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Realistbear

Shock As Jaguar May Be Up For Sale

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http://www.telegraph.co.uk/money/main.jhtm.../02/uford02.xml

Jaguar 'up for sale'
(Filed: 02/08/2006)
Ford is considering putting the iconic Jaguar brand up for sale as part of an overhaul of its operations, it has been reported.
....../
Last month, Ford, which has been working to slash costs and stem market-share losses, reported an unexpected second-quarter loss of $123m (£66m).

Given the uncompetitiveness of UK wages (due in large part to higher house prices) could Jaguar production be transferred overseas to enhance profitability and quality? Following in the footsteps of Peugeot, GM, Rolls Royce and Bentley.

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China?

http://news.bbc.co.uk/1/hi/business/5239528.stm

Last Updated: Wednesday, 2 August 2006, 15:48 GMT 16:48 UK

Ford tight-lipped on 'shake-up'
Experts predict Jaguar will be put up for sale
Carmaker Ford is remaining tight-lipped about reports it has hired an adviser to carry out a review of the business.
Analysts suggest an "emerging market type" is the most likely buyer - although they warned
Chinese firms
were likely to wait to gauge the success of efforts to revive the MG Rover brand before considering a move for Jaguar.
Reports of a further shake-up at Ford come six months after the group unveiled its "Way Forward" restructuring plan.
Under the proposal, it said it would be cutting between 25,000 and 30,000 jobs and closing 14 factories by 2012.

Makes sense given that China have moved Rover LS & B. W Midlands could be in line for a few thousand more job losses soon.

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Sounds like a done deal already behind closed doors.

High costs put the other UK Ford manufacturing units at the top of the list for those 10,000's of job losses.

Point of no return has been reached as far as volume UK manufacturing is concerned. How much of the much quoted manfacturing output is simply - re-boxing/badging of pre-assembled goods?

Edited by OnlyMe

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Jaguar's problems are nothing to do with the labour costs in the UK.

Try exchange rates with USD and a marketing team that's US centric and utterly useless.

The X type took three and a half years to launch diesels, it was being sold at a loss in the US - the US marketing team decided this

The S Type is not a big seller and never was - just look at it to work out why - the US marketing team decided this

The XJ is a fantastic car, but look at it - US marketing team insisted on traditional then changed their minds and relies on US sales for volume (none of which are profitable)

New XK is profitable but even more niche so overall, is a halo model.

Local wages are not relevant when the base cost to make of an XJ is £15K for an XJ6 and it retails before discount at £40K, in the US, no-one buys, they are all leased at £350 a month for two years - so they don't make any money on them......

Jaguar has lots of problems, they are not wage related - even the Trade Unions have realised that they need to play a bit more ball and get rid of some of their BS archaic joke practices.....

BTW, acquirors are likely to be trade buyers, the only ones with money or can afford to saddle themselves with big debt for whom Jaguar is not a competitor in most markets are Nissan/Renault, Peugeot Citroen and Honda.

GM can't afford it, VW won't want it, I don't think the Koreans could run a premium global brand yet, Porsche are already in there with the new Panamera (though are cash rich....), Toyota has Lexus but could want the XK and bin the rest, DC has Mercedes - so not many realistic buyers out there..... - C'est Une Jaguar, n'est-ce pas if it is sold.

Edited by Rachman

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You've got your exclusive, famous brand name, and what do people associate you with most? Leather interiors? Brilliant engineering? Prestige? Performance?

Nah, John '2jags' Prescott.

They're stuffed...

LOL - great post. Summed up the situation nicely.

Is he called 2-jags because that's how many leather interiors they could make if he were skinned?

btp

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Is he called 2-jags because that's how many leather interiors they could make if he were skinned?

No. Then he would be called "2-cigar lounges"

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[/indent]

Given the uncompetitiveness of UK wages (due in large part to higher house prices) could Jaguar production be transferred overseas to enhance profitability and quality? Following in the footsteps of Peugeot, GM, Rolls Royce and Bentley.

Of these only one is actually pulling out of UK manufacturing. Hyperbole as usual. Divide by 4.

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  • 301 Brexit, House prices and Summer 2020

    1. 1. Including the effects Brexit, where do you think average UK house prices will be relative to now in June 2020?


      • down 5% +
      • down 2.5%
      • Even
      • up 2.5%
      • up 5%



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