Saab’s real estate deal, done !!!

Saab Automobile Have Reached Conditional Agreement For Sale And Lease Back Of Saab Property

Trollhättan, Sweden: Swedish Automobile N.V. (Swedish Automobile) announces that Saab Automobile AB (Saab Automobile) have reached a conditional agreement with respect to a sale of 50.1% of the shares in Saab Automobile Property AB (Saab Property) with a transaction value of SEK 255 million (EUR 28 million).

A consortium of Swedish real estate investors, led by Hemfosa Fastigheter AB (the Consortium), will purchase 50.1% of the shares in Saab Property for a total consideration of SEK 255 million, reflecting an adjustment to the transaction price for a one year lease free period. The property consists of 483,000 m2 building space. The investors have the right to purchase additional shares to increase the amount to SEK 300 million (EUR 33 million) on the same terms within 30 days after closing.

Saab Automobile will enter into a lease agreement with Saab Property for a duration of 15 years.

As joint owners, the Consortium and Saab Automobile seek to further develop the property, including a refinancing of the property at a later date when commercially feasible. Saab Automobile is being advised by Catella Corporate Finance.

In order to enable Saab Automobile to sell the property, the Swedish National Debt Office (NDO), being the guarantor of the EUR 400 million loan of the European Investment Bank (EIB), is requested to release its pledge in the shares of Saab Property. If the NDO releases its pledge in the shares of Saab Property, the guarantee of the NDO in favour of the EIB will be reduced by EUR 120 million. As a result, Saab Automobile will draw up to a maximum of EUR 280 million under the existing EIB loan (of which EUR 216.9 million have currently been drawn). A further EUR 63.1 million will remain available to Saab Automobile under the EIB loan. Saab Automobile seeks final approval from the EIB, the NDO and the Swedish government to complete the transaction which it expects shortly.

Swedish Automobile and Saab Automobile continue their discussions with several parties to secure additional short-term funding to restart production. There can, however, be no assurance that these discussions will be successful or that additional short-term funding will be obtained.

Jens Engwall, CEO Hemfosa Fastigheter AB, said: “We are very pleased with the agreement with Saab Automobile. We will continue to add value for Saab Automobile in developing the property.”

tobbe
Member
5 years 3 months ago

Good news!

DUTCH900C
Member
5 years 3 months ago

This is very, very good news!!

gunner712004
Member
5 years 3 months ago

+1

900SE
Member
5 years 3 months ago

+2

bpsorrel
Member
5 years 3 months ago

+3

zippy
Member
5 years 3 months ago

+4

vladarh
Member
5 years 3 months ago

+5 🙂

Coke is it
Member
5 years 3 months ago

Finally!

To support Saab, go down to your local dealer and place an order for a new Saab, that is the only thing that can save Saab.

VM is a true hero.

Angel-off
Member
5 years 3 months ago

I’m expecting for the next news to be “Saab employees received their salaries” and after that “Saab production line is up and running” 🙂 They have to produce about 2500 cars for Chinese market only and many more for the rest of the world. People are waiting…

davidsblumberg
Member
5 years 3 months ago

Excellent!! Money from Sweden, money from China and hopefully money from Russia. Production should start soon enough 🙂

tompa
Member
5 years 3 months ago

David! How good to see you here.

Griffin UP!

Play it over and over people! As loud as possible!

Just listened to your tune yesterday in the car. Wonderful stuff!

Cheers/Tom

Troels, Denmark
Member
5 years 3 months ago

Great! 🙂
Well done!
– Even though, I am not so pleased to hear that this is not sufficient to restart production …

ryanonsrc
Member
5 years 3 months ago

First things first. I would rather they restart production when they know it can keep running for awhile. I am pretty sure they don’t want to restart production only to shut it down *yet again* a few weeks later.

Alexandros
Member
5 years 3 months ago

“We will continue to add value for Saab Automobile in developing the property.”

Nice!

Motoradd's Cat
Member
5 years 3 months ago

I guess Saab hit rock bottom last week, so the only way now is up and away.

This is excellent news, and I hope the line starts running very soon.

M.A.
Member
5 years 3 months ago

Let’s hope for more good news in the coming days.

till72
Member
5 years 3 months ago

Very good news. Slowly the pieces fall in place. Now get the suppliers back on board and start production.

