Production of MG Rover starts

THE Longbridge car manufacturing plant in Birmingham - from where 6,000 people were made redundant two years ago when MG Rover went under - was given a new lease of life today when a new production line was opened.

MG Rover's new Chinese owners, Nanjing Automobile Corporation (NAC), has invested £250m in its new company in the UK and China, and said the re-opening of Longbridge was a central part of helping the MG name become re-established.

The firm plans to produce the MG TF sportscar at the Longbridge site, initially employing up to 200 people, and will expand the operation if the car is a success.

Internet company reveals plans for growth

A NEW North-East company which seeks to help businesses capitalise on the selling power of internet auction site ebay has revealed plans to grow turnover to £14m and employ 100 people within two years.

Durham company Bayagent.co.uk - the brainchild of e-commerce entrepreneur George Kinghorn, co-founder of dot.com phenomenon studentmobiles.com - sells surplus and redundant equipment from firms across the region via ebay, which attracts a global audience in excess of 200 million.

And only weeks after its inception, the company, based at Belmont Industrial Estate in Durham City, has ambitious growth plans to take the business beyond £14m turnover and 100 staff within the first two years of trading.

Profits drop at Vodafone

MOBILE phone group Vodafone has revealed a drop in full-year profits as it battles against tough competition in Europe.

Vodafone, the world's largest mobile group, posted a pre-tax loss was £2.4bn, blaming regulatory fines of £53m in Greece, restructuring costs of £79m across Europe and increasing price cuts to retain customers.

Looking ahead, Vodafone - which has used celebrities including David Beckham to promote its brand - said conditions were likely to remain tough in Europe.

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