Holden posts $70.2 million loss

The big loss came after the company tallied up charges of $76.8 million that relate to the forthcoming closure of its Family II engine plant in Port Melbourne, Victora as well as a $50.3 million hit on employee's superannuation as the financial crisis hit fund earnings.
Holden's chairman and managing director, Mark Reuss, said in a message to staff that the result was "disappointing because the organisation was well placed to make a healthy profit in Australia before world markets fell in the third quarter of 2008".

Holden's loss is a further blow to the local car making industry, after Ford Australia announced a $274 million loss for the same period.

"The Holden senior leadership team is doing everything possible to return to a profitable position as quickly as possible," said Mr Ruess.

"This includes attacking the revenue and cost sides of the business with equal enthusiasm."

Toyota Australia was the only local maker to report a profit for last year, although its figure of $123.4 million after tax for the year to March 31 was half the profit of the previous year.