Tim
Member
5 years 3 months ago

Nice! Hopefully the EIB and NOD will approve this deal in the next few days. Saab really needs this money.

900 classic cab
Guest
5 years 3 months ago

So, once again the NDO holds all the cards…let’s hope they play clean.

gunteman
Member
5 years 3 months ago

So far, the NDO has been the good guys. Or maybe not so much good as actually just doing the job they’re supposed to do, and doing it in a rather swift way.

900 classic cab
Guest
5 years 3 months ago

Really hope so, but I think they tooked to long before..

tompa
Member
5 years 3 months ago
Nah, I´d say the NDO hasn´t been much of a pain for Saab. The Head of the NDO, Bo Lundgren, has really been understanding and professional. Neither has he had any questionmarks regarding Mr Antonov. The Government not listening to the NDO´s directives is The problem. The strange thing in all of this is that Mr Lundgren is a fellow conservative to the current PM and Mr Lundgren himself was the PM at one time… The “Moderaterna” Conservative party has changed a bit in recent years one might say.. (Their new slogan “The New Labour Party” has never sounded so… Read more »
Olav
Member
5 years 3 months ago

Nice, really nice! 🙂 Having echoed myself lately with “keep calm & carry on” this really made my day!

SAAB UP!

Cheers from Norway
-Olav-
Always on the longest road home when out there with my SAAB. Always!

RS
Member
5 years 3 months ago

The naysayers champagne is getting warmer again.

Saab should find a way to use the orderbook better in the future to get liquidity for production. This cannot happen ever again. Now find that CFO who loves challenges!

Patrik B
Member
5 years 3 months ago
This is a quick fix, what SAAB needs is long term financing! So far we have around 290 million SEK from EIB, 120 million SEK from “a Chinese company” and 255 million SEK from Hemfosa. This adds up to 665 million SEK. Previously there were talks about SAAB needing 700-800 million to start up production. And how does the 290 million SEK from EIB compare to the money from Hemfosa if SAAB need to add as much money as EIB? We desperately need this money to keep SAAB alive until a deal can be signed with Pang Da and Youngman… Read more »
Bravada from GMI
Member
5 years 3 months ago

First off, “we” don’t have the EIB money, I wouldn’t count on them allowing Saab to draw that down anytime soon. I guess Saab will sooner refinance the loan than come to terms with the EIB.

anders
Member
5 years 3 months ago

The money from EIB won’t come until SAABs economy is better. So, no EIB money right now..

m!ko
Member
5 years 3 months ago

The EIB money, as I remember, were for research and developement, not to secure current financing

xlx
Member
5 years 3 months ago

there are still +45M€ from the first two Pang’Da orders, if I recall correctly

Patrik B
Member
5 years 3 months ago

But where did they go? Have they been put in the big black hole by the SAAB CEO or are they in a reserved account as payment for the actual cars?

hilmar
Member
5 years 3 months ago

Whew ! 🙂 But the stress remains. Now cars must be build quickly to ensure long dated financing. At present the money seems to be a pocket money compared to that what is needed. They actually have to prove with how many sold cars they can survive in the long run. Perhaps the business plan was too optimistic ?

Bravada from GMI
Member
5 years 3 months ago

Saab Automobile is being advised by Catella Corporate Finance.

No wonder they can’t pay the staff and parts’ suppliers!

RS
Member
5 years 3 months ago

I think (hope) it was only for the real estate deal. Never ever outsource your financial decision making. Only people with skin in the game will care and do good.

Tim
Member
5 years 3 months ago

Valuation, negotiations and contracts for real estate stuff is a completely different ballgame. It’s not like selling cars, so no wonder they need external help for this.

espen
Member
5 years 3 months ago

We really need a longterm financing. I hate to see the factory start and then stop again after 2 weeks. :/

Khrisdk
Member
5 years 3 months ago

All other worries apart, imminent death seems to have been postponed.

Could we just take a second to feel good about that before we restart the Depression Autodestruct Sequence.?

Tripod
Member
5 years 3 months ago

“Could we just take a second to feel good about that …”
Yes, we can. 🙂
Really, good news; although expected, but it took some time.

