Ambassador to get new engine

    Hindustan Motors have come up new strategies to revitalise the company.

    Published On May 12, 2010 07:00:00 AM

    25,919 Views

    Ambassador to get new engine

    Hindustan Motors -- India’s oldest carmaker is in talks with some foreign powertrain manufacturers to source a new diesel engine to replace the 1.5 litre diesel for the Ambassador.

    Its 2.0 litre diesel is currently undergoing tests at the ARAI. Ambassdor’s petrol, CNG and LPG engines have been upgraded to be BS IV compliant. HM also plans to monetize some of its non-core business/assets to strengthen itself financially. There could also be an equity partnership with its Japanese partner – Mitsubishi. Replying to a query from Autocar, an HM official said “plans have been there but we cannot specify any timelines”. He also said that Mitsubishi will have a ‘couple of new launches’ during this financial year. Mitsubishi dealership and service centres will be hiked to 50 during 2010-11, from  the current level of 36 dealers.

    Hindustan Motors recently reported itself to the BIFR (Board for Industrial & Financial Reconstruction), as its net worth eroded more than 50% of its peak net worth during the immediately preceding four years.

    Its losses mounted to Rs. 42.85 crores in the year that ended on March 31, 2010. Losses during the previous year stood at Rs. 37.78 crores. HM says even though its networth has gone down, its flagship Ambassador’s production will not be affected. The company expects to sell around 1,000 Ambassadors monthly during this year. With the new plans HM says it is ‘confident’ of making profits this year.

    Copyright (c) Autocar India. All rights reserved.

    Comments

    ×
    img

    No comments yet. Be the first to comment.

    Ask Autocar Anything about Car and Bike Buying and Maintenance Advices
    Need an expert opinion on your car and bike related queries?
    Ask Now

    Search By Car Price

    Poll of the month

    The Creta will be the third Hyundai N-Line model in India. Should more mass-market brands have sporty sub-brands?

    Yes, it's something special for enthusiasts

     

    18.38%

    Yes, but only if there is increased performance

     

    44.42%

    No, it's just a gimmick to increase the price

     

    29.36%

    It doesn't always work; just look at Tata JTP

     

    7.85%

    Total Votes : 1567
    Sign up for our newsletter

    Get all the latest updates from the automobile universe