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R.I.P Saab Automobile


Tegis
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Such a shame, always liked them, but they haven't sold enough cars for a long time so it was always on the cards. Automotive blandness continues :-(

Saab files for bankruptcy in Sweden

Saab CEO Victor Muller: "This is the blackest day of my business career"

Troubled Swedish carmaker Saab has filed for bankruptcy after failing to secure fresh funds from potential Chinese investors.

General Motors (GM), which owns part of Saab, did not want Chinese carmakers accessing technology licences.

Production has been suspended at Saab's main plant in Trollhattan, Sweden, since April as the company has struggled to pay its suppliers.

Workers have complained that they have not been paid since last month.

'Insolvent'

Saab had been in takeover talks with several Chinese companies, including Zhejiang Youngman Lotus Automobile.

The Swedish carmaker said the breakdown of these talks - following the intervention of GM - left it will little option but to file for bankruptcy.

"After having received the recent position of GM on the contemplated transaction with Saab Automobile, Youngman informed Saab Automobile that the funding to complete the reorganisation of Saab could not be concluded," the carmaker said.

"The board subsequently decided that the company, without further funding, will be insolvent, and that filing bankruptcy is in the best interests of its creditors."

Saab Chief Executive Victor Muller described GM's decision to veto the investment from China as "the last nail in the coffin of this beautiful company".

However, he said there was still hope that the company could be saved.

"There are parties out there that have expressed an interest in pursuing a possible acquisition of Saab from bankruptcy," he said.

Last week, the Dutch financial market regulator halted trading in Saab shares.

Earlier this month, a Swedish court told Saab's owners to come up with a credible rescue plan or else enter bankruptcy.

General Motors sold Saab in 2010 to Dutch luxury carmaker Spyker - now renamed Swedish Automobile - but the US automotive giant remains a stakeholder and a supplier.

BBC

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Dull and bland cars that few will miss which is exactly why they are in trouble in the first place.

I see your point about automotive blandness Tegis and I agree with it but I'm afraid that for many Saab were...well...the very definition of automotive blandness.

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Dull and bland cars that few will miss which is exactly why they are in trouble in the first place.

I see your point about automotive blandness Tegis and I agree with it but I'm afraid that for many Saab were...well...the very definition of automotive blandness.

As of the last 15 years, yes, but that's the fault of GM. The 9-5 was 13 years old when they replaced it. Madness.

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I have had 2 Saabs over the last 11 years and I loved my first 9-3 a unique looking car. My dada had a 9-5 back in the eighties and the were so rare that I remember the Saab drivers used to wave to each other.

Glad I part ex'd mine in for an Audi 8mths ago

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Apparently the patients GM wouldn't sell are for some pretty generic parts and so the bigger reason GM let SAAB go to the wall, rather than be bought out by the Chinese, is that SAAB would become a competitor for GM in the rapidly growing China market.

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SAAB would become a competitor for GM in the rapidly growing China market.

This is exactly the reason GM would not agree to the sale to the interested Chinese parties. About 3000 people to lose their jobs.

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  • 1 year later...
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Saab cars to make a return two years after going bust: Swedish manufacturer to make existing models and electric car

 

Saab will start making cars again, two years after going to the wall. The Swedish firm will make existing models, such as the 9-3 saloon, but also start producing electric cars. It went bankrupt in late 2011 and was bought by a Chinese-Swedish investment group, National Electric Vehicle Sweden, in June 2012.

Spokesman Mikael Oestlund said initial production levels at its factory in western Sweden will be ‘modest’ and rise if demand grows. The company is to make a petrol-powered version of the car with the aim of launching an electric version later.

Mr Oestlund said: 'You can’t change or develop very much in a year. We acquired the assets in August last year. 'Our focus has been to get the co-operation up and running with 400 suppliers and ensure the facilities were working.'

Clicky

 

Would be nice if they can pull it off by being a "small number" car maker. No small task though in the world of mass-production

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Always loved Saabs and as soon as they were bought by GM they looked doomed.

 

Obviously they need a product which has high added-value and a brand image which allows for a decent margin to pay for Swedish taxes and Swedish wages.

 

It is notable that all the cheap cars are made outside Europe these days and the only marques which are attracting investment are the fancy brands.

 

The price of a Land Rover has gone through the roof as they build better and better appointed nob-trolleys for the planet's rich elite.

 

The high price of the new Jag surprised a lot of people (even Clarkson) and no doubt Tata are convinced that customers (the East's new rich) will pay a premium price for the kudos of owning a car built by Europeans; thus their heavy investment.

 

Electric vehicles certainly tick all the boxes when it comes to added-value and decent margins, propped up by state subsidy.

 

Sweden seems like the ideal place to build so-called green vehicles where the electorate will not object too strongly about spending their taxes subsidising every vehicle they sell.

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The price of a Land Rover has gone through the roof as they build better and better appointed nob-trolleys for the planet's rich elite.

 

The high price of the new Jag surprised a lot of people (even Clarkson) and no doubt Tata are convinced that customers (the East's new rich) will pay a premium price for the kudos of owning a car built by Europeans; thus their heavy investment.

 

The price of the new range rover has gone up. The rest of the Land Rover product base has remained fairly steady. And the Evoque is a very cheap (relatively speaking) alternative to a proper Range Rover.

But yeah, the East will pay a lot for luxury vehicles. It's basically why JLR are doing so well.

 

If you were surprised by the price of the F-Type you weren't guessing very well.

 

Tata haven't invested heavily apart from their initial purchase from Ford. And seeing as JLR recently posted half year profits of over a billion quid, it looks lik emoney well spent.

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