Jaguar/Land Rover posts crushing $1.6B loss

Jaguar/Land Rover posts crushing $1.6B loss

Jaguar XJ sedan fq1

The sharp downturn of the world’s luxury automotive markets has taken a major toll on Jaguar/Land Rover, with the company’s bottom line taking a huge hit. According to a Financial Times report the once British luxury marques lost 673.4 million pounds ($1.6 billion NZ) in 2008. That’s a massive swing from the 641.5 million pound profit the British brands earned in 2007. Tata Motors stated last month that Jaguar/Land Rover lost 306 million pounds for the financial year ending March 2009.

The Financial Times report comes as Tata Motors is working on a deal with the British government to provide short-term financing for the iconic brands. The report goes on to say that the U.K. government is willing to provide a 175 million pound commercial bridging loan to keep operations running. There is a potential stalemate with Tata Motors wanting a 12-month loan, while the British government would prefer a six-month term, along with representation on the board.

Jaguar XJ sedan fq1

The sharp downturn of the world’s luxury automotive markets has taken a major toll on Jaguar/Land Rover, with the company’s bottom line taking a huge hit. According to a Financial Times report the once British luxury marques lost 673.4 million pounds ($1.6 billion NZ) in 2008. That’s a massive swing from the 641.5 million pound profit the British brands earned in 2007. Tata Motors stated last month that Jaguar/Land Rover lost 306 million pounds for the financial year ending March 2009.

The Financial Times report comes as Tata Motors is working on a deal with the British government to provide short-term financing for the iconic brands. The report goes on to say that the U.K. government is willing to provide a 175 million pound commercial bridging loan to keep operations running. There is a potential stalemate with Tata Motors wanting a 12-month loan, while the British government would prefer a six-month term, along with representation on the board.

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