New Money could be on the way!
August 30, 2011 in News
DI.se (original article here):
New money could be on the way into Saab. This would save Saab from the short term troubles of salaries and money demanded from the Enforcement Agency. Saab’s CEO Victor Muller is discussing a bridge loan with a potential investor.
- “It is a big, know investor and such an investor should not throw them selves into discussions like this if there was no possiblity” according to Peter Hallberg, CEO of Saabs Retailer Organization to TT.
After a telephone meeting on monday with Victor Muller, that Peter Hallberg is breathing more hope than before regarding the future of SAAB.
- “It is a big investor and from what I know since before, I think this is very serious.”
The telephone conferance has made Peter Hallberg more sceptical that Saab would chose a reconstruction as an option.
- “Before the call I went through both cons, and pros about a reconstruction and there is no doubt in my mind that a reconstruction would have more advantages than bankruptcy”.
- “But after the conversation I understood how important it is for Victor Muller that Saab does right towards everyone they owe money”.
aop said on August 30, 2011
I hope to see the outcome of this by tomorrow at the same time with the financials report
theSandySaab said on August 30, 2011
Fingers crossed…
It will be ok…
Daniel B said on August 30, 2011
+1
DUTCH900C said on August 30, 2011
Fingers crossed, toes crossed, hands crossed, feet crossed, arms crossed, legs crossed, mouth tight and let’s hope this isn’t a dream!
SAAB, Victor Muller, Vladimir Antonov and all the others who works on a solution: Griffin UP!
No 9 said on August 30, 2011
May this be THE one!
Red J said on August 30, 2011
I don’t know if this will be THE one, but the markets have reacted somehow on that piece of news.
Note: I know that 40% of almost nothing is not much, but it is still 40%
Olav said on August 30, 2011
Fly, SAAB, fly!
Cheers from Norway
-Olav-
Always on the longest road home when out there with my SAAB. Always!!
Lonnie said on August 30, 2011
Roger Penske?
Just taking a wild stab. He tried to grab Saturn at the last minute but ultimately failed.
Whoever it is — better late than never.
GrumpyGriffin said on August 30, 2011
That would be good but I am sure there would not room for two oversized Ego’s!
SaabSouth said on August 30, 2011
I know VM is a bit larger than life, but let’s not forget that there would not have been a Saab at all if he had not got involved! However this is yet another jam tomorrow comment, to be honest I think most people are bored with it. They should only post something when it is done!
Audun said on August 30, 2011
+1
ANA said on August 30, 2011
SouthSaab
Personally I am sick of this ‘with out VM there wouldn’t be a Saab’ line. If it all fails he will be the person who killed Saab and not GM, so perhaps you should keep away from this topic.
Belfast_Saab said on August 30, 2011
Harsh, ANA. GM HAD ALREADY killed Saab and VM revived it – OK he might not keep it alive, but it won’t be for the want of trying Suppliers got a small amount more money, staff got 18 months wages, goverment earned taxes.
ANA said on August 30, 2011
Belfast_Saab
I don’t mean to be harsh but I think that it is also worth being realistic.
If Saab does go under many people will state that VM did not revive Saab, he merely fed it on promises while taking a big fee for 18 months. Also many suppliers would say they are in a much worse situation than during the GM years as most have not been paid this year…. I dearly hope that the situation can be sorted however there is no denying that there have not been some major mistakes since independence.
Carlo A said on August 30, 2011
I believe he owns some a chain of dealerships
Jonno said on August 30, 2011
Yes, he’s a possbility -but how about Bernie Ecclestone! – As I remember, he expressed an interest in the Saab brand when it was being sold by GM, saying what a great catch it would be etc … I think he was being linked with Geminii before VM did the deal. Its fascinating to speculate – but what we need this week is names in the frame and money on the table so that Saab can get back in business.
.
ivo 71 said on August 30, 2011
Not Gemini(i) but Genii. Big difference…
Ivo
Pedro said on August 30, 2011
Let’s hope it is the big bucks SAAB needs to restart itself.
