Rover and out

MG Rover and its Powertrain engine business are incurring “very significant” losses of between £20 and £25 million a month, administrators have revealed.

Administrators appointed to run the company at Longbridge, near Birmingham sent home thousands of workers on full pay on Monday (April 11) after talks with a proposed Chinese partner, with a view to rescuing the ailing company broke down.
The administrators said that without an £6.5 million emergency loan from the government, they would have announced 5,300 redundancies on Monday. The loan will keep the company afloat for another week.

The administrators are now trying to revive talks with the Shanghai Automotive Industry Corporation.