Oh right cheers Mandleson!

e668ecp · 14th August 2009, 12:29

http://news.bbc.co.uk/1/hi/business/8201222.stm

Can loan money to save 1200 jobs in plane manufacturing but NAUGHTY WORD-NAUGHTY WORD-NAUGHTY WORD- all to the likes of LDV and 4 years ago MG Rover. I'm glad he's done this but its not fair to target one company/industry and not another

StevenWilliams · 14th August 2009, 12:40

Loans that they think will get repaid are OK.

MG Rover unfortunately was loosing money and couldn't come up with any new ideas to save itself. Had BMW not taken all the new car designs perhaps things may have been different. It's not the same thing at all.

e668ecp · 14th August 2009, 13:17

The £100million bridging loan would have secured the MG Rover - SAIC deal and so saved thousands of British jobs so it is the same.

A £60million loan to LDV would have saved 1000 jobs, so again its the same

GreyGhost · 14th August 2009, 13:33

IMV. The government would firstly have had to write off the £1.* billion debt owed by MGR and then injected another £100. mil to keep the company going. With no guarantee of ever seeing a penny repaid. Let's face it £100. mil does not go very far in the car industry. Especially when the company was only capable of supporting 2000 workers, not the 6000 employed. (figures from memory, so don't shoot me too much if I'm a bit out)
The Chinese very wisely decided to wait and got the assets of the company for a song no liability for debts and no strings attached.

Excuse me if I am teaching my grandmother to suck eggs.

FredSpencer · 14th August 2009, 13:36

Quote:

Originally Posted by e668ecp

The £100million bridging loan would have secured the MG Rover - SAIC deal and so saved thousands of British jobs so it is the same.

A £60million loan to LDV would have saved 1000 jobs, so again its the same

I'm with you. Thousands of jobs lost for what is a pittance compared to what they have been throwing around. UP THE REVOLUTION

e668ecp · 14th August 2009, 13:48

Quote:

Originally Posted by Grey Ghost

IMV. The government would firstly have had to write off the £1.* billion debt owed by MGR and then injected another £100. mil to keep the company going. With no guarantee of ever seeing a penny repaid. Let's face it £100. mil does not go very far in the car industry. Especially when the company was only capable of supporting 2000 workers, not the 6000 employed. (figures from memory, so don't shoot me too much if I'm a bit out)
The Chinese very wisely decided to wait and got the assets of the company for a song no liability for debts and no strings attached.

Excuse me if I am teaching my grandmother to suck eggs.

MG Rover didn't owe £1billion... more like £650million most of it (£450ml) was inflated pension funds (of which all large companies carry that amount), money owed to other PVH companies (Powertrain were owed alot but were still solvent when Hewitt put MG Rover into admin) etc . £100 million was needed as a bridging loan to secure the deal with SAIC with a further £10 million put into the deal by the Phoenix 4.

Just think how many millions the Government have wasted paying MG Rover and now LDV workers to sit at home/get retrained/loss of VAT/loss of PAYE taxes etc.

GreyGhost · 14th August 2009, 13:57

Extract from the latest BBC report on the current situation re. MGR

Quote:

Originally Posted by BBC news

The Phoenix Four took control of MG Rover in May 2000 after buying it from previous owner BMW for a nominal £10. They also gained an interest-free loan of £427m from the German firm.
They were eventually unable to turn around MG Rover's fortunes, and it went into administration under insolvency procedures in April 2005, with debts of more than £1bn.

.

http://news.bbc.co.uk/1/hi/business/8194481.stm

BTW I completely agree the government should have stepped in. I still think the Chinese would have kept the pot on the back burner until they saw an opportunity to make a killing.

e668ecp · 14th August 2009, 14:12

Quote:

Originally Posted by Grey Ghost

Extract from the latest BBC report on the current situation re. MGR

.

http://news.bbc.co.uk/1/hi/business/8194481.stm

BTW I completely agree the government should have stepped in. I still think the Chinese would have kept the pot on the back burner until they saw an opportunity to make a killing.