JH
Member
5 years 3 months ago

Extremely encouraging news! This does not mean that all problems are solved, but things are definitely going in the right direction. 😀

Sadim
Member
5 years 3 months ago

Are they really? The EIB is evidently not going to give SAAB the next 260 MSEK until finances are in a more healthy state, the Chinese money from yesterday’s deal will only just pay the June salaries and the real estate money will secure the July and August salaries.

Today Dagens Industri reports that analysts are very sceptical to seeing a Chinese decision to invest before the end of the year.

So where is the money to actually manufacture cars going to come from?

till72
Member
5 years 3 months ago

The critical thing is that they have to manufacture cars. That will generate cashflow. Now bringing the suppliers back is the most important task.

Khrisdk
Member
5 years 3 months ago

Take it one step at a time.

Hemfosa only wanted to go through with the deal if they were more assured of Saabs longtime survival.
They seem to trust this as they have decided to make the deal.
Someone in China decided to spend a little extra on cars.
They must believe in something too.

Both parties are definitely parties who mainly belive in Money.
They have decided to go through with their deals

Bravada from GMI
Member
5 years 3 months ago

If there is any positive news from Saab, DI.se will find something negative to counter it. The “analysts are sceptical” story is a safe bet, you can run it over and over again and nobody will ever say you’re inaccurate or anything. It’s a bit like “Kim Ir Sen still dead, experts say”.

RS
Member
5 years 3 months ago

Wasn’t that something like 80 MSEK to suppliers, 30 in salaries and 30 in overdue bills.
With 10.000 car in the backlog (around 100 MSEK in profit) they should be able to pull this one off with additional financing coming in later.
I also expect the orderbook to double when the line is up and running again. There’s a huge demand for the 9-5 SC and 9-3 SC Griffin TTiD’s.

SaabSouth
Member
5 years 3 months ago

Not wishing to be fussy but…… there is no money here yet! Waiting for EIB and NDO….. how long will that take?

Ruben NL
Member
5 years 3 months ago

Yes, I have my doubts too.

peeceepeh
Member
5 years 3 months ago

Yes, you are right. Let’s hope this will go through, too.

But now, Olofsson cannot claim anymore that nobody wants to buy SAAB’s property [as was reported in http://www.aftonbladet.se/bil/collin/article13224888.ab%5D.

It’s getting tight for her. She has to justify why she bet on the wrong horse. And why she continues to claim that in Sweden there’s no need for SAAB.

ryanonsrc
Member
5 years 3 months ago

Step by step: the Saab management seems to continue overcoming each obstacle. This strengthens my confidence that thsy will be able to reach significant critical mass to become a dormidable force in the automotive induatry.

Audun
Member
5 years 3 months ago

+1 🙂

turbokalle
Member
5 years 3 months ago
When Saab is through this time of uncertanty and back on its feet I belive they will have strengthened their brandvalue. If Saab was a underdog before, they will be the underdog of underdogs and many will love driving around in a car that, not only states “I`m different. You drive your Audis and BMW:s and try to be as happy with your car as I am, suckers” but also “Yeah, thats right. You never thought Saab would make it right. Well they did and look at my beautiful car. Eat the little rubberparts that comes off my tyres will… Read more »
Bravada from GMI
Member
5 years 3 months ago

Here’s to hoping they will have consistent, strong and effective marketing/PR communications plan to say “we’re back” to the public, media and customers. Something totally different to convince them Saab is effectively reborn, not just a temporarily resuscitated zombie like it appeared until now.

m!ko
Member
5 years 3 months ago

true, Saab’s Corporate Identity is so poor, might be not enough for “reborning gryphon”, the brand should shine on the market, so everybody see it, it’s the only way to sell some cars,

Bravada from GMI
Member
5 years 3 months ago

I don’t think Saab has a problem with Corporate Identity, but rather with the USP – they can’t communicate strongly enough why it is worth it to buy a Saab despite all the negative circumstances and why Saab is a different company.

And in the sales/marketing field, for now they simply aren’t different, and definitely should be.

