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Tata Motors asks for loan to keep Jaguar and Land Rover operational

tryme submitted on 11/25/2008 Official Bell & Ross Timestamp: 9:54:50 PM

18 user comments | Category: Misc News | Source: | SOURCE: www.4wheelsnews.com

With the economic crisis looming darker each passing day, Jaguar and Land Rover are having quite a hard time attempting to vend luxury vehicles, and parent company Tata Motors is appealing for a large loan to keep the British Brands operational.

Overall, Tata is asking £1 billion from the British government to assist it pay off the bills. That is practically huge sum bearing in mind that it corresponds to £67,000 for each of the British brands’ 15,000 employees in the UK. British Prime Minister Gordon Brown is reported to be nearing a decision concerning the loan, though it’s expected that the funds would come with a condition that looks after workers in the UK.

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Tata Motors asks for loan to keep Jaguar and Land Rover operational

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tryme

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User Comments

1UAW

The British Government should have given the money to the brands when it was owned by British owners.

— 1UAW (View Profile)

Posted on 11/25/2008 11:16:25 PM | reply to this comment | Votes: 3   

dumpsty

Land Rover & Jaguar haven't really been very big companies historically. Wasn't Land Rover apart of the Rover group of brands before selling the SUV division to BMW or being bought in-whole by BMW? BMW divested and sold off what it didn't need after raiding the Rover/Land Rover 4wd technology bin.

Land Rover, Jaguar, Sterling, etc. were purchased by the US auto giants with the intent to infuse cash in their ailing brands and punch out better luxury products on a larger scale. Because none of the Big 3 understood how to properly market and design the UK brands with UK/European-biased designs, their "re-hashes" failed because the actual products didn't project "luxury, regal-ness, quality". The new American owners threw together some design that - basically - looked like a Jag on top of cheap mass-produced platforms.

The point I'm trying to make is that, LR & Jag aren't very strong brands. Any downward variation in the economy will affect their bottom line drastically. And we see this. Tata however, only seeing a chance to grab an existing product network in the US missed the fact that no other major company really wanted LR & Jag anyway.

— dumpsty (View Profile)

Posted on 11/26/2008 9:48:11 AM | | Votes: 1   

1UAW

BimmerMike46..... 'It's not the governments job to bail out the private sector with our taxes' you are correct but it is the governments job to create jobs or keep jobs while keeping the economy in good standing, and it always takes tax money to do this, just this morning we spent another 800B to save this economy from failed tactics and policys that put people out of work and when people are out of work the dont buy goods and more people get put out of work and out of work people cant pay taxes at all.

— 1UAW (View Profile)

Posted on 11/26/2008 11:12:11 PM | | Votes: 1   

aussiemonster

They'd been owned by Ford for years, so that comment doesn't make sense.

— aussiemonster (View Profile)

Posted on 11/26/2008 1:13:25 AM | reply to this comment | Votes: 2   

1UAW

Who do you think owned them before ford bought them?

— 1UAW (View Profile)

Posted on 11/26/2008 2:00:40 AM | | Votes: 1   

truckman

When I see the word Tata Motors all I see is this image of a rickety rickshaw with a lawn mower engine, how could these brands allow themselves to be bought out by some third world company?

— truckman (View Profile)

Posted on 11/26/2008 4:33:29 AM | reply to this comment | Votes: 1   

1UAW

Its not survival if a forign nation owns you.

— 1UAW (View Profile)

Posted on 11/26/2008 10:15:54 AM | | Votes: 1   

1UAW

TheSailor..... Most often if you are bought out by a foreign company in America you LOSE your job.

— 1UAW (View Profile)

Posted on 11/26/2008 11:14:43 PM | | Votes: 1   

1UAW

No, but it underscores the unfairness of foreign trade policys and child labor practices in many other countries.

— 1UAW (View Profile)

Posted on 11/27/2008 4:25:28 AM | | Votes: 2   

1UAW

Yea sure, India is doing great because of the thousands and thousands of American jobs that have been lost from the US because business's have moved their operations there because it was a little cheaper and in return they have found cheaper labor also meant lower performance look at the call centers when you try to pay a bill, you talk to a guy you can not understand a word he says and he cant understand you either. YES CHILD LABOR- look at the clothing and shoe industry clothes made in China, Vietnam, India, and most other countries we KNOW about the sweat shops of those and other countries. As far as the big three adapting you are mistaking GM and Ford are leaders in alternative powered cars and the fact most people think they have made to many SUV's is crazy, when many of the import brands have just as many it seams like BMW brings out a new one every month.

— 1UAW (View Profile)

Posted on 11/28/2008 6:31:09 AM | reply to this comment | Votes: 1   

pnsb24a

These two brands are rated the WORST in terms of problems etc. Let them show they can improve this before any money changes hands

— pnsb24a (View Profile)

Posted on 11/30/2008 3:40:55 PM | reply to this comment | Votes: 1   

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