I'm sure the Chinese would have done that... we will all know the full facts on the 11th of Sept assuming its not buried again!

JohnDotCom · 14th August 2009, 14:30

The Government can see the turnover and Security of Airbus and know the money will be in safe hands and repaid,
unlike the Car Industry. I'm afraid.
It will of course secure 5000 jobs which at the present time is a real blessing IMPO.

e668ecp · 14th August 2009, 14:38

Quote:

Originally Posted by TheSaint

I certainly wouldn't have wanted any of the money I've paid in tax given to either MG/Rover or LDV

I'd have rather it be given to them than wasted on overseas aid / pointless wars! Your taxes and mine are in effect paying LDV workers to sit on the dole when they'd rather be building vans which create wealth for the country

14th August 2009, 12:29	#1
e668ecp I really should get out more....... Range Rover Evoque and ZT V8 SE Join Date: Feb 2007 Location: Yorkshire Posts: 2,232 Thanks: 20 Thanked 37 Times in 34 Posts	Oh right cheers Mandleson! http://news.bbc.co.uk/1/hi/business/8201222.stm Can loan money to save 1200 jobs in plane manufacturing but NAUGHTY WORD-NAUGHTY WORD-NAUGHTY WORD- all to the likes of LDV and 4 years ago MG Rover. I'm glad he's done this but its not fair to target one company/industry and not another

14th August 2009, 12:40	#2
StevenWilliams This is my second home Rover 75 Saloon 2.5 V6 British Racing Green. 81,000 miles and counting Join Date: Apr 2008 Location: Crawley, West Sussex Posts: 6,183 Thanks: 0 Thanked 2 Times in 2 Posts	Loans that they think will get repaid are OK. MG Rover unfortunately was loosing money and couldn't come up with any new ideas to save itself. Had BMW not taken all the new car designs perhaps things may have been different. It's not the same thing at all. __________________ [SIGPIC][/SIGPIC] Rover 75 2.5 2000 Club SE. British Racing Green. MEMBER NUMBER: MMMDCCXXVI Looking for: 7 seater

14th August 2009, 13:17	#3
e668ecp I really should get out more....... Range Rover Evoque and ZT V8 SE Join Date: Feb 2007 Location: Yorkshire Posts: 2,232 Thanks: 20 Thanked 37 Times in 34 Posts	The £100million bridging loan would have secured the MG Rover - SAIC deal and so saved thousands of British jobs so it is the same. A £60million loan to LDV would have saved 1000 jobs, so again its the same

14th August 2009, 13:33	#4
GreyGhost Banned 180+ Sport Auto Join Date: Oct 2006 Location: Bedford Middle Level Posts: 17,787 Thanks: 0 Thanked 18 Times in 5 Posts	IMV. The government would firstly have had to write off the £1.* billion debt owed by MGR and then injected another £100. mil to keep the company going. With no guarantee of ever seeing a penny repaid. Let's face it £100. mil does not go very far in the car industry. Especially when the company was only capable of supporting 2000 workers, not the 6000 employed. (figures from memory, so don't shoot me too much if I'm a bit out) The Chinese very wisely decided to wait and got the assets of the company for a song no liability for debts and no strings attached. Excuse me if I am teaching my grandmother to suck eggs.

14th August 2009, 14:30	#9
JohnDotCom * Rover 75 FaceLift Tourer CDTi 170BHP Auto ConnSE 2005 Model Starlight Silver Join Date: Nov 2006 Location: Abergele Posts: 28,735 Thanks: 0 Thanked 6 Times in 5 Posts	The Government can see the turnover and Security of Airbus and know the money will be in safe hands and repaid, unlike the Car Industry. I'm afraid. It will of course secure 5000 jobs which at the present time is a real blessing IMPO.