Tripod
Member
5 years 3 months ago
As for the USP; too much “safest car around” could perhaps by some, not by me, be perceived as boring, and I agree that it’s difficult to get the message out, since it has to be consistent, it’s difficult to be two contradicting things at once, or what people believe is contradicting, such as “safe & sporty”; but it’s a fact that Saab is at the same time among the safest and most enjoyable cars to drive. If it beats some German brands in safety, isn’t that worth something? If it’s more fun to drive than another car from Sweden,… Read more »
Bravada from GMI
Member
5 years 3 months ago

The USP is simple – Saabs are the best all-around cars for people who DRIVE. If you really care about what you drive and have the money, Saab is the best choice you can get. This is why once you go Saab, you rarely go back.

Tripod
Member
5 years 3 months ago

“You drive your Audis and BMW:s and try to be as happy with your car as I am …”
😀
Indeed; GO SAAB!

peeceepeh
Member
5 years 3 months ago

+1

AndOne
Member
5 years 3 months ago

Good news! Get the production line up and running and I will order a 9-5 SC. Lots of people are talking about that car now.

aki
Member
5 years 3 months ago

This is very good news . They must have confidence or they might know something we don`t know because re-leasing the property to Saab must be based on something solid. That is a lot of money to gamble if you don´t have confidence in the future. This a rollercoaster of emotions. Great team.

gannet
Member
5 years 3 months ago

too little, too late. still Ponzi scheme of getting money. Money that should come from the profit replaced by “invesment” from outside.
I understand there needs to be some injection to get the company producing and going to make money since it is broke and dried up, but…
Did anyone hear when Saab wants to make profit? 2013?2014? Has anyone said what is the goal?

I am afraid I will not get 95combi this autumn, because it simply wont be made. :-/

Carmania
Member
5 years 3 months ago
You are wrong. The problem SAAB faced was that because the Antonov deal was blocked by EIB (Swedish government?, GM?) they got late on the payments to their suppliers. This stopped the production. Then EIB stopped their scheduled payments from the loan because they are not allowed to pay if the company is in disputes with their suppliers. Now suppliers want their money and cash on delivery for further deliveries, EIB refuses to pay out scheduled payments and SAAB are not making any money since they are not producing cars. This show exactly how dangerous it is to get into… Read more »
nils
Member
5 years 3 months ago

Saab has a lot to go for it. But right now, the company is bleeding to death. The production stop should have been avoided and the focus of VM should have been on getting extra funds at a much earlier stage.

Now get production started ASAP, or get new owners through bankruptcy who can start again.

gannet
Member
5 years 3 months ago

thanks for reply.

Ralph
Member
5 years 3 months ago

Thanks for the informative comment, Carmania.
Also very useful to quote in a Troll-defence.

Khrisdk
Member
5 years 3 months ago

Real Trolls don’t bother with the info or answers you can provide.

Ralph
Member
5 years 3 months ago

True…well then, maybe it can prevent a potential Troll from becoming a Real Troll. 🙂

gannet
Member
5 years 3 months ago

I am not trolling. I stated my opinion. That is huge difference!

It is very simple (to say at least) to mark any other opinion than “happy excited” as troll. beside the fact it is low and unfair.

I am very concerned about Saab and sad about current situation, I genuinelly wish Saab survival and “happily ever after” , I just do not believe it any more.

And it is my right to state it (with or without reasoning why I think so). Period.

Khrisdk
Member
5 years 3 months ago

I don’t think anyone accused you of Trolling.
Carmania also stated his opinion with what he sees as facts, and Ralph liked the info.

But the fact remains that there is not money from profit, so outside investment is a must.
Long term calculation of profitability is probably hard to do right now

I do however believe with the current events that you may still get your 9-5SC.

Ralph
Member
5 years 3 months ago

@gannet, I was purely reacting to the comment by Carmania and didn’t say or suggest you were trolling. Sorry if you saw a connection, but there really isn’t any!

gannet
Member
5 years 3 months ago

to Khrisdk 12:45 and Raph 13:36: OK, thanks guys.

mike saunders
Member
5 years 3 months ago
Again…Saab is a major customer for GM drivetrains and chassis components. A rational actor would not raise objections to a deal that would bring in money with no risk. (Remember, GM is holding preferred stock originally valued at 4-5 times the $75 million cash Spyker put up.) Its in GM’s best interests for Saab to survive, both to recoup the $325 million loan it made to Spyker in the form of the preferred stock allotment, and to keep a long-term customer for drivetrains. Contrary to what you’ve said above, GM actually has an interest in seeing Saab succeed. So, with… Read more »
Carmania
Member
5 years 3 months ago

Maybe GM is worried about the competition in China and Russia? GM are doing well there with for example the 9-5 cousin LaCrosse. Maybe they also don’t want Chinese manufacturers to get access to GM technology and know-how?

mike saunders
Member
5 years 3 months ago

GM has already sold Chinese carmakers the intellectual property (engines, platforms and electronics) to the old 9-5, and GM already operates EIGHT factories in China because the Chinese government requires most foreign manufacturers to open plants in the country instead of importing goods.

