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| Talk to save LDV set to continue | Talk to save LDV set to continue |
| (10 minutes later) | |
| Negotiations to save van maker LDV are set to continue after ministers offered a £5m loan to help save the company from going bust. | Negotiations to save van maker LDV are set to continue after ministers offered a £5m loan to help save the company from going bust. |
| Malaysian firm Weststar is said to be on the verge of agreeing to a takeover which could save hundreds of jobs. | Malaysian firm Weststar is said to be on the verge of agreeing to a takeover which could save hundreds of jobs. |
| An LDV spokesman said the imminent deal was "very good news for everybody." | An LDV spokesman said the imminent deal was "very good news for everybody." |
| Business minister Ian Pearson said Weststar's proposed purchase offered the only credible chance of keeping the factory in the UK. | Business minister Ian Pearson said Weststar's proposed purchase offered the only credible chance of keeping the factory in the UK. |
| The company was due to go into administration on Tuesday, raising fears that the 850 workers would be made redundant and the jobs of thousands of employees at other companies would also be lost. | The company was due to go into administration on Tuesday, raising fears that the 850 workers would be made redundant and the jobs of thousands of employees at other companies would also be lost. |
| We are delighted at the government's backing for this company Tony Woodley, Unite | We are delighted at the government's backing for this company Tony Woodley, Unite |
| But a deal was agreed with Weststar to buy the entire business, bringing some rare good news for the beleaguered motor industry, which has been battered by the recession. | |
| Negotiations between the company, LDV and Government officials continued into the night to finalise the deal and avoid administration. | Negotiations between the company, LDV and Government officials continued into the night to finalise the deal and avoid administration. |
| Guy Jones, a spokesman for LDV, told the BBC: "This is not the end of the process but it is very good news for everybody. | Guy Jones, a spokesman for LDV, told the BBC: "This is not the end of the process but it is very good news for everybody. |
| "This is a significant step. This is the government getting involved which we've asked them to do for a long time. | "This is a significant step. This is the government getting involved which we've asked them to do for a long time. |
| "It is important to stress this is not a deal being done but they are going to provide assistance for a a deal to be completed." | "It is important to stress this is not a deal being done but they are going to provide assistance for a a deal to be completed." |
| The government has made it clear the aid was a one-off bridging loan which could not be extended. | The government has made it clear the aid was a one-off bridging loan which could not be extended. |
| BBC chief economics correspondent Hugh Pym said the loan would have to be repaid after four weeks. | BBC chief economics correspondent Hugh Pym said the loan would have to be repaid after four weeks. |
| The Birmingham-based business and plant has been at a near standstill since before Christmas. | The Birmingham-based business and plant has been at a near standstill since before Christmas. |
| 'Credible chance' | 'Credible chance' |
| About 800 people are employed at LDV's Birmingham factory and about 1,200 people employed in dealerships. | About 800 people are employed at LDV's Birmingham factory and about 1,200 people employed in dealerships. |
| Mr Pearson said: "Whilst completion of the deal is not certain, it would have been irresponsible of the government not to support it going forward." | Mr Pearson said: "Whilst completion of the deal is not certain, it would have been irresponsible of the government not to support it going forward." |
| It is understood LDV and Weststar had reached a deal earlier in the week, but that it relied on the short-term UK government financing. | It is understood LDV and Weststar had reached a deal earlier in the week, but that it relied on the short-term UK government financing. |
| LDV had been looking for funding, or a rescue deal, before Wednesday, 6 May, when it was due to formally go into administration. | LDV had been looking for funding, or a rescue deal, before Wednesday, 6 May, when it was due to formally go into administration. |
| 'Long way to go' | 'Long way to go' |
| Following the news of the government loan, Tony Woodley, joint general secretary of trade union Unite, said: "We are delighted at the government's backing for this company." | Following the news of the government loan, Tony Woodley, joint general secretary of trade union Unite, said: "We are delighted at the government's backing for this company." |
| He added: "There's a long way to go yet but now thoughts can turn to building a serious and successful future for this company, and to getting these men and women, who have not built a vehicle in months, back to work." | He added: "There's a long way to go yet but now thoughts can turn to building a serious and successful future for this company, and to getting these men and women, who have not built a vehicle in months, back to work." |
| In February, LDV asked the government for a bridging loan because it was "literally running out of cash". | In February, LDV asked the government for a bridging loan because it was "literally running out of cash". |
| At the time the government said the taxpayer could not be expected to pay for the company's losses, but that talks with LDV were "ongoing and regular". | At the time the government said the taxpayer could not be expected to pay for the company's losses, but that talks with LDV were "ongoing and regular". |
| LDV - which was put up for sale by its Russian owner Gaz late last year - has a long-term association with Weststar making LDV commercial vehicles in Malaysia. | LDV - which was put up for sale by its Russian owner Gaz late last year - has a long-term association with Weststar making LDV commercial vehicles in Malaysia. |
| Are you affected by the issues in this story? Do you work for LDV? Send us your comments. | Are you affected by the issues in this story? Do you work for LDV? Send us your comments. |
| The BBC may edit your comments and not all emails will be published. Your comments may be published on any BBC media worldwide. Terms & Conditions | The BBC may edit your comments and not all emails will be published. Your comments may be published on any BBC media worldwide. Terms & Conditions |