Re: Sale of Rover car group

[Michael Card]

To add to Roger's message on this topic: The Financial Times this morning [17th] reports :- -that BMW is taking a charge of Euro 3.15 Billion against the disposal of Rover cars -that last year the losses at Rover increased by Euro 250 million to Euro 1.21 Billion -that BMW is retaining the mini brand and will make the new mini at the existing Rover factory at Cowley, which is being retained by BMW -that BMW is in talks with Ford to sell Ford the Land-Rover operation -that the sale of Land Rover should yield about Euro 3 Billion for BMW -that Alchemy Partners, the new owners of Rover and MG [minus Mini and Land Rover] will rename the company The MG Car Company -and that Alchemy Partners will pay a maximum of GBP 50 million There are various opinions being aired here in UK, but there is little doubt that an ailing Rover was not improving and BMW had to do something to stem its losses, as BMW was fast destroying the value of its total [BMW + Rover] operation. In such a case the sooner action is taken the better. Whether we want to see an MG badge on a Rover saloon or not, it looks like we soon will. Mike Card

[Peter Ross]

To add to Roger's and Mike's update on the exciting news of the MG brand
coming to the fore again:

If you are not in the UK and want to hear news and commentary, try the
BBC live web broadcast at http://www.bbc.co.uk/radio5live/. I was
listening to it yesterday here in the US when the news was breaking and
again this morning. News programs on the hour are the best time to try
otherwise you may get some other chat line. It's hot news over there.

As you can imagine there are a lot of emotions. The Rover brand of cars
is likely to disappear and become MG badged. It was bad enough for the
British Rover owner when ownership went to Germany and (as a result?)
sales in the UK fell by 25% or more. Will they buy an MG saloon? MG
certainly used to offer them (up to the Y and maybe Z). Do Alchemy
depend on a profitable line of relatively luxurious saloons to fund R&D
in the MGF follow-on? The biggest issue is the fate of workers at the
Longbridge plant. Labour strife has always been an issue there and will
their actions lead to increasing costs and missed market deadlines? I
wonder what the dealership arrangements will be? Maybe Alchemy should
buy Moss (UK) for parts distribution? It's noteworthy that BMW are
keeping Cowley to produce the Mini and giving away Longbridge. My home
was in Banbury, midway between Birmingham/Coventry and Oxford and I was
well aware of the cultural differences, but that was 40 years ago and I
hope things have changed since then. Longbridge was the Austin plant,
MG's came from Oxford/Abingdon.

Off topic, I know, but I'm excited about the MGF success leading to the
reestablishment of a company called MG.

Cheers,
Peter

[Skip Kelsey]

Mike:

I for one relish the idea that the MG Marque, and badge will be kept
alive.And it warms my heart to hear that the "MG Car Co." is reborn. There
is always the possibility that as long as it is alive, we here in the
Colonies might yet see an MG sports car exported to the US.

Cheers:


Skip....................At 07:31 AM 3/17/00 -0000, Michael Card wrote:

> To add to Roger's message on this topic: The Financial Times this
>morning [17th] reports :- -that BMW is taking a charge of Euro 3.15
>Billion against the disposal of Rover cars -that last year the losses at
>Rover increased by Euro 250 million to Euro 1.21 Billion -that BMW is
>retaining the mini brand and will make the new mini at the existing Rover
>factory at Cowley, which is being retained by BMW -that BMW is in talks
>with Ford to sell Ford the Land-Rover operation -that the sale of Land
>Rover should yield about Euro 3 Billion for BMW -that Alchemy Partners,
>the new owners of Rover and MG [minus Mini and Land Rover] will rename the
>company The MG Car Company -and that Alchemy Partners will pay a maximum
>of GBP 50 million In such a case the sooner action is taken the
> better. Whether we want to see an MG badge on a Rover saloon or not, it
>looks like we soon will. Mike Card
> eGroups.com Home: http://www.egroups.com/group/mg-tabc
> www.egroups.com - Simplifying group communications
>

[Skip Kelsey]

Mike:

I just talked to my friend at MOSS USA. He says that all the upper
management folks from there are currently in the UK, discussing the buy out
of MOSS UK. So it is a fact.

Skip..........................

At 07:31 AM 3/17/00 -0000, Michael Card wrote:

> To add to Roger's message on this topic: The Financial Times this
>morning [17th] reports :- -that BMW is taking a charge of Euro 3.15
>Billion against the disposal of Rover cars -that last year the losses at
>Rover increased by Euro 250 million to Euro 1.21 Billion -that BMW is
>retaining the mini brand and will make the new mini at the existing Rover
>factory at Cowley, which is being retained by BMW -that BMW is in talks
>with Ford to sell Ford the Land-Rover operation -that the sale of Land
>Rover should yield about Euro 3 Billion for BMW -that Alchemy Partners,
>the new owners of Rover and MG [minus Mini and Land Rover] will rename the
>company The MG Car Company -and that Alchemy Partners will pay a maximum
>of GBP 50 million In such a case the sooner action is taken the
> better. Whether we want to see an MG badge on a Rover saloon or not, it
>looks like we soon will. Mike Card
> eGroups.com Home: http://www.egroups.com/group/mg-tabc
> www.egroups.com - Simplifying group communications
>

[CFritz7001@aol.com]

Amen to the thought of MGs coming back to the U>S> market--Now, if they'd
only pair move that with the parts & support expertise that VW had a few
years back, they'd have a winner for sure. (Don't know how things are now re
VW parts, but it used to be that VW DEMANDED that dealers carried a very
respectable stock of parts, and made SURE that they did so!!)
Regards,
Carl Fritz

[MG1948@aol.com]

My understanding about MG's coming back to US is minimal. When they pulled
out of US market in 1980 they left their distributors high and dry; thus,
lawsuits would abound if they came back

[Skip Kelsey]

Carl:

In good old Seig Heil fashion!!!!!!!!!!

Skip........................

At 11:48 AM 3/17/00 EST, CFritz7001@aol.com wrote:

>Amen to the thought of MGs coming back to the U>S> market--Now, if they'd
>only pair move that with the parts & support expertise that VW had a few
>years back, they'd have a winner for sure. (Don't know how things are now

re

>VW parts, but it used to be that VW DEMANDED that dealers carried a very
>respectable stock of parts, and made SURE that they did so!!)
>Regards,
>Carl Fritz
>
>