Red J said on August 30, 2011
Pedro,
I don’t think it makes sense to invest less money in Saab that the quantity needed to restart production.
aop said on August 30, 2011
Red J,
And it has to be done fast as situation degrades drastically with every day gone by.
exactly my thought
Red J said on August 30, 2011
It has to be done fast but thoroughly, as there won’t be another chance, imo.
Audun said on August 30, 2011
I agree with that, but what will such an investor get in return?
Pedro said on August 30, 2011
I agree with you 100% in principle, but to me “bridge loan” is the key-expression here that begs the question of “a bridge to where, exactly”? There are many more financing needs other than the money to restart production, especially because SAAB won’t instantly reach its breakeven point and will need to finance the period of time until it gets there, plus the R&D investments needed for the 9-3 and to update the current cars if needed. There are many more balls in the air to juggle besides the money to pay personnel, suppliers and ensure the initial deliveries of materials and finished product. SAAB’s business plan, hopefully, is a good portrait of SAAB as whole and reflects all of the things that need to be addressed. I am hopeful the situation is solvable (despite the risks me and others have been identifying from our outsiders’ perspective), but we need to see where exactly this is going.
Red J said on August 30, 2011
Yes, we would like to see where it is going, and I have the suspicion that the people that really need to see it, have already been enlightened.
aop said on August 30, 2011
I would expect the “bridge loan” to cover expenses and production restart and operations costs until the Chinese deal gets approved by NDRC. Otherwise, I find it very dificult to imagine someone will be lending money to SAAB only to pay workers’ wages and/or suppliers without a clear view on the future.
).
Best would be if they could buy out the EIB loan as well, so that VA could pop in ( if he’s still around
Pedro said on August 30, 2011
A question: for how many units/year is the Chinese deal?
Khrisdk said on August 30, 2011
That has always been something that makes me wonder.
How come people assume that people investing are gonna stop investing just after restart og at some other point before breakeven?
I would assume that they have made some further calculatons before investing.
Pedro said on August 30, 2011
Depends on what is set as collateral and/or if these guys will replace VM&Co as the majority owners.
ivo 71 said on August 30, 2011
What amazes me is how some people, even those who present themselves as possessing some financial expertise, somehow keep forgetting that, once production is resumed, sales are going to happen (remember those 11.000 cars? okay, maybe minus the 1.500 for China if these were actually paid upfront which I doubt, but, say, 9.500 as a minimum) and cash flow is generated. It is a bit strange (unparliementary terms aren’t allowed here…) to maintain that the various bridge-loans-until-the- Chinese-ship-with-the-gold docks in -we hope- October must cover every cost aspect from here to whenever it happens.
But that is not true. When Saab has delivered, say, -already ordered but not yet paid for- 10.000 cars at an average margin of, say, 20.000 euro per unit then that alone will have generated a short-term cash influx of 200.000 million euros or a bit less than 2 billion Skr.
That is not a lot less than what the Chinese are supposed to invest in Saab in October (245 million). The difference is that the cash from those -already sold- cars will get to Saab a lot sooner than that (building 11.000 cars takes Saab less than a month) and will take care of a large part of moneys borrowed to pay suppliers’ old debts and salaries (or repay the various bridge loans taken out to do that) AND provide a bit of a financial buffer to pay for future orders on delivery for a while. That, I believe, is actually the general idea of cash flow.
Ivo
Pedro said on August 31, 2011
We all remeber the 11.000 cars (interesting to note that the Chinese deal for now is 1.500 cars only). However, we also all remember that the breakeven point for SAAB is somewhere between 80.000 and 100.000 cars per year (depending on the average transaction price as the cost side is, 99.9% sure, already as dried up as it is humanly possible), and that on top of paying suppliers and employees what is already due, SAAB needs money to finance the production cycle (I don’t see suppliers magically regaining trust in SAAB and giving the company 60 days or 90 days payment terms any time soon) as to cover the losses while they don’t reach their breakeven point.
