cars.........Volume 4 - Imagos
Another nail in the coffin for Great Britain ltd.

Heaven help us.. i weep for the future..

what happenend to patriotism?
Rover Cars.........Volume 4 - tallyman

Patriotism is not dead in this country, just so long as you support Car makers with names like BMW, Mercedes, Porsche etc.

This Mini saga, I don't know about how well it would have done without the BMW marketing, but God forbid it wouldn't have had the same cache with some people: "But it's a BMW Mini darling!' even though it suffered it's fair share of problems.

I really don't want to turn this into an anti German rant
but why is it that so many people see BMW/Merc as good. The latest JD power rankes plenty of Mercs in the bottom half of the table. The Rover 75 made mid point and out of interest, BMW designed or not, the build quality improved when out of BMW hands.

Rover Cars.........Volume 4 - Altea Ego
"what happenend to patriotism?"

It goes out the window when money (sorry *even more money*) is required out of my tax money to keep this basket case going.

where you really that patriotic when Red Robbo was bringing them out on strike every week?

Rover Cars.........Volume 4 - bbroomlea{P}
>>"what happenend to patriotism?"

>>It goes out the window when money (sorry *even more money*) is required out of my tax money to keep this basket case going.

Maybe slightly different but what about the Millennium dome that cost £700m to build and millions more since and sat there empty

Anyway onto the subjet..I have refrained from posting on this subject for over a week, however with todays events I feel I should make a contribution regardless of the response I receive.

MG-Rover has been given the rough end of the stick. The British public deem that anything manufactured in this country is sub-standard (look at the potteries, car production and steel to name a few and most recently customer service jobs such as call centres). Why dont we believe in ourselves?

There has been many comparisons with BL products on this thread and IMO this perception nationwide has led to the demise of MGR products. An Allegro/Maestro cannot be compared to a 25, a 45 cannot be compared to a Montego and a 75 is miles and miles ahead of the 800 series. MGR products dont rust, dont break down or fall apart over rough road surfaces!!

We seem too forgiving of out European counterparts, namely Renault, Peugout, VW, Audi etc for producing similar standard products to BL in the 1970's and most recently take the Audi 80 'v' Rover 600 - which was the better?? (Most would agree the 600, so why go for A4 when the 75 is there) The Rover 75 is a excellent car but is put down by J Clarkson and cronies who prefer other european marques by baseing it on an Austin Princess!!

So, where from now, I will keep my 210K Rover 75 until it will go no more, buy a new MGTF and keep it forever, but still leaves me pondering what I'm going to replace the 75 with, my girlfriends 200 and my Metro GTi fun car.

Thankyou BMW (for taking the MINI and using 4x4 technology from Land Rover before selling it) and thankyou to all those that opted for VAG, BMW etc instead of Rover when it came to replacing their car.
Rover Cars.........Volume 4 - Garethj
>> We seem too forgiving of out European counterparts, namely Renault, Peugout, VW, Audi etc for producing similar standard products to BL in the 1970's >>


I don't think that's true - Peugeot was known for making cars that were tough enough for Africa but not much else until the 205 came along and opened everyone's eyes. They followed it up with other cars which looked good and drove well, that's when people started buying them.

VW's Golf in 1974 was a leap forward over the competition, the GTi that came later was exciting and through the 1980s their cars were quite well built (recommended reliable bangers even now)

Audi were nobody in the UK until the Quattro came along with its competition success, their cars in the 1980s were well made too and in tune with the "aspirational" buyers of the time.

It's said that the Rover 75 was a good car (but the interior and exterior styling didn't appeal to me) but that's all they had. If they had a good car 10 years ago and had built good cars afterwards then they might have had a chance. But they didn't, and as there weren't any cars in development they probably wouldn't have a chance anyway.
Rover Cars.........Volume 4 - blue_haddock
MGR products dont rust, dont break down or fall apart over >>rough road surfaces!!


I beg to differ.

Rover Metro/100, 200/400, 800 - you never see them with huge rust holes do you?

