Saab Future Looking Bad
Sunday, 11. September 2011
Sadly it looks as though we are about to lose Saab as a car manufacturer. They applied to the court in Sweden for protection from their creditors but the application was tuned down by a Swedish court yesterday. Whilst Saab are looking to appeal it is unlikely that at this late stage they will avoid bankruptcy. The company was bought from General Motors in January 2010 by Swedish Automobile and looked likely to survive the storm when this year two Chinese investors were announced, both to take minority stakes in the business.
However, both deals are still awaiting regulatory approval in both China and Sweden so there is no comfort there. The unions are also pushing to force the company into bankruptcy within days as the employees haven’t been paid since August.
Image by Getty Images via @daylife
It’s a shame that a company with such a long history should go this way. By Graham Hill
Related articles
- Saab faces scrapyard as court considers fate (business.financialpost.com)
- Saab rejects Chinese takeover bid (bbc.co.uk)