Sadim said on August 31, 2011
A simple, and hopefully perceived as a humble question: In which document is it stated that the NDRC guarantee that the Chinese deal will be given the go-ahead in October 2011?
ANA said on August 30, 2011
Red J
I agree. If there is indeed another investor then they should go in for big bucks…. To invest a small amount does not make sense as Saab will be in this position again in 3 weeks and all could be lost…
guy55 said on August 30, 2011
i dont not understand,no work no mony!!!
start the production and everybody is working and happy!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!
when everybody say that saab must stopping is not right,begin with starting produvction and we well see!!!!!
open jour eyes not four the unionen but save saab it is jour money everyday!!! stand up swedisch people!!!!!!!!!
Ruben NL said on August 30, 2011
@ Pedro: wouldn’t the bridgeloan be at least somewhere around € 17 mio? 11 for salaries and 6 for the oldest claims that are now handled by the Enforcement Agency.
Any higher number that comes into the account of Saab can and should be used to ramp up the supply chain and get production going (that is how I see it).
GrumpyGriffin said on August 30, 2011
Saab need s a good 100 million Euro to stay in business until the Chinese arrive, anything less would just be prolonging the agony!
Sadim said on August 30, 2011
Assuming the debt to suppliers is approx €80-100 million and the Chinese get an OK to go ahead in October (which is very optimistic) the sum that must be allocated for August, September and October salaries and taxes is approx € 30-40 million. Over and above that € 110-140 million a further 30-40 will be needed to purchase materials and products from suppliers. So anything under € 200 million is not really sufficient
And as I have said before (and got slammed for): What says the Chinese deal will be arriving so soon? The Peugeot deal took close to a year after the feasibilty plan was submitted.
Khrisdk said on August 30, 2011
Tarot cards again?
For one who’s stated opinion when starting to comment here was bringing realism, I hear a lot of empty speculations.
Sadim said on August 30, 2011
And what in that was speculation? Sven-Åke berglie has been quoted saying that the supplier debt is approx 80-100 million euros. Salaries are approx 10 million euros every month plus taxes (33%).
So what is speculation? That the Chinese might get an OK in October. My bet is that THAT is the most critical issue as well as being the most uncertan one.
Khrisdk said on August 30, 2011
well, starting off with assuming that….is never a good start
I assume that investors are a greedy bunch that wants to see a return on investments.
I also assume that they have better insight than us.
ANA said on August 30, 2011
Khirsdk
Why do you always leap into contradict Sadim? You criticise him for making assumptions and yet you do exactly the same. Give the guy a break!
Khrisdk said on August 30, 2011
Just bring out the problem with assumptions..
That’s what they are
Nothing else
.
jond said on August 30, 2011
I’m afraid that I can’t see it. Presumably this ‘bridging’ finance is until the PangDa/Youngman deal gets approval. But that deal may not get approval and unless Saab is up and running again on a profitable basis at the time, the investor stands a very high risk of losing all their money. And I see no evidence that the company has been, or is being, reconstructed to ensure profitable trading at a much reduced level of turnover. Add to that the fact that they would be relying on a management whose decisions have led to the loss of over half-a-billion Euro in just over eighteen months and I can’t see any investor in their right minds playing ball. If VM has indeed managed to catch one, then I for one will be very impressed.
GrumpyGriffin said on August 30, 2011
Yes I agree it will require VM to sell his soul to the Devil to find the money needed and I think the Devil knows there are less risky deals to be done!
TurboLover said on August 30, 2011
http://www.youtube.com/watch?v=NSQ8-sL4B1Q
aop said on August 30, 2011
It depends on the collateral that SAAB put on the table (which I also wonder what could be) and of the size and the financial muscles of the investor (which we don’t know). I wonder if this has something to do with Endeavour.
Bridge Loan might also mean – until EIB gets out off the picture and they will no longer have to approve any move.
