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Re: "Urgent action to re-enter" US Market says MG Car Company

To: MGMagnette@aol.com
Subject: Re: "Urgent action to re-enter" US Market says MG Car Company
From: bburrows@webtv.net (Bruce Burrows)
Date: Tue, 18 Apr 2000 12:27:15 -0400 (EDT)
--WebTV-Mail-19607-7202

Re Alchemy:  

You gotta love those guys!!!  Boy would I like to have MG back here in
the good old US of A!

Re interloper "Fawlty" Towers:  

It is laudable, and dear me so high minded and politically correct,  to
trumpet and place one's focus upon preservation of jobs.  Regrettably in
order to provide stable jobs it is necessary first to have product
sales.  This latter necessity requires above all offering into the
marketplace an item people wish to purchase at a price and in numbers
sufficient to support your workforce and allow you to show a profit.  

This is unvarnished reality.

My message to Towers:  

Deal with it!

Bruce Burrows

'59 MGA basket case
'60 Daimler SP 250
'61 Daimler SP 250
'73 MGB driver

My Dart website (not my cars!):

http://community-2.webtv.net/guardian45/THEDAIMLERSP250DART/


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From: MGMagnette@aol.com
Message-ID: <76.30fee32.262ddc21@aol.com>
Date: Tue, 18 Apr 2000 11:41:21 EDT
Subject: "Urgent action to re-enter" US Market says MG Car Company
To: mgs@autox.team.net
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>From the BBC...

Alchemy plans sports car



Alchemy wants to focus on the MG marque

Rover buyer Alchemy Partners plans to link up with luxury car maker Lotus to 
make an MG sports car. 
The venture capital firm wants to develop the car by 2002. 

Alchemy hopes to revive the MG brand by taking it back to motor racing, 
eventually competing at the Le Mans race. 

The company unveiled a draft business plan on Monday evening, but it still 
didn't offer any clues as to how many jobs will be lost at the Rover plant in 
Longbridge. 

Taking MG to the US 

Alchemy had previously said that it wants to turn Rover into a niche car 
maker, focused on the MG marque. 

It now also wants to take MG back into the US. 

MG cars have not been sold in the US for 20 years and Alchemy said it would 
"take urgent action to re-enter this market". 

In its draft business plan it also said it hopes to take on contract 
production of other cars. 

Alchemy has already approached Lotus Engineering, a division of Lotus Cars, 
with plans to develop a sports model. 

The Lotus group makes sports cars and used to run a Formula One Team. Lotus 
Engineering provides car makers with technical expertise, services and 
engineering support. 

No news on jobs 

Alchemy provided no further clues as to future job losses, when it unveiled 
its business plan. 

Up to 4,000 jobs are expected to go at the Birmingham plant if the Alchemy 
bid is completed, as it intends to scale back production. 

The West Midlands is expected to be badly hit by the sale - some estimates 
are that up to 50,000 jobs in the region depend on Rover. 

Alchemy says it will work with a government task force to minimise the social 
impact of its purchase of the loss-making subsidiary of German car company 
BMW. 

The company has promised to honour workers' redundancy rights. 

But Tony Woodley of the Transport and General Workers Union said the 
"significant things are what they have failed to tell us; they have failed to 
indentify the number of job losses, they have failed to tell us how many will 
keep their jobs and they haven't told us what redundancy terms they are 
offering to the many thousands who we know will lose their jobs." 

Trade and Industry Secretary Stephen Byers has called on BMW to give serious 
consideration to a new offer for Rover. 

This new bid is expected to safeguard more jobs than the Alchemy bid. 

The bid has come from a consortium including Rover's former chief executive 
John Towers, and is thought to be worth about £2bn. 

Alchemy boss Jon Moulton dismissed the new bid as not being a real 
competitor, saying there was "no real sign" that it had any finance behind 
it. 

Being a small mass-producer of cars was "a doomed strategy", he said. 


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