Friday, October 30, 2009
Ford prefers Geely bid for Volvo
Ford has announced that a consortium led by China's Zhejian Geely is its preferred bidder for its Swedish car subsidiary Volvo.
The carmaker said it would enter "detailed and focused" negotiations with Geely, although no final decision about Volvo's future had been taken.
Geely announced last month that it was intending to make an offer for Volvo.
Geely used to make the cheapest cars in China, but it has been moving towards appealing to more affluent customers.
'Positive step'
"Ford believes Geely has the potential to be a responsible future owner of Volvo and to take the business forward while preserving its core values and independence," said Ford's chief financial officer Lewis Booth.
Although Ford said it would not retain a shareholding after any sale, it said it would continue to co-operate with Volvo "in several areas".
These would include "component supply, engineering and manufacturing," said John Fleming, chairman of Ford's European arm and of Volvo.
For its part, Volvo "welcomed" Ford's announcement as a "positive step forward".
Although Ford has not faced the same difficulties as its domestic rivals GM and Chrysler, it has still been forced to sell some of its brands to concentrate on its core US carmaking business.
Last year, it sold Jaguar and Land Rover to India's biggest carmaker Tata for $2.3bn (£1.4bn at the time).
In 2007, it sold Aston Martin to a UK-led investment consortium.
DATED: 30.10.09
FEED: AW
Sunwin rebranded as Co-operative Motor Group
Car dealer Sunwin Motor Group, part of the Co-operative Group, is being rebranded to reflect its ownership.
Its 19 showrooms are being rebranded as The Co-operative Motor Group in a move that marks their formal induction to the family of businesses, which includes food, funerals, travel, pharmacy, financial services and legal services. More than two thirds of Co-op Group's 5,000 outlets have been rebranded over the last two years.
Mike Austin, managing director of The Co-operative Motor Group, said: 'Sunwin has worked hard to establish a trusted reputation in the Midlands and the North and we intend to build on that by adopting The Co-operative's strong brand.
'The relaunch of The Co-operative Brand has been a major success and the financial performance of The Co-operative Group is stronger than ever as is trust in our brand.'
The first of the Group's dealerships to be rebranded will be the Renault dealership in Preston on October 27. The rebrand programme will be rolled out to the rest of the dealerships.
The Co-operative Motor Group (formally Sunwin) which represents ten major motor manufactures (Renault, Nissan, Mazda, Peugeot, Fiat, Landrover, Suzuki, Chrysler, Dodge and Jeep) has reported sales of over £250 million for the last financial year.
DATED: 30.10.09
FEED: AW
Tuesday, October 27, 2009
GM sale deal delayed until November
The sale General Motors' Vauxhall/Opel European operations will not be concluded until next month.
In the last couple of weeks there has been an almost daily expectation that the preliminary documents leading to a sale of a 55% stake in the businesses to Magna International were about to be signed.
However, GM vice president John Smith, who is the manufacturer's lead negotiator on the sale, has now said that the signing of the deal will take place on November 3 at the earliest. That is the same day as a GM board meeting.
The delay to the agreement is being caused by the European Commission threatening to block the state aid Magna needs and opposition from European governments to the planned restructuring of Opel.
Meanwhile, Spanish trade unions have reached an agreement with Magna on planned jobs cuts at the Opel plant near Zaragoza, clearing one more hurdle to take its takeover of General Motors' European operations.
Germany and the UK are also reported to be close to agreeing terms of the deal's 4.5 billion euros financing.
DATED: 27.10.09
FEED: AW
Chinese car company continues Volvo sale talks
Chinese motor manufacturer Geely is continuing to talk to Ford Motor Company about the acquisition of its Volvo Cars subsidiary.
It is believed that the talks focus on the price to be paid for Volvo and access to Ford's intellectual property.
Geely has already said that it might work with Chinese state investment companies on its bid, and is the only bidder for Volvo to have made its interest public. The carmaker has offered about $2 billion for Volvo.
Ford has declined to comment on the talks.
DATED: 27.10.09
FEED: AW
September UK Vehicle Production Figures
"The rate of decline in new car production slowed to its lowest level in a year with the volume of vehicles being produced for the UK market comparatively high," said Paul Everitt, SMMT chief executive. "Demand is clearly being underpinned by the scrappage incentive scheme and the extension to the scheme will ensure that demand continues into 2010."
DATED: 27.10.09
FEED: AW
Sunwin becomes Co-op Motor Group in rebrand
Car dealer Sunwin Motor Group, part of the Co-operative Group, is being rebranded to reflect its ownership.
