Three more bosses set to leave Rover

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The Independent Online
BMW EXPECTS three more top managers to resign over the crisis in Rover Group, which could report losses this year of DM1.1bn (pounds 400m), a German news magazine reported over the weekend.

Der Spiegel reported on Saturday, just days after the resignation of Rover Group chairman Walter Hasselkus, that Rover executives in charge of quality and finance were to leave their posts as well as a Bayerische Motoren Werke AG executive.

The report, based on an interview with BMW chief Bernd Pischetsrieder, did not identify the executives.

Mr Hasselkus announced his resignation on Wednesday, a week after the company and leaders of its unions reached agreement on a plan to trim 2,500 jobs from the current workforce of 39,000. It is hoped the deal will save pounds 150m a year. In addition to high losses in Rover Group, BMW expects to lose DM300m this year in its subsidiary Rolls Royce. The BMW brand, however, expects record profits this year of DM3.3bn.

It was also reported at the weekend that BMW is to send a "hit squad" of 100 middle and senior managers to sort out the problems at Rover. AP