A year ago, Tata Motors Chairman Ratan Tata heralded his newly acquired Jaguar and Land Rover as "two iconic British brands with worldwide growth prospects."
Now India's largest automaker says it may shut more plants and cut more jobs at the former Ford Motor Co. brands after they helped drag Tata to its first loss in eight years.
"There has already been 2,000 job losses. We may be looking at more job losses, more plant shutdowns," Vice Chairman Ravi Kant said at a news conference Friday, June 26. Kant said decisions will depend on how the market situation evolves.
Jaguar and Land Rover posted a pretax loss of about $463 million in the 10 months of the 2008-09 fiscal year that they were on Tata's books, CFO C. Ramakrishnan said.
Tata reported a consolidated net loss for the fiscal year that ended March 31 of $520 million, compared with a net profit of $444.4 million a year earlier.
Tata controls 60 percent of the world's fifth-biggest truck and bus market.