DeTomaso Mailing List: June 2001, Message #157

(continued from two seconds ago...)

At the PCNC meeting, I entered the realm of PURE speculation and concocted 
what I think may be a plausable explanation:

MG has seen a resurgance in recent years, and is busting out all over Europe. 
 They deeply want to re-establish a presence in the USA, but they don't have 
a distribution network in place, nor do they have a USA-legal car.

Kjell Qvale was the distributor who introduced the MG to the USA (formally) 
and he almost singlehandedly established the marque on the American psyche by 
orchestrating a story which appeared in Life magazine, which followed the 
antics of a group of MG owners playing with their cars in rural California.  
Coincidentally, Kjell Qvale has a multi-million-dollar production facility, 
and a USA-legal car boasting some real innovations (along with questionable 
styling) which is failing to meet sales expectations.  And, of course, Kjell 
has a distribution network set up.

So, I propose that the deal would benifit both parties like this:  Qvale gets 
out from under the presumably crushing financial burden of attempting to sell 
a small volume car in volumes considerably smaller than hoped.  In exchange, 
he gets the MG distributionship for the USA, a potential gold mine.

And MG gets a super duper manufacturing facility, plus a 
ready-to-sell-in-the-USA car, which with a nice restyling has the potential 
to really be a moneymaker, and is able to gain access to the USA market 
relatively quickly, cheaply and painlessly.

Again, this is all pure speculation on my part.  I'll try Silvia again 
tomorrow and report what I find....

Cheers!

Mike