Jaguars and Land Rovers have been saved with a £5billion investment from their Indian

[csv8]

British car plants making Jaguars and Land Rovers have been saved with a £5billion investment from their Indian owner.

The massive injection of funds by Tata will save thousands of jobs and create many more, including 1,500 at the Halewood plant on Merseyside.

Two other manufacturing sites which had been under threat, at Castle Bromwich and Solihull in the West Midlands, will also be retained.


Saved: The Land Rover will continue to be built in Britain after the cash injection

Jaguar Land Rover said the number of models in its range will now be ‘significantly increased’.

The firm has already unveiled a ‘baby Range Rover’, the Evoque, which is being built at Halewood and will on sale next summer.

And bosses have agreed a ‘landmark’ two-year pay deal with trade unions worth 5 per cent from next month, with a further rise of 3 per cent from November next year.

Jaguar Land Rover chief executive Ralf Speth said: ‘This is a triumph for all concerned.

‘Our parent company Tata supported us through the recession and our employees also made sacrifices but now we are seeing a great turnaround in the business and everyone involved.’

The Unite union said it was ‘fantastic news’ for the company and its workers.

And Jack Dromey, Labour MP for Birmingham Erdington, which covers the Castle Bromwich plant, said it was ‘good news in bleak times’.

[LS2 KLR]

This comes as a big surprise to me. They both have some of the best vehicles in their class (IMO). I thought they where going gangbusters. Good news as I do like the Disco 4 & RR Sport.

[jpd80]

And that's why Ford dumped its PAG luxury brands, they chew up heaps of capitol.
Ford decided that they did not want to pay for this product cycle so sold J/LR
to Tata for around $2 billion and thus avoided having to spend around $7 billion.

That right there is a $9 billion turn around for Ford....

[Elks]

Great news for JLR and the motor industry in general.

[b0son]

Originally Posted by jpd80

That right there is a $9 billion turn around for Ford....

If you ignore the resulting cut to revenue. A bit like governments privatising their assets - short term gain, but potential long term pain.

[g220ba]

Originally Posted by b0son

If you ignore the resulting cut to revenue. A bit like governments privatising their assets - short term gain, but potential long term pain.

Considering these companies had been costing ford lots of money over a long period of time i'd say great move. Also add to that the figures ford are putting out at the moment i don't see how they're a great loss. I don't think we'll see long term pain coming from the decision to move them on.

[Road_Warrior]

Originally Posted by b0son

If you ignore the resulting cut to revenue. A bit like governments privatising their assets - short term gain, but potential long term pain.

Not if there is no revenue to begin with. PAG cost Ford a lot of money to keep the lights on.

[jpd80]

Originally Posted by b0son

If you ignore the resulting cut to revenue. A bit like governments privatising their assets - short term gain, but potential long term pain.

Performance Auto group was long term pain for Ford, selling for a pittance actually saved Ford billion in next product cycle commitments for jag, LR and Volvo, the whole lot was looking like close to $10 billion that Ford didn't have. Imagine Ford's bottom line if they had kept J/LR and Volvo, continued loss after loss for 2009 and this year - no Ford recovery... no, not happening that why they were sold.

The world has changed for J/LR and Volvo, those types of vehicles will struggle to get good returns for their new owners but Ford has 9 year supply contract for power trains to J/LR and similar for Volvo.....

[cheap]

Land Rover is a complete basket case, inovative products but hopeless product reliablity.

BMW purchased them and ended up "borrowing" 4WD expertise for their X5 range rather than continue with Land Rover. Despite BMW's best efforts it was too hard to bring Land Rover up to modern day reliability. BMW lost billions of dollars on the deal and on-sold Land Rover to Ford.

Ford spent even more billions of dollars trying to get Land Rover right and still failed. Ford have now on sold Land Rover to Tata.

If two of the bigger, better and well established car companies with all their resources can not make Land Rover work, then what hope does Tata have?

[Dave R]

Originally Posted by jpd80

Performance Auto group was long term pain for Ford, selling for a pittance actually saved Ford billion in next product cycle commitments for jag, LR and Volvo, the whole lot was looking like close to $10 billion that Ford didn't have. Imagine Ford's bottom line if they had kept J/LR and Volvo, continued loss after loss for 2009 and this year - no Ford recovery... no, not happening that why they were sold.

The world has changed for J/LR and Volvo, those types of vehicles will struggle to get good returns for their new owners but Ford has 9 year supply contract for power trains to J/LR and similar for Volvo.....

*Premier Auto Group.

I always wondered what Tata were thinking buying something that they knew would not be profitable, they got the XF and part of the XJ paid for by Ford but now they are on their own. I would have liked to have seen LR go back to BMW and Jag somewhere similar, I'm not sure Tata knows how to handle the brands, besides throwing money at them.

[Dr Smith]

Does Tata expect a ROI?

[irlewy86]

Originally Posted by Dr Smith

Does Tata expect a ROI?

Probably not, the real money will be leaching of manufacturing technologies and techniques back to India. Plus the prestige of an Indian owning an English institution.

[Rich@NDRS]

very good news for britain especially with the way things are going here.

[NC_Lane]

one of the biggest differences here is that Tata is not pressed by its shareholders for short term proffits. As shown by Tata before, they are quite willing to put in the money and keep the company going.

[FalconXV]

http://www.wired.com/autopia/2010/10...mium-vehicles/

Excellent!! Looks like Jaguar is pioneering KERS, an ingenious alternative to heavy hybrid systems. Which means LR will probably get a variant too.
There was recent talk of JLR using Lotus' 3 cylinder range extender, but I suspect it has gone quiet. With those two, Jaguar would take Lexus,VAG (lol), BMW and Mercedes to school with eco-lux cars.

Tata could really benefit from using JLRs British engineers and facilities too. Since Aston is pushing the envelope of taste with Cygnett, I reckon Jaguar could get away with a re-trimmed Tata Nano based Jag.
Like the original Mini (and tastefully executed RR/VdP Minis), it seems to have enough egalitarian appeal to pull it off IMHO. Someone ought to photoshop one for laughs.

[FPV GTHO]

Originally Posted by FalconXV

http://www.wired.com/autopia/2010/10...mium-vehicles/

Excellent!! Looks like Jaguar is pioneering KERS, an ingenious alternative to heavy hybrid systems. Which means LR will probably get a variant too.
There was recent talk of JLR using Lotus' 3 cylinder range extender, but I suspect it has gone quiet. With those two, Jaguar would take Lexus,VAG (lol), BMW and Mercedes to school with eco-lux cars.

KERS and Hybrid systems are the same. Youre confusing KERS with flywheel hybrid systems which in their most commonly use forms replace a battery with a flywheel, but both still both have a motor/generator.

[FalconXV]

Originally Posted by FPV GTHO

KERS and Hybrid systems are the same. Youre confusing KERS with flywheel hybrid systems which in their most commonly use forms replace a battery with a flywheel, but both still both have a motor/generator.

No I'm not. Flywheel energy recovery system is KERS, as used in F1, Porsche press literature for GT3R Hybrid and Ferrari HY KERS.

[FPV GTHO]

Originally Posted by FalconXV

No I'm not. Flywheel energy recovery system is KERS, as used in F1, Porsche press literature for GT3R Hybrid and Ferrari HY KERS.

Flywheel KERS was never raced in F1. The Mercedes and Magnetti Marelli systems were both battery systems.

[Corzza]

They are not flying as high as everyone thinks. Even lexus took a tumble last month