What are the chances of MG Rover surviving as a going concern?
The administrators’ top priority will be to keep the business as a going concern; either in MG Rover’s current form or as a smaller operation. With production having been halted, before their appointment, by suppliers refusing to deliver components, their task will not be an easy one. Will cars continue to be built at Longbridge? That will depend on the outcome the administrators can achieve. MG or Rover cars could also be built elsewhere. The existing Rover 75 assembly line was transferred from Cowley. What will happen to the MG Rover workers? The likelihood is many will have to go. Even under the proposed SAIC joint venture around 2,000 were expected to lose their jobs. What they will receive will depend on negotiations between the administrators, the company, the trade unions and the government. What pensions will MG Rover workers receive? Rover’s accounts in 2003 revealed a £67.6m shortfall, although there are fears that the pensions black hole could be as high as £400m. But the wo