Its 19 showrooms are being rebranded as The Co-operative Motor Group in a move that marks their formal induction to the family of businesses, which includes food, funerals, travel, pharmacy, financial services and legal services.
More than two thirds of Co-op Group’s 5,000 outlets have been rebranded over the last two years.
Mike Austin, managing director of The Co-operative Motor Group, said: “Sunwin has worked hard to establish a trusted reputation in the Midlands and the North and we intend to build on that by adopting The Co-operative’s strong brand.”
“The relaunch of The Co-operative Brand has been a major success and the financial performance of The Co-operative Group is stronger than ever as is trust in our brand.”
The first of the Group’s dealerships to be rebranded will be the Renault dealership in Preston on October 27. The rebrand programme will be rolled out to the rest of the dealerships.
The Co-operative Motor Group (formally Sunwin) which represents ten major motor manufactures (Renault, Nissan, Mazda, Peugeot, Fiat, Landrover, Suzuki, Chrysler, Dodge and Jeep) has reported sales of over £250 million for the last financial year.
DATED: 27.10.09
FEED: AM
Driver nicked after 1,000 mile blast in dealer's demonstrator
A man who took a dealer's demo on a 1,000 mile test drive has been arrested.
Alex Kot set off at 1pm on October 15 in the Honda Accord with a salesman from Balise Honda in Massachusetts, USA.
He drove at speeds reaching 125mph, but the salesman was able to escape when the car slowed in heavy traffic.
Kot was finally stopped by police at 4.20am the next day, more than 1,000 miles away in Wisconsin.
He has been charged with kidnapping, car theft and assault.
DATED: 27.10.09
FEED: AM
Opel workers in Spain reach deal
Magna has reached an agreement with unions about planned job cuts at the Opel factory near Zaragoza in Spain, the industry minister has said.
Miguel Sebastian said that Magna had agreed to reduce the number of jobs it will cut from 1,350 to 900.
Unions had been planning four days of strikes in protest at plans by Magna, which is set to buy Opel from GM.
Union representatives said that the strikes would not be called off until workers had ratified the agreement.
They are due to vote on Friday.
Mr Sebastian, the industry minister, welcomed the deal, saying "the future of the factory is guaranteed for 10 years".
General Motors announced the sale of a majority stake in its European arm Opel to Canada's Magna and its partner, Russian state-owned lender Sberbank, last month.
But the signing of the deal has been delayed by European Commission criticism of it.
The Commission has suggested that the deal for aid from the German government may breach its competition rules.
DATED: 27.10.09
FEED: AW
Oil price rises above $81 level
The price of oil has risen above $81 a barrel, a new high for the year, as hopes rise that the global economic recovery is picking up pace.
US light crude rose 24 cents to $81.43 a barrel, while Brent North Sea crude climbed 25 cents to $79.76.
The price was boosted by figures released on Thursday showing China's economic growth had accelerated.
Strong results from US companies - including 3M, AT&T and McDonald's - also helped to lift the market.
DATED: 27.10.09
FEED: AW
MCIA Donate Space at 2009 Motorcycle Show to BEN
The Motorcycle Industry Association (MCIA) has donated a stand to BEN at this year's prestigious Motorcycle Show.
You can find BEN at this year's Motorcycle Show at Stand 2H60, Hall 2. The stand has been donated free of charge to BEN and is worth over £8,200.
Charles Davis, BEN's Director of Fundraising and Communications said: "This is an incredibly generous gesture on behalf of the MCIA, with whom we enjoy a very close working relationship. We will be taking the opportunity to raise awareness of BEN and the care and advice we provide and to encourage visitors to support BEN. Visitors can also buy National Draw tickets from our stand for the chance to win an incredible brand new Honda Fireblade."
Finlay McAllan, Managing Director of MCI Exhibitions said: "It's a pleasure to be able to lend the support of the Show to BEN, our industry charity, whose activities clearly benefit members of the motorcycle industry, many of whom both exhibit, visit and contribute in no small way to our joint successes. The efforts of the BEN team should be applauded and we for one will continue to support them and their fantastic work in any way we can."
Steve Kenward, CEO of the Motorcycle Industry Association, said, "BEN's presence at the Show will send a powerful message to all in the motorcycle industry that BEN is their charity and is there to help them if needed. I urge everybody in the industry to find out about BEN by visiting their stand; you never know when their support will be invaluable to you or your family members.
DATED: 27.10.09
FEED: AW