Anything fitted with the K Series engine - they don't suffer from Head gasket failure do they?
We seem too forgiving of out European counterparts, namely Renault, Peugout,
VW, Audi etc for producing similar standard products to BL in
the 1970's and most recently take the Audi 80 'v' Rover
600 - which was the better?? (Most would agree the 600,
so why go for A4 when the 75 is there)


Would we? sorry but the 80 was a very good car and with sufficient development became the A4 which again was a good car that appealed to drivers both young and old. The 600 was not a good car and both it and the 75 have appeal to a fairly small market.

>>thankyou to all those that
opted for VAG, BMW etc instead of Rover when it came
to replacing their car.


I think i can speak for a lot of the backroom here when i say that when i am spending a large chunk of my own personal cash (or my companies cash on company car) i base my choice on what appeals to me and what fulfills my wants and needs. Why should i buy a car that is outdated and outclassed by it's rivals purely on patriotism and to keep an uneconomical british company in business?

If Rover had built a good car and sold it at a competitive price it would not be in the situation it is now
Rover Cars.........Volume 4 - Ex-Moderator
this is a *pro* motoring site not an anti motoring site, any posts that where *i hate cars* or simular would be deleted.


Well, paraphrased but essentially accurate and unchanged.

But I don't understand your next leap which says that therefore we have to love every car and every manufacturer.

What has that got to do with anti, or pro for that matter, motoring ?

Nobody is saying that they hate cars, or all cars should be banned, or anything similar - just that one manufacturer has gone to the wall after a brief illness lasting some 40 years.


Rover Cars.........Volume 4 - Imagos
A Sky News report has the government claiming that there are
26000 job vacancies in the Rover catchment area, so the news
for the employees is not as bleak as some feared.



I'm sure highly skilled engineers and assembly line workers will love earning the minimum wage being minicab drivers and working in fast food cafeterias.
Rover Cars.........Volume 4 - madux
Glad to see that Phoenix are being so generous with their redundancy payments. (Legal minimum)
Thatcher paid the miners huge amounts in the hope that nobody would feel sorry for them.
Rover Cars.........Volume 4 - rjr
The redundancy payments are being made by the Adminstrators (who now run the company) not Phoenix.

The payments are certain to be statutory minimum as the company is bankrupt.
Rover Cars.........Volume 4 - Morris Ox
Let's clear up a few points here.

Don't belittle the people who've been made redundant. They've been strung along for decades by trades unions, politicians and industrialists who put their own interests first and effectively used them as pawns. The end result is that they have carried on in an industrial culture well out of step with that of industry sectors and companies who have gone through change from the 1980s onwards. Many of the individual workers have been there for years and they don't know anything else - all they know is that 'The Rover' has been around for decades and someone has always ridden to the rescue. Some will 'get off their backsides' and get sorted. Others will need help. But there will always be jobs out there for experienced, skilled, dedicated people.

Do belittle the cars. During the Honda period they were just about on the pace (it wasn't 600 V Audi 80, it was re-skinned Honda Accord v Audi 80), under British Aerospace they inevitably started to drop back (and BAe have a lot to answer for in my book), under BMW they made sure that the 75 didn't hit the showrooms until it was properly sorted, sketched out a new product range, but quickly realised they'd bitten of more than they could chew. The result is that, 75 and TF excepted, they are now tragically, almost comically off the pace.

Do belittle the Phoenix 4. Where there should have been small scale dynamism and innovation (historically, this is a business that has often had to make a little go a long way) there was dull-witted self-interest that destroyed a brand. They killed it well before the undertakers arrived.

Do belittle patriotism in this context. People will buy good British products. That they didn't here speaks volumes, and I suspect that in the end many people didn't want to put money into the hands of a company run by the Phoenix 4.
Rover Cars.........Volume 4 - Ex-Moderator
>>The payments are certain to be statutory minimum as the company is bankrupt.

They may not give more than the current standard. Nobody would permit it. The current standard is usually the legal minimum but can be an existing arrangement.

Otherwise it would be another method of getting money out of th company before the creditors got to it.
Rover Cars.........Volume 4 - Robin Reliant
Maybe someone has the answer...

www.wrp.org.uk/news/editorial/index.shtml
Rover Cars.........Volume 4 - Garethj
Maybe someone has the answer...
Workers Revolutionary Party:

--------------------------------
Workers at Longbridge must now take the only action open to them to defend their jobs. They must occupy the MG Rover plant and demand that it be nationalised.