This is all speculation.
JST1981 said on August 30, 2011
Let’s see who VM has got in his pocket. I like the expression bridge financing. This requires that there is a viable road on the other side. I think that there is more money needed than 17 million EUR to secure that this bridge is accesible. But I’m quite sure that the Saab management will know exactly how much money is needed. The time for super-optimistic assumptions is over at least by now.
SaabSouth said on August 30, 2011
You can’t put a price on a brand – that is what the Chinese are buying lets not forget that!!!
turbokalle said on August 30, 2011
The bridge could be the one leading up to the chinese deal, but also to “the deal” discussed here earlier. Let`s presume that “the deal” is done but the money is some weeks/months away.
If the one that puts up the money for this bridge knows that there is money on the way, mabye there is little risk involved.
Non the less, this is going in the right direction!
aki said on August 30, 2011
Man that`s a rollercoaster of emotions. I believe in these guys so much that I´m just waiting to see the 9-5SC in person and the order books to open. Who ever is investing must have confidence in the things we still don`t know about.(The Deal?)
MarkoA said on August 30, 2011
He he…
aop said on August 30, 2011
MarkoA,
is this what you were talking about the other day ?
i. ant. kal. said on August 30, 2011
is maybe MarkoA the guy who is investing…
MarkoA said on August 30, 2011
Just keep the faith everyone!
turbokalle said on August 30, 2011
No matter how I try to change the letters in MarkoA around I can`t de code it to Victor Muller
Red J said on August 30, 2011
It is quite easy, M is for Muller and the A is a V upside down. The rest is just decoration.
turbokalle said on August 30, 2011
Wow. You`re way ahead of me RedJ!!!
aop said on August 30, 2011
And R is from Roberto (middle name)
turbokalle said on August 30, 2011
M(uller)arkoA(ntonov)
Yea ok. I`ll stop. Sorry. :p
Chicago Swede said on August 30, 2011
I always wished that BMW would have just bought SAAB outright from GM. That would have been so much easier than putting the company through these endless hoops in search of financing. I truly hope that this mystery financier is serious and can put in the needed cash to help SAAB survive. God bless all the employees who continue to give their best for the brand we know and love!
Andrew-V said on August 30, 2011
Yes, and Saab will teach their to make good turbo engines. Against that money…
ANA said on August 30, 2011
At this juncture (and without being rude) Saab can teach BMW very little.
Andrew-V said on August 31, 2011
Sirs, it may I don’t quite know but I drove C180/C200 new MB, S60 T4 of 2012 MY and 523i of 2011 MY. I’ve found no one of their that has better torque on low engine speed at least. Although 525th is not turbocharged but this is in the near future the change-over of “i” to turbo engines. Really I’ve not tested Cooper 1.6 turbo but of my friend turbine was under warranty repair
Pedro said on August 30, 2011
There was a rumour a year or two ago that BMW had quietly and discretely looked at both Volvo and SAAB, but did not move with any offer/deal. The talk of FWD BMWs (1-Series, with the current 1-Series renamed as the 2-Series) using the FWD/AWD MINI platform show us what BMW management decided as their strategy going forward.
Olav said on August 30, 2011
Even I am a die hard SAAB fan, I just can’t see what SAAB could bring to BMW’s table. I even can’t see that SAAB would fit in at all in BMW’s portfolio. If’s easier and actually less painfull to buy a BMW instead
Pedro said on August 31, 2011
A good fit by selling FWD-based cars priced between MINI and BMW, but with the potential to have healthy price overlaps with both of those brands. But BMW chose to go into the FWD cars by itself and badge them as BMWs as MINI cannot gorw more than the Countryman (size-wise). Wonder what that will do to BMW’s brand image over the long run, though…
krghanta said on August 30, 2011
If this works, I hope this will buy time for SAAB until October when the Chinese NDRC either approves or denies Pang Da’s and Youngman’s acquisitions. If it it does work and the Chinese approve it then SAAB is saved…I hope.
