VM on Saab’s future plans

by Swade on March 18, 2010

I’ve just received a text copy of the Victor Muller interview with Just-Auto. It’s based on a conversation they had with him at the Geneva Auto Show.
I can’t reproduce the whole thing but here’s a few very interesting tidbits…..
——
Spyker only opened talks with GM once the earlier deal to sell Saab to Swedish specialist carmaker Koenigsegg collapsed last November. Since then, the deal has been on, then off, then on again: Spyker finally closed it on February 23 – just 93 days after Muller started the process with a simple email to GM director Bob Lutz.
“Eight minutes later, I got a reply,” he says. “And next thing we know we’re on a rollercoaster ride that will take 93 days, working 20-hours a day. But here we are. Saab lives, and I’m very proud of that.” …….

…….While “Saab lives”, it’s hardly in the best of health. A combination of recession, uncertainty and ageing models saw sales slump to just 40,000 in 2009 – a very long way short of Muller’s break-even target of 100,000 cars a year. “Now the work starts. Everything we’ve done so far is nothing compared to what we’ll have to do in the next two or three years.”
And this is where it starts to get interesting – and why there may be reason for greater optimism over Saab’s future than perhaps my departure lounge companions believe. Muller has a simple target – 100,000 cars a year – and a pretty good plan for how to get there……
……The 100,000 target is achievable, he believes, as it’s a lot less than Saab has managed in the past. “Saab has consistently delivered 120,000-130,000 cars a year, and only fell to 98,000 in 2008,” Muller says.

……Does Saab need a smaller car than the 9-3? “I think we do, yes,” comes the reply, without hesitation. “Is that a clue?” I ask, pointing to the 93. “You’re looking at it,” Muller says……
……He reaches for his pocket, gets out his Blackberry. A few prods at the touch screen and he hands it to me, saying. “You’ll like this.”
And there it is, in glorious LCD. The bullet nose, the tapered teardrop tail. The high waist. It’s unmistakably a modern take on the classic Saab 96, but with a headlamp and grille treatment that’s closer to the face of the new 9-5. I’m lost for words…..
……Muller is adamant the new 92 is not a retro car, and cites the BMW Mini as proof. While it takes its lines from the 1960s original, it’s very much a car of the 21st century. “And they sell twice as many as they thought they would,” Muller adds. “They sold 230,000 last year – how well does the Mini contribute to the bottom line of BMW?”

Muller believes Saab has the technology in-house to make the car, too. “It’s underestimated just how advanced Saab is today,” he says. “It’s all there.” That means hybrid powertrains and other state-of-the-art tech stuff.

“Wideking showed the industry where to go. Every business decision has to meet two requirements. What does it do to enhance our profitability, and what does it do to bring our break-even point down?”
The Boxster, for example, “cost 20% more than a VW Golf to make, but sold for twice the price. It was the most profitable car they made. There’s a lot to be learned from that.”
——
OK, it was a little bit more than just a few, but it was soooo good.

Related posts:

  1. Reuters: Spyker financial news
  2. Vladimir Antonov talks about Saab
  3. Summary – Spyker EGM, future plans and EIB loan approval
  4. Short interview with Victor Muller from Spyker
  5. Saab USA dealers get their yes/no letters

{ 43 comments }

1 Alexandros March 18, 2010 at 12:54 am

“And there it is, in glorious LCD. The bullet nose, the tapered teardrop tail. The high waist. It’s unmistakably a modern take on the classic Saab 96, but with a headlamp and grille treatment that’s closer to the face of the new 9-5. I’m lost for words…..”
To all the artists among us…start your pencils!

2 quijote March 18, 2010 at 1:18 am

interesting info about the boxster did not know that wow!

3 Thyl March 18, 2010 at 1:21 am

All deserved and desired optimism aside for a minute, i have heard rumours that the profitability of the Mini is not where BMW wants it to be, also due to lack of platform sharing. Its not only about sharing development costs, but als parts sharing. If it could be based on the delta platform, it could be built in trollh

4 Saabheart March 18, 2010 at 1:33 am

Sounds good! It would be smart to get some finalized drawings sent off to the automotive news places as soon as possible to get the buzz going that Saab is back and means business. More than anything else, Saab needs people to know they are going to be around for a long time, and that means getting the word SAAB in print as much as possible. Pictures say a thousand words :)

5 Michael March 18, 2010 at 1:35 am

Wade,
You have obviously seen VM’s by now famous LCD rendering of the “reborn” 92/93/96.
Are you able to draw a rough picture from your memory of what you have seen to kill our curiousity?
Something tells me that the various renderings we have been presented with lately of what we’re told may be a future small car, possibly badged 9-1 (

6 baas900i March 18, 2010 at 1:45 am

i went on a 320k return trip in my classic 900 today, its 17yrs young and saab [vm jaj et al] will have to work very hard to replicate its durability and enjoyment. it had no problem overtaking our 36.5m roadtrains!