They must urge the TUC and all of the seven million members of the trade unions in the UK to take action to support them.

They must insist that the TGWU and Amicus trade unions take the lead by organising national action to secure the nationalisation of MG Rover.


With the "retro" Mini and New Beetle, I wonder if this idea for nationalising Rover could work and we could see the MAXI come back again? They've been looking for a place to reuse those Austin 1800 doors since they failed to get them on the 75.
Rover Cars.........Volume 4 - NowWheels
With the "retro" Mini and New Beetle, I wonder if this idea for
nationalising Rover could work and we could see the MAXI come back again?


For a real treat, maybe we could see the Marina revived ...
Rover Cars.........Volume 4 - Dynamic Dave
For a real treat, maybe we could see the Marina revived ...


I heard they were going to introduce a P45 & P60 into the range

;o)
Rover Cars.........Volume 4 - Quinny100
>> Maybe someone has the answer...
>>
>> Workers Revolutionary Party:
--------------------------------
Workers at Longbridge must now take the only action open to
them to defend their jobs. They must occupy the MG Rover
plant and demand that it be nationalised.


Thats a great idea. The Government would just laugh at them, and whilst they're occupying Longbridge they can't be occupying the local dole office costing the taxpayer a fortune!
Rover Cars.........Volume 4 - blue_haddock
Nationalise Rover? you must be having a laugh!
Rover Cars.........Volume 4 - madf
I support British products if:
I like the syling
They are the size/ fuel consumption/specification I want.
They are reliable and well built and don't have major component "issues"
They are not too expensive vs their competitors.
They do not depreciate worse than any other car.

On that basis, NO Rover car was worth buying.

FACT
The Britsh owned car industry was protected for 50 years after the war by a cartel pricing cars 20-30% higher than the Continet.. with UK Government connivance. All to help UK manufacturers especially Rover. That all collapsed by 2001.

And before anyone disgarees with my first paragraph Rover cars deprecaition is awful and the K series engine eats head gaskets when it is > 5 years old.




madf


Rover Cars.........Volume 4 - pugnut
I know that we're meant to be discussing on here the downfall of the MG Rover Group but every1 seems to be bringing in to play their reliability. I think this is complete cobblers - i know the K series can go through head gaskets but its the same with any car - it all depends on how you drive it and what you use it for. - If a car is used by a little old dear for going up and down the road then the car is more likely to suffer with head gasket problems as the engine is being constantly warmed up and then cooled down. If the car is used for long journeys then the opposite applies.

I dont know why people slat the K series so either - its an engine that was designed for racing - why else would lotus use 1.8 VVC in its elise? If people are going to dig at engines for head gaskets why not have a go at vauxhalls ecotec units which chew head gaskets not to mention timing belts!! I know 2 people who have had to have engine rebuilds because of that.

No engine is 100% perfect and immune to issues like this so why try and put down a great piece of BRITISH engineering in such a way. - Thats the problem with this country lets put everything down that we can actually do well. We have murdered our car industry because of it - Look at Italy - they have fiats - for years they have built dodgy cars but Italians buy them in droves - why - patriotism - thats something we brits claim to have but when it comes down to it - we'd rather buy something cheep and second rate!!!!
Rover Cars.........Volume 4 - bbroomlea{P}
>>Look at Italy - they have fiats - for years they have built dodgy cars but Italians buy them in droves - why - patriotism

The same can be said for France, Germany, Spain...infact anywhere that has a car industy other than here. Asl well, all ministerial cars/police cars etc in France are Renault/Citroen/Pug, Germany theyre Audi/BMW/Mercedes, Spain theyre Seat, Italy theyre Fiat/Alfa/Lancia here - well a combination of them all. The government should support our own economy as priority number 1 and maybe manufacturing in this country wouldnt be in such a mess.

>>I know the K series can go through head gaskets but its the same with any car

Again Pegeout, the XUD/TU diesel derivitives also have a headgasket appetite - only need to look on technical matters to see that...but somehow these engines are scene as reliable!!