Quote:
Originally Posted by JagtechOhio
In Feb 2010 when the proposals were announced, the Euro was worth $1.39. Now it's $1.21, and expected to continue to devaluate.
If the IRL is mandating a fixed low cost that provides a relatively low profit margin, Lola just lost 15% on the profit of components they intended to produce domestically.
Is there a point where they might look at the bottom line and say "forget it"?
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Lola is based in the UK though, and we use the pound, which isn't doing quite as badly.