Plus, GM’s objections to VA came before Chinese partnerships were even considered.

As for Russia, GM has at least one, maybe two assembly plants in Russia, and has joint ventures with Russian carmakers.

KaiC
Member
5 years 3 months ago

Right! GM don`t want saab car be manufactured in China.I just made a phone call to an insideman in GM China and get the news the new LaCrosse GS will be lounched soon in China,like saab 9-3 Aero, with 2.0T 274hp ,some tech from opel and some from saab.The slower saab developing the happier GM will be.They can sell their car more.If saab is landed in China .They will meet a real strong competitor.

Bravada from GMI
Member
5 years 3 months ago

Oh my, this is getting grotesque…

http://translate.google.com/translate?js=n&prev=_t&hl=en&ie=UTF-8&layout=2&eotf=1&sl=sv&tl=en&u=http%3A%2F%2Fwww.gp.se%2F

Perhaps they could hire the guys IAC has let go? If IAC made my 9-3’s dashboard, I’d rather somebody else started to do it!

mackinley
Member
5 years 3 months ago

Yes, IAC is making the 9-3 dashboard and 9-5 as well… along with most of the interior for both 9-3 and 9-5… so no Saabs without IAC producing parts…..

Börjesson
Member
5 years 3 months ago

Are these the exact same properties that were valued at 900 MSEK when Antonov was the intended buyer? If so, they’ve lost 33 percent of their value in few months. There’s actually a danger that the EIB will say no to the deal on the grounds that Saab doesn’t get enough money, which would be extremely ironic…

Tripod
Member
5 years 3 months ago

Börjesson,
I earlier wondered about that, when they first mentioned around 300; a few things comes to mind, several things has changed; they’re buying around half of the shares (50.1% of the shares); also it includes: “… reflecting an adjustment to the transaction price for a one year lease free period.”

Börjesson
Member
5 years 3 months ago

I generously estimated the value of the lease-free year to 45 MSEK, to round up the total amount Hemfosa pays to 300 MSEK. 51 percent for 300 MSEK still means a total value for Saab Property of less than 600 MSEK, compared to the 900 MSEK talked about before. If this is indeed the same property, the the drop in value is dramatic.

Börjesson
Member
5 years 3 months ago

Sorry, make that 50.1 percent. The conclusion remains the same, though!

Tripod
Member
5 years 3 months ago

Indeed. But I don’t have much info at the moment.

Tripod
Member
5 years 3 months ago

“I generously estimated the value of the lease-free year to 45 MSEK, to round up the total amount …”
Ehm, that’s roughly 90-95 SEK/square metre; a bit low don’t you think …? 🙂

ANA
Member
5 years 3 months ago

Saab weren’t exactly in the best negotiating position….

Börjesson
Member
5 years 3 months ago

I have no idea how many square metres Saab needs for the production, nor what the going rate per m2 should be. But even at this rate, the full proceedings of the sale will have been repaid in rent in only seven years. That would seem like a terribly bad deal to me, so I’m hoping that the rent is actually a bit lower than 45 MSEK.

Bravada from GMI
Member
5 years 3 months ago

A 7-year yield on an industrial property is a relatively fair deal, especially that it apprently requires investment in that period and probably isn’t so easily commercializable, otherwise Saab would have already done more of it.

solvy
Member
5 years 3 months ago

don’t forget that antonov wanted an additional stake of 6% in saab. that’s why the deal with antonov was blocked.

peeceepeh
Member
5 years 3 months ago
I guess if SAAB will file for bancruptcy (I do hope it won’t!), then the value of the property would go down to practically zero as nobody would need such rather big buildings (except for purposes like this: http://www.tropical-islands.de/en/visitors.html). So, I can imagine that a drop in the gross value is to be expected. It simply has to take account of the fact that Hemfosa might not be able to find contractors for the unspeakable event. I still don’t get why the EIB can say no. They have to take care that the research procejt(s) (for which the EIB money… Read more »
OliverH
Member
5 years 3 months ago

What’s the added value they want to develop? Use facility to produce other goods?

