18/04 (18:31) PHOENIX `PLANS 250,000 ROVER CARS A YEAR'
By Matthew Cooper, PA News
A rival bid for Rover which could save thousands of jobs would see continued
production of up to 250,000 cars each year, it emerged tonight.
A source close to the so-called Phoenix Project, which aims to retain mass
car manufacturing at Birmingham's Longbridge plant, said the consortium
wanted to carry on making the Rover 25, 45, the "old" Mini and the MGF.
The source, who declined to be named, told PA News that the Phoenix plan was
likely to see job cuts at Longbridge of between 1,000 and 2,000 workers.
A bid lodged by London-based venture capital company Alchemy Partners to buy
Rover from German car giant BMW is thought likely to see far more
redundancies among Longbridge's 9,000-strong workforce.
Phoenix's plans are also understood to include proposals to make up to 20,000
Rover 75 estate cars each year.
The source also claimed that Phoenix would either sub-contract production of
the Rover 75 to Oxford's Cowley plant or switch manufacturing of the model to
Birmingham.
New models badged under the MG, Healey and Triumph marques would also be
launched in the medium term in tandem with another car manufacturer.
John Hemming, an e-commerce entrepreneur who first announced a rival bid to
Alchemy Partners late last month, described the rumoured details of the
Phoenix bid as "better for everybody apart from Alchemy".
Asked about the Phoenix proposals, Mr Hemming, who is also a Liberal Democrat
member of Birmingham City Council, added: "It's a very good plan and one has
to be positive. I think it's important that BMW recognise that this is a move
forward."
A BMW spokesman tonight refuted reports that the company was likely to issue
a statement about its plans to sell off Rover either late tonight or tomorrow
morning.
"Currently we are in the process of examining the proposals," the BMW
spokesman added.
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