7 saabdog March 18, 2010 at 1:47 am

I absolutely love the way VM talks about Saab. I think it would be a mistake to underestimate his vision for Saab, or his ability to pull off a 9-1 sized car that is profitable. He is an entrepreneur, and thinks like one. We are lucky to have him. Saab is going to surprise a lot of people. Can’t wait to see his rendering!

8 Kroum March 18, 2010 at 1:57 am

Very interesting stuff. Just Auto is one of the best sites in the industry, they always ask the right questions and their analyses are always intriguing to read.

9 zippy March 18, 2010 at 2:06 am

You forgot to add that you have to be a member to see the article. Whats the point? GRRR! ;o)
VM has a vision and I sure as hell like it.

10 Richard March 18, 2010 at 2:27 am

“It’s underestimated just how advanced Saab is today,” he says. “It’s all there.”
This clearly reminds me of a comment made here on SU by a Saab engineer during the bidding process a couple months ago. He/she said many people would be blown away by what they are working on in the back rooms at Saab.
So for VM to bring this into the public forum is another very important step in getting the word out that Saab is on the map and leading the way with very innovative technologies. This is so encouraging to hear and I suspect much of this technology we will be seeing in either the new 9-3, or the rumoured 9-1.

11 Michael March 18, 2010 at 2:38 am

I’m very curious and excited about this new technology too. I wish Saab will present at least some in the nearest time (it will also provide some positive buzz in press, which is important).

12 M (US) March 18, 2010 at 2:39 am

Totally agree. I think that may have been a reason GM wants access to Saab tech while they supply it to Saab (if I am reading it right). For once, though, Saab will have a car with it first. Very exciting. Also love that VM is showing up in every car magazine and website. Free press and it is mostly all good and positive. I have 100% faith in Saab that they will storm back like never before. The industry has changed so much that sharing development is not unheard of and this is such an advantage for Saab.

13 GerritN March 18, 2010 at 2:42 am

I think that especially during the last 10 GM years the SAAB engineers were totally underutilized. So, they could work a lot on their personal interests, very much like the Google software engineers are encouraged to spend a big chunk of their time on their hobbies. There must be 10 or more years of all kinds of interesting stuff lying around in the SAAB back rooms.

14 Mike900 March 18, 2010 at 3:53 am

All good things :-)
Sooooooooo curious about this new small car render though.

15 Henrik March 18, 2010 at 3:56 am

Victor and Steven, we need to se that 92 Victor created, I

16 Konsta March 18, 2010 at 5:15 am

Interview after another, I

17 Michael March 18, 2010 at 5:55 am

Off theme, but:
Here’s a funny clip on Youtube called Saab Toy Performance! Worth a look!
http://www.youtube.com/watch?v=3iffYOttzpI

18 GerritN March 18, 2010 at 6:03 am

Some people have too much time on their hands.

19 Rune March 18, 2010 at 6:16 am

I already saw the first one a while back — I didn’t realize there was going to be a sequel! Thx! :D

20 Me March 18, 2010 at 6:39 am

Henrik, this is not the time for vapour-ware. As long as it not clear if they have the funds to build this car it will remain a secret.
I think, not even Swade would dare to brake that secret.

21 Xunil March 18, 2010 at 8:59 am

I don’t know if you’ve seen it, but a journalist at Di.se made an “official apology” or something like that today in the newspaper.. It was quite interesting to read and it turned out that he actually is an old enthusiast.

22 Me March 18, 2010 at 9:26 am

Somebody said once, SAAB may work in the near future with BMW on a small car platform.
Maybe this is a hint in that direction.

Draeger suggested this new platform could come to market as early as 2014 branded under BMW or MINI

23 till72 March 18, 2010 at 9:42 am

And it would be a benefit for Mini in terms of beeing more profitable. But I’m curious if this platform would support XWD which I’d expect Saab to offer in a 92 Aero.

24 Me March 18, 2010 at 9:47 am

Yes it will, at least Mr. Dreager said so.

25 till72 March 18, 2010 at 9:55 am

And the unnamed Munich based guy said so, too. Should have read the article first…
So we might have a fit. But is 2014 soon enough for Victor?

