Saab files for bankruptcy

[Sgt Beavis]

Saab filed for bankruptcy in Swedish court today. GM plans to reorganize it as an independent car company so it no longer has to deal with it or wait for a buyer.

One down, several more brands to go..

There was word yesterday that GM might sell or spin off Vauxhaul too. Vauxhaul is basically the British brand of Opel and Holden. It seems like GM is pretty firm on holding onto Opel. My speculation that Holden might go on the block seems to have been way off.

GM also outlined their plans for closing down Saturn however Saturn dealers are trying to put together an investment group to try and save the brand as an independent company. Frankly I think that could be a very successful endeavor.

http://www.autoblog.com/2009/02/20/saab-files-for-bankruptcy-in-swedish-courts-wants-1b/


General Motors confirmed this morning that Saab's days as a part of the Detroit based company are numbered. The Swedish brand has filed paperwork with courts in its home country for reorganization that would lead to its independence. This self-managed reorganization is analogous to the US chapter 11 bankruptcy process, and would lead to the establishment of an independent entity based in Sweden. In order for that to happen, however, GM needs to line up financing for the new company, which may be problematic. Automotive News reports that as much as $1 billion may be in order to make Saab sustainable on its own.

GM plans to concentrate Saab's engineering, design and manufacturing operations back in Sweden. The brand plans to launch three new products between now and mid 2010: the new 9-3X, 9-5 and 9-4X. The first two are already set to be produced in Sweden, but the new 9-4X crossover was scheduled to be built in Mexico alongside the Cadillac SRX. The Swedish government has already rejected a GM request for funds, so the money will have to come from somewhere else. The GM press release is after the jump.

[Source: General Motors]



SAAB ON THE ROAD TO INDEPENDENCE

* Swedish court process to reorganise Saab into a fully independent business
* Three new models ready to be launched over the next year and a half
* Saab aims to bring resources back to Sweden
* Funding sought for 'new independent Saab'

Trollhättan. As a result of GM's strategic review of the global Saab business the Saab Board announced today that it will file for reorganisation under a self-managed Swedish court process to create a fully independent business entity that would be sustainable and suitable for investment.

The reorganisation is a self-managed, Swedish legal process headed by an independent administrator appointed by the court who will work closely with the Saab management team. As part of the process, Saab will formulate its proposal for reorganisation, which will include the concentration of design, engineering and manufacturing in Sweden. This proposal will be presented to creditors within three weeks of the filing. Pending court approval, the reorganisation will be executed over a three-month period and will require independent funding to succeed.

"We explored and will continue to explore all available options for funding and/or selling Saab and it was determined a formal reorganisation would be the best way to create a truly independent entity that is ready for investment," said Jan Ake Jonsson, Managing Director for Saab Automobile. "With an all new 9-5, 9-3X and 9-4X all ready for launch over the next year and a half, Saab has an excellent foundation for strong growth, assuming we can get the funding to complete engineering, tooling and manage launch costs. Reorganisation will give us the time and means that help get these products to market while minimising the liquidity impact of Saab on GM."

Funding for the restructured company will need to be secured during the reorganisation process and will be sought from both public and private sources.

Saab will continue to operate as usual and in accordance with the formal reorganisation process, with the Government providing some support during this period. The reorganisation should have no impact on other GM operations. Details of the progress will be provided as milestones are achieved.

[J&T's 82]

Sold my 02' Saab 93 vert this past summer. It was a sweet car but after the 1K dealer bill for a faulty DI cassette and a trans service with only 50K on the clock then reading about a sludge problem in that year Saab, I decided to get rid of it.....The car was prestine and I still took a beating even on a private sale....Glad I sold it when I did.

[torinoman460]

My speculation that Holden might go on the block seems to have been way off.


:wink:

[BP]

Sweden still has a constitutional monarchy, I wouldn't be suprised to see the King himself buy up a stake in Saab. Same goes with Vauxhaul, the good people of England would love to have their home brand be Brit owned again.

[White trash wagon]

Maybe Saab automobiles will be re-married to Saab Aircraft? I don't know about Opel's currents sales, but over the past 40 years, Opel has been a HUGE money maker for GM.

GM also announced discontinueing Saturn after 2011. Most of the Saturn dealers are banding together to attempt to "sell" themselves to another make trying to enter the USA....namely, China or India. GM might agree with that, because when they killed Oldsmobile, it cost them a billion dollars to pay off the dealers who throats they had just cut.

[TexasDevilDog]

Saturn as a division has never profitted one cent.

[BP]

Saturn as a division has never profitted one cent.

No, but the line was great for beta testing new technology without exposing the entire fleet to poor engineering.

The Saturn Vue VTi transmission is a great example. It works great in the Ion but in a Vue it's junk. Nearly every Vue on the road will get a new CVT unit in less than 50k miles and it'll cost over $3,000.

On the other hand all of their 1.9L engines were cast using the lost-foam process, the first time ever tried in an automotive application. Today all of their Trailblazer and Colorado engines (other than the V8s) are cast this way.

[TexasDevilDog]

No, but the line was great for beta testing new technology without exposing the entire fleet to poor engineering.

Saturn has been around since 1985. It was 24 year technology capture program? :shrug:

[BP]

Saturn has been around since 1985. It was 24 year technology capture program? :shrug:

They didn't build any cars until 1990 but yes they field tested lots of concepts that GM wouldn't have dared trying with one of their large product lines. Do you think anyone would have bought a 1990 Caprice with plastic fenders and doors? No way, but people lined up to buy Saturns. They couldn't have done it anyways since their stamping plants were all UAW, no way would they allow a Chevrolet with doors that are glued together. Since Saturn was a seperate division they could do whatever they wanted. The system was proven to work and it's slowly been adapted to everything from F-bodies to Silverados (truck beds).

How about having a Honda drivetrain in an American SUV? Try it with a Trailblazer and you'd have all off the UAW workers on strike over night. Throw it in a Saturn Vue though and no one even pays attention. For years the Japanese SUVs used GM drivetrain parts, it's not supposed to go the other way.

[big_tiger]

How about having a Honda drivetrain in an American SUV? Try it with a Trailblazer and you'd have all off the UAW workers on strike over night. Throw it in a Saturn Vue though and no one even pays attention. For years the Japanese SUVs used GM drivetrain parts, it's not supposed to go the other way.

Suzuki has been using GM parts, and upgraded the design to make it better than the GM counterpart. The prices are the same, between a Suzuki XL7, and a Equinox, but the XL7 has a stronger subframe :nutkick: I think it looks better too!