SAAB Files for Bankruptcy, continues to operate

Global recession brings more bad news. Today GM confirmed that Saab has filed paperwork with local courts for reorganization that would eventually make Saab a fully independent business.

For the reorganization to happen GM needs around $1 billion for the new company. This is more than problematic as GM does not have that money and so far Swedish government has said NO.


Saab won’t be closing doors, it continues to operate in accordance with the formal reorganization process, with the Government providing some support during this period. The reorganization should have no impact on other GM operations.

What Saab needs is funding and very fast. Funding for the restructured company will need to be secured during the reorganization process and will be sought from both public and private sources.

Currently Saab has three models ready to be launched over the next year and a half. If the reorganization is successful Saab will bring resources back to Sweden. We hope Saab finds some local investors and the automaker can continue its operation again as a Swedish company. Hopefully with better management they will do better than under GM.


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BigShow50 - 2/20/2009 12:44:34 PM

-1 Boost

What has now happend to SAAB, will happend to GM. As the saying goes..."What goes around, comes around!"...It's only a matter of time for GM. Regardless of the great innovations and designs GM has recently brought to the table...but truly it maybe just a little too late. This is where the "domino effect" brgins.

JUGNU - 2/20/2009 3:48:39 PM

-1 Boost

yes it's long time i have seen a saab on the roads. I have read they sold less than 100 cars in UAE in 2008.

JUGNU

theoptimisticpessimist - 2/20/2009 4:33:52 PM

+2 Boost

This could be the worst thing to happen to Saab or the BEST.

3pointstar - 2/20/2009 5:43:43 PM

0 Boost

Best thing to happen to Saab. I think their designs have been restrained by need to work with the GM platforms/parts bins.

BozzorTheGreat - 2/21/2009 12:19:01 AM

+1 Boost

Saab's have been an idiosyncratic niche for a long time, but they should well be able to survive and prosper in a well functioning global market - which, of course, does not exist at present. But Saab gave the world the low pressure turbo, side impact protection and energy absorbing bumpers - it really would be good to see if survive and occupy that marketing space that exists for people who don't want a mainstream car but for whom Lexus, BMW, MB and Audi are just a bit too pretentious.