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ID on the warpath

1st December 1988
Page 5
Page 5, 1st December 1988 — ID on the warpath
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Which of the following most accurately describes the problem?

• Leyland Daf is pushing hard to beat off competition from AWD and Volvo for a contract to supply the British Army with 5,400 four-tonne trucks — a deal worth over 2150 million in the next five years.

Chief executive George Simpson says the company is "determined to win" the contract, which will be one of the largest in Europe during the next five years. According to Simpson, the contract, due to be decided next spring, "will provide the opportunity to drive our Leyland Assembly Plant past its double-shift capacity."

Leyland Daf has already invested over 23 million in the four-tonne payload General Service truck project — primarily on the design and construction of 13 vehicles, including eight prototype vehicles which were completed within 51 weeks.

The cost of finishing second will also be high. Speaking at a demonstration of the Leyland Daf GS 4 x4 truck contender, Simpson declared that "all development and competition costs, which run into millions of pounds, effectively have to be written off by the losers."