The AIDB has decided to investigate the conduct of Deloitte & Touche LLP as auditors and advisers to the MG Rover Group. Initially, the investigation will focus on the audits of the 2003 accounts of MG Rover Group Limited and its ultimate parent company, Phoenix Venture Holdings Limited and certain non-audit services provided by Deloitte & Touche to the Group.

This decision was taken following consultation with the ICAEW (the professional body of which Deloitte & Touche is a member firm), which has agreed that the matter should be investigated by the AIDB.

It is anticipated that the investigation will not complete before the end of 2007.

The AIDB is mindful of the ongoing investigation being conducted by Inspectors appointed by the Companies Act 1985 into related matters and is liaising with the Inspectors so as to avoid unnecessary duplication and inconvenience to those under investigation.