In a difficult year for the motor industry the Rover company’s sales were marginally higher than for the previous 12 months.
These sales, says Mr S. B. Wilks, the chairman, in his annual report, would have been appreciably bettor had it not been for the labour troubles experienced by some of their suppliers during the year.
Loss of output due to stoppages also contributed to the higher costs which as already announced resulted in a 19 per cent drop in earnings before tax. In common with the rest of the motor industry Rover is engaged on a long-term expansion programme. This will require £10,500,000. of which £3,800,000 is committed for the current year. Of net current assets totalling about £9m., over £6m. is liquid.