Polle
Member
5 years 3 months ago

Since they buy 50.1% of the shares, I guess that they pay 50.1% of the value…

biscuitybob
Member
5 years 3 months ago

Wish things would moved on soon, orders being cancelled already. The word is spreading and it seems only the uninformed are buying at the moment. Enquiry levels are at an all time low …..doesnt get any lower than zero! ……trying to stay positive but i cant see a way back.

jond
Member
5 years 3 months ago
Since it was in the last press release as well, the paragraph about ‘continuing discussions’ sounds to me like a legal ‘get-out’ clause to allow business to continue whilst (perhaps, I don’t know) the company is technically insolvent and/or has failed to meet its obligations. Perhaps it is not that important. In the meantime the production line absolutely must start running soon. Why doesn’t the company ditch the suppliers who are playing hardball and start to source from China? That would show that the ‘partnership’ with the Chinese is not all one way. And frankly I don’t care if the… Read more »
Dejjo
Member
5 years 3 months ago

OMG how is this good news? 255 million i not nearly enough. first it was 800 million, then 300 now 255. Saab is being sold of pice by pice for lunch money.

Khrisdk
Member
5 years 3 months ago

The deal is for 50,1% not 100%.
There is also a lease free year included.
If NDO and EIB accepts the deal, it is because it is a fair price at the moment.

whoozy2002
Guest
5 years 3 months ago

more breathing space… experienced coo and ceo required asap, solid equity alliance with a substantial forward thinking manufacturer required, total revamp of sales and marketing required including addressing msrp, $72k plus local taxes for a 9-5 sedan with miniscule 17″ alloys and 220hp will not build sales here in Australia, Saab keep telling the world they can deliver the goods so lets see them…

Lardy
Member
5 years 3 months ago

Lots of posts criticising trolls on here and I think that’s a large part of the problem.

According to the t-shirts they actually make the cars so we should be more supportive :p

http://saabdesign.spreadshirt.net/made-in-trollhaettan-by-trolls-A11217134

Peter Gilbert
Member
5 years 3 months ago

This indeed exciting news. We can now put the bottles down. My Big question is who are the new managers who are running the everyday operations of Saab. They are needed to replace those who have left.

Börjesson
Member
5 years 3 months ago
Some interesting snippets from the online chat with SvD’s Jonas Fröberg this afternoon: Helene: […] Is it correct that Saab in the last 20 years with GM never made a profit? How come? Jonas Fröberg: Hello Helene! […] Saab made some cautious profits in 1994-95. Since then, there have only been losses. It’s hard to say exactly how big, since certain items – such as the sales in the US – weren’t included. But it has been confirmed from within Saab that in most years they wouldn’t have made a profit anyway. Saab has built too few cars in too… Read more »
Tripod
Member
5 years 3 months ago

Pure speculation here, but with regard to the business plan and perhaps revised break-even levels; didn’t they say that they had worked on cutting costs during the last year? That said, things have definitely changed since then.

Börjesson
Member
5 years 3 months ago

Good summary of the situation, plus angry criticism of the government, in Dagens Arbete:
http://dagensarena.se/reportage/%E2%80%9Ddet-ar-ett-politiskt-misslyckade%E2%80%9D/

Börjesson
Member
5 years 3 months ago

Sorry, make that “Dagens Arena”.