FB said on August 30, 2011
Even if NDRC says no, it probably still will be possible for Pang Da to order more cars and distribute them in China……if och perhaps I should say WHEN the production line is moving again. The cars already orderd by Pang Da will probably be sold out in 1-2 months when they get them. Most important thing now is to get EIB out of the way and let mr. Antonov in.
KaiC said on August 30, 2011
It seems that Saab should always think about the way like ‘bridge loan’ to avoid the cash flow bafflement in such a global harsh economic environment before standing firm.
aop said on August 30, 2011
The SWAN stock has been halted at Amsterdam Stock Exchange.
Any announcement to be made ?
Carlo A said on August 30, 2011
it is trading right now
Jos said on August 30, 2011
Whre do you read that? I’ve been watchint this site, but have not seen a trade stop.
Perhaps they wil lstop untill a press release is made, today after market closing or tomorrow when nubers are due
Red J said on August 30, 2011
@Jos,
if you follow the share directly at http://www.euronext.com you will get a real real-time ticker, and there you can see that in days like today the share is halted for some minutes a couple of times.
@aop,
I’m not an expert, but I think that the trades gets halted when the price change rate is too high. I’ve seen this H a couple of times on days like today.
kochje said on August 30, 2011
Bridge Loan should get production to start again so that cars can be sold and cash-flow restored.
If the share price will stay decently low one of the big investors could become greasy; they might just buy the whole company.
As long as this nice brand, the workers and the dealers can just be safe and count on uninterruptible supplies again, it is good for most of us.
We recently also lost the luxury leather manufacturer to the Chinese but the personal is saved as are the customers.
Who has money nowadays can do a lot.
Rogge said on August 30, 2011
Now I get really warm in the heart! If now all the tuning …….
So will we be able to see Saab as it should be a prosperous
companies that make cars that are fun to drive and safe for all of us.
But the trip has probably just begun now, as soon as we can tough on and become a
brand to be reckoned with!
“IT IS NOT OVER TO THE FAT LADY SING ‘;)
Leeloo said on August 30, 2011
I would say this is a typical third party statement from someone trying to make some quick cash on the SWAN stock. A volatile small and cheap stock like SWAN is so easy to manipulate just by an interview from someone not even on the inside of Saab. Up 30% so far today…
kochje said on August 30, 2011
30% on just € 0,43 is still not much and cannot be a triggering factor for a real fast cash opportunity.
The share will really go up to the attractive levels if there is proof of stability.
GrumpyGriffin said on August 30, 2011
“30% on just € 0,43 is still not much and cannot be a triggering factor for a real fast cash opportunity
It is if you bought 100,000 of them this morning!
kochje said on August 30, 2011
I bought in the past but am far away now of getting break-even.
So I will keep them.
jond said on August 30, 2011
The first cut is always the best. i.e if the reason you bought them seems to be wrong, then you should sell and not wait for something to turn up that might recover your losses – it rarely does!
Khrisdk said on August 30, 2011
Que?
Wouldn’t that make all stock trading obsolete?
aop said on August 30, 2011
Kochje,
you know what they say : you dind’t loose anything until you sold them.
Pedro said on August 30, 2011
It is an interesting bit of money if volume spikes (which it did today at around 14h00) and one trades a high-enough number of shares… Leeloo’s statement is not to be disregarded, just like the content of the interview isn’t to be disregarded. Remember: there are always many irons in the fire
kochje said on August 30, 2011
Thanks aop: you are so right.
I just keep mine while I do believe in Swan, and Saab
Red J said on August 30, 2011
Leeloo you are so sweet, when you try to find a dark side on everything.
So TT(Swedish news agency) is trying to manipulate the SWAN stock, or was is Peter Hallberg, CEO of Saabs Retailer Organization?
