GM Issues Death Sentence To Saab By Blocking Latest Chinese Deal

General Motors Co. said Tuesday it will not support the latest proposed deal to sell its former Swedish unit Saab to a Chinese consortium.

"We have reviewed Saab's proposed changes regarding the sale of the company. Nothing in the proposal changes GM's position. We are unable to support the transaction," GM spokesman Jim Cain said.

The latest announcement may mean the end of the struggling Swedish luxury automaker. GM licenses the technology Saab uses to produce several key models.

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PUGPROUD - 12/6/2011 4:15:02 PM

+1 Boost

GM is an automotive bully and should be ashamed. There are various legal
and practical ways it could get over its concerns but chooses to
eliminate a competitor in China as well as other markets. If I were a Saab owner or stakeholder (Sweedish government, supplier, etc) I would sue GM for restraint of trade.

Joe_Limon - 12/6/2011 4:42:09 PM

+1 Boost

So would you rather have China get more intellectual property? It's bad enough that they are copying but handing it over to them on a silver platter?

No, that's not in anyone's best interest.

monster - 12/6/2011 11:04:09 PM

+3 Boost

Joe, I have to disagree with you. China is buying the rights to the intellectual property. For once they are following the rules. This happens all the time with different companies and different products... just like Microsoft just bought the search engine VideoSurf.
Let china compete the right way instead of letting them copy everything.

Now if you look at it in a different way, GM is actually afraid that if china get their hands on Saabs, they will start making better cars than GM.

FromThePassengerSeat - 12/7/2011 12:07:25 AM

+2 Boost

China also controls Volvo, and they haven't ruined it yet (mainly because Volvo's crew remained in place). Give them a chance.