Toby K
Member
5 years 3 months ago
Its a fair article the first to be vehement in its criticism of the “by stander agencies” in my view who should act but pretend to be powerless. translation: ANALYSIS. Saab rolls ever closer to bankruptcy. Thousands of jobs are directly threatened, and several analysts warn of a snowball effect on the supply side. The company is in urgent need of money and the Swedish government has been ruling in his hand. But from the Economy Ministry is silent. And in Trollhättan is growing frustration. Bad news in Trollhättan has a tendency to come up with the worst possible timing.… Read more »
SAABNUT
Member
5 years 3 months ago
Hi Toby K Quote Saab can get over two billion dollars by a concrete business with Chinese companies, Youngman and Pang Da. But where the expected response from the Chinese authorities until a few months. Saab also has an outstanding tranche of 260 million from the European Investment Bank, EIB. But according to Swedish newspaper Svenska Dagbladet, citing sources within the Bank, there will be no more money from EIB. The reason is that the Bank is bound by EU rules which say that the bank can only pay out money to “healthy company”. Saab must simply be in a… Read more »
Toby K
Member
5 years 3 months ago
Swade embarrassed the powers that be at GM and got stuff done. The only way to get stuff done is to show incompetence and make people look stupid in order to embarrass them into actually doing their jobs. If there is a problem they must say…if there is not a problem they must DO!! This has all of the hall marks of a huge car crash with everyone just looking-not helping. Icannot believe that Sweden would prefer this after watching the UK’s indeginous auto industry become totally derelict and it never even had the potential of Saab. That so many… Read more »
Bravada from GMI
Member
5 years 3 months ago
I think UK produces more cars now than when they had the “indigenous” industry, and the likes of Rootes and BL were the butts of jokes rightly so. Plus everybody still wants and can get a British-buit Rolls-Royce, Bentley, Jaguar, Land Rover or MINI. Saab can rival BMW even now when it comes to product – and won’t be able to rival BMW in size even in 10 years. But that’s not the point. The thing is that Saab is surely one of the “greenest” automakers of those who use ICEs (and those who don’t… what was the latest news… Read more »
Pedro
Member
5 years 3 months ago

+1

Börjesson
Member
5 years 3 months ago
At any rate, it can be argued that Saab’s problems are due to horrendously bad management, not fundamentally unrepairable business model. There is demand for Saab cars, the prices are right, the costs are low enough and can perhaps still be lowered, there is demand for Saab’s engineering services and development perspectives. With regard to that, I could understand not wanting to support the current management, but certainly not writing off the company. It is always cheaper to maintain jobs at a going concern than to try to reemploy people somewhere else. Well put! I agree wholeheartedly. In fact, you’re… Read more »
skn
Member
5 years 3 months ago
Dude – get over it. Current management is not the problem. Current management is making lemonade out of the lemons they were handed. And managing to create something tastier than we thought possible. As I said earlier, VM is doing what this moment requires during what we could describe as “wartime.” When it’s “peacetime” he will morph into that kind of leader and manager as well, and will no doubt recruit the right team to lead with him as Saab stabilizes. It’s real easy to toss rocks from the sidelines, sunday morning quarterback, back seat drive, what have you. Any… Read more »
Tripod
Member
5 years 3 months ago

+1
“Get over it – we’re here to stay.”
😀 Indeed!

ryanonsrc
Member
5 years 3 months ago

+1

CurtInFalcon
Member
5 years 3 months ago
We can get down to one fundamental problem – Saab was not selling enough cars to make a profit. Even the new 9-5 is not selling very well. I know there are new products coming down the pike but there is no money for advertising to make the public aware of them. Saab has not made a profit in 15 years and it will be another few years before they do. No matter how much money you can put into Saab, sales have to improve dramtically. This is the bottom line – Saab needs to sell between 130,000 and 150,000… Read more »
rune
Member
5 years 3 months ago

This year started them off in the right direction. The UK market was steadily building up momentum, and new products are in the pipeline.

Koenigsegg’s business plan had breakeven set at 120k. VM and JÅJ managed to knock it down to somewhere around 80k.

As for profit, the last profitable year was 2007 — at least if you count the sales of Saabs in north america (which I find relevant). That was with a 10 year old 9-5. The product lineup now is much different (and improved) and will continue to improve.

ryanonsrc
Member
5 years 3 months ago

Furthermore, 2007 also happens to be the last year before the massive recession in the US (which has adversely affected markets internationally, to say the least). Looking at the latest sales data for Saab, note there were some huge spikes — to me this is a clear indication that people’s interest in Saabs has increased, as the economy has been steadily improving. Unfortunately, that wasn’t enough to overcome the damage done by the poor economy in 2008, 2009 and 2010.

viggen
Member
5 years 3 months ago

Great news!

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