Leeloo said on August 30, 2011
Well, TT is just a messenger communicating a message from Peter Hallberg i.e Viktor Muller. Based on this and the options you give me i would say VM through Peter Hallberg. But of course, media (TT) is easy on the trigger reporting everything regarding Saab these days…
Khrisdk said on August 30, 2011
‘You’re really trying hard aren’t you?
By your logic, Anders Borg is deliberately affecting world conomy by commenting on the state of affairs in US if quoted by any Media..
Well…he could be..
‘
Leeloo said on August 30, 2011
Mama mia… what a comparision:) If you don’t see the difference i don’t know what to say:)
You are actually saying that Swedish Finance minister Anders Borg’s comments/statements would have the same effect on the US state of affairs as Viktor Mullers comments/statements have on SWAN’s stock??
Are you serious?
Khrisdk said on August 30, 2011
Guess who got the blame for one of the greatest falls on the US markets by stating that a intrabank trade might be affected?
Not Borg, but one of his enployees
Just read DI.se
Leeloo said on August 30, 2011
@Krisdk
Sounds interesting but can’t find it, can you please link?
Khrisdk said on August 30, 2011
Just Google Lars Frisell and “It won’t take much for the interbank market to collapse,”
He came out the days after stating that he was misquoted..Shame about the falls in stocks though.
Khrisdk said on August 30, 2011
Oh..and just to make it alittle easier for you. here’s the link
Leeloo said on August 30, 2011
@Krisdk
I got your point; however i still think the comparision is not valid, it’s two different worlds. My theory, if welcome here:), is that VM wanted to gain stock value to prepare for tomorrows disaster report and heavy stock value loss. Up 48% today and down the same tomorrow.. net effect nothing:)
Khrisdk said on August 30, 2011
That’s exactly why I normally don’t bother giving you answers on anything.
Read RedJ’s comment below..
He made a very precise statement about your loop.
Khrisdk said on August 30, 2011
Oh BTW, Let me finish your Theory for you:
The Disaster Report comes out tomorrow, the shares drop, the money never materializes because it is all rumors, The Unions or the suppliers puts Saab into liquidation after dismission the possibility of reconstruction..
What value would you say the to VM in your theory apparently very important shares will have at that time?
Red J said on August 30, 2011
So we are back to the start, Mr. Muller is pure evil, and everything that happened since February 2010 has been a waste of time.
It feels like an endless loop.
FB said on August 30, 2011
Mr. Muller is not evil…..what kind of comment is that?
He saved Saab once, remember. And he will do it again.
Hans H said on August 30, 2011
Of course Muller is not evil. But some people seem to think that his only reason for saving Saab was to make a fortune in the stock market.
I think it must be lots of easier ways to make a fortune than by saving Saab.
katar1na said on August 30, 2011
When all finally is said and done and SAAB is running in business again
- it will be very interesting putting the whole story together, analyzing the medias
reporting on the matter…
Dear God – make this a fast homerun now…
Jonno said on August 30, 2011
Come on, guys. I know conspiracy theories are in fashion, but are you really suggestingthat the source of today’s nugget of info – Peter Hallberg – is part of such a shares scam? Could the mystery ‘investor’ be Bernie Ecclestone?. He was saying nice things abt Saab when the GM sale was in progress.Fun to think about…..
dickerin said on August 30, 2011
Who is TIMR and how does he know so much?
saabdog said on August 30, 2011
@dickerin
I’m liking the Jimi Hendrix icon.
zippy said on August 30, 2011
Any short term investment must be enough to ensure salaries get paid on time as well as satisfy suppliers to the point where Saab is able to get the production lines running full steam ahead of any decision by China’s NDRC. Anything less than that and I can see then Chinese saying ‘no-go’ on any deal. I dont think Saab could even be sold to the Chinese and exported to China for production as GM owns a lot of Saab’s IP and two Saab AB would never allow there name to be used.
The sitiaution as I see it is make or break right now. Even if Saab does start production again any ounce of faith that consumers had built up in Saab since Feb 2010 has long gone and therein lies another big hurdle to overcome. Saab needs a massive amount of