Vovlo and......Nissan/Renault?

[tgrumaj]

Did anyone note the commentary in the Weekend Wall Street Journal calling on Ghosn to stop wasting time with General Motors and go a few miles into the Detroit suburbs to speak with Ford about acquiring thier "Premier Auto" group assest (which of course include Volvo). They made a convincing case that this was a far better strategic acquisition for Nissan/Renault than any partnership with GM and would add needed brands to Nissan and allow Nissan to exert it's skills (cost cutting?) to these brands...something that Ford was doing a terrible job with.

Just noted that Fords second qtr loss soared to over 250 million and has now hired an M&A expert (Kenneth Leet of Goldman) to "study" shedding these brands. The announcement of Leets' appointment came the same day Ford was forced to restate its second-quarter financial results, doubling its loss to $254 million, and warn that its Premier Automotive Group -- which includes Jaguar and other European luxury brands (aka Volvo)-- will lose money in 2006.

So who knows...maybe one day we'll all be driving Nissans or the soon to be popular "Renault XC".

[AWD*V70XC]

Rumours announced on Monday of this week suggest that the PAG is going to (have to) off load to marques, namely LandRover and Jaguar, if I recall correctly. It appears that PAG is desperate to hang on to Volvo, I wonder why???

[tgrumaj]

If they're smart they'll demand all of the group including Volvo as part of the deal....I can't see just Jag and LandRover being worth it alone for Nissan.

[bobigski]

To the best of my knowledge Volvo is the moneymaker in the PAG.Any other thoughts on why Ford should keep Volvo> :confused:

[AWD*V70XC]

Renault and Volvo Cars have decided not to renew the importer agreement between the two manufacturers once their current contract expires on December 31, 2007. From January 1, 2008, Renault will establish its own subsidiary for the distribution of its vehicles and spare parts and provision of after sales services in Sweden, Norway, Finland and Denmark.

Renault wishes to retain the existing dealer network in the four markets for the sale and servicing of Renault cars and LCVs.

Since January 1, 1982, the distribution of Renault cars and LCVs, parts and aftersales services in the Nordic countries have been carried out by Volvo Cars, through a network of dual-branded, Volvo-Renault dealers. This partnership has seen Renault sales rise from 6,500 units in 1982 to more than 35,000 in 2005. In total, 500,000 new Renault vehicles have been sold in the four Nordic markets during this period. The most recent renewal of the importer agreement between the two manufacturers was in 2003, for a period of five years.

[tgrumaj]

Negotiations underway to sell PAG brands seems focused on just the British brands (Rover, Jag) which are big money losers but no Volvo, the only money maker in the PAG according to the Wall St Journal article. Not sure if that's good news or bad for us "buyers"!?

[AWD*V70XC]

Aston is rumoured to be up for grabs, which I am not personally not to bothered about as they now might do something about that ugly DB range. It needs a makeover where you feel as if you are driving a real car and not just a big kid behind the wheel of a souped up Capri. The future can only look good for Aston.

On the other hand, JCB, as in Jack Bamford, he of the yellow diggers fame has asked to buy Jaguar with the proviso of getting rid of the boyish image and taking the 'CAT' back to the pinnacle of British Motoring. He has just set the fastest land speed record for a diesel engined car so I say Good Luck Jack, may the force be with you, because if anyone can make a go of Jag for all the right reasons I believe you will do it.