26 Me March 18, 2010 at 10:06 am
2011   -->  9-5 SC  9-4X
2012   -->  NG 9-3  (Sedan + hatch); Maybe 9-5X
2013   -->  NG 9-3 SC
2014   -->  Small SAAB

It seems as if BMW has still to begin developing this FWD/XWD platform, so it would be perfect for SAAB as they could adapt it a little bit to their needs.

27 till72 March 18, 2010 at 10:21 am

Maybe Saab even has some useful ideas in their back rooms. Helping a bit with development may reduce license costs.
Interesting times.

28 turbin March 18, 2010 at 10:55 am

Just get me something I’m prepared to give the 9000 up for.

29 100%Saab March 18, 2010 at 12:39 pm

“sales slump to just 40,000 in 2009 ”
Not bad for being declared dead. Miracle Max time! (Princess Bride)
By the way I bought one of those 2009 Saabs.
Just call me Die Hard Saab!
Just a thought.

30 aaron c March 18, 2010 at 1:19 pm

Any idea of the production capacity at Trollhattan? Seems to me that under positive economic conditions, and with all of the 9-3 and 9-5 variants in production, the factory should be maxed out. Maybe this 9-1, were it to be based on the Mini platform, could be assembled in Oxford. And maybe it’ll have a Peugeot engine like the current model. Sounds like an interesting combination to say the least. I’d buy one.

31 TGX4776 March 18, 2010 at 1:26 pm

Would BMW really share a platform with a direct competitor though?

32 aaron c March 18, 2010 at 1:52 pm

A platform may be one thing, but they’re sharing engines with Citroen’s DS3, a prime competitor for the Mini. If platforms are done right, no one really knows what cars are related.

33 TGX4776 March 18, 2010 at 2:01 pm

true….. if they did it for the 9000 then who knows

34 Jim Haynes March 18, 2010 at 2:25 pm

Swade,
After Victor’s praise of Dr. Wideking, I hope you reconsider your editorial remarks responding to an Automotive News editorial suggesting that Dr. Wideking be a member of the Saab Spyker Board. :)

35 Me March 18, 2010 at 5:17 pm

@TGX4776
They have explicitly said that they are willing to share the platform with “other automakers with a technology sharing contract”
If they don’t share this platform with a competitor that can only steal them 5%-10% of their sales, but increasing the total number of cars build on that platform, with whom should they share it.
I assume that SAAB would steal some BMW sub-1 sales, but also A1 sales. And the majority of the units would be sold to people owning a bigger SAAB and a non SAAB as second car.
With the other “mass production” premium brands? I don’t think so, it would be worse for them.
With a “non-premium” brand? I don’t think PSA is interested, they already have platforms in this segment.

36 Michael March 18, 2010 at 6:59 pm

Me, it makes more sense to me if Saab will be developing platform for both, not BMW. They’ve built FWD once – Rover 75 (and ditched it), and they build AWD, but Saab has more experience in FWD (remember Alfa Romeo 159 initially developed by Saab with latter input fron Alfa being much better in moose test then BMW and others). It is better for Saab in business terms too. They already buy platforms and components from GM, why buy another from BMW while having a brilliang engineering deparment? For me, only Saab’s main role in developing such platform or at least equal joint efforts will make sense, not paying BMW for a platform.

37 TGX4776 March 19, 2010 at 2:02 pm

Thanks. times are a changin.

38 Gripen March 19, 2010 at 9:03 pm

It is urgent for saab to have a 9-2 “sporthatch” more than a 9-1 ! … LEXUS/VOLVO/BMW are working on sport compact cars… hurry up VM !

39 Anonymous March 20, 2010 at 8:51 am

It is great if they are going to produce a smaller car, this is what SAAB needs, not a big SUV.
Thank you again for your good work in keeping us up to date on your good site.
Best wishes, J

40 Anonymous March 20, 2010 at 8:51 am

It is great if they are going to produce a smaller car, this is what SAAB needs, not a big SUV.
Thank you again for your good work in keeping us up to date on your good site.
Best wishes, J

41 Anonymous March 20, 2010 at 8:51 am

It is great if they are going to produce a smaller car, this is what SAAB needs, not a big SUV.
Thank you again for your good work in keeping us up to date on your good site.
Best wishes, J

42 Anonymous March 20, 2010 at 8:51 am

It is great if they are going to produce a smaller car, this is what SAAB needs, not a big SUV.
Thank you again for your good work in keeping us up to date on your good site.
Best wishes, J

43 Anonymous March 20, 2010 at 8:51 am

It is great if they are going to produce a smaller car, this is what SAAB needs, not a big SUV.
Thank you again for your good work in keeping us up to date on your good site.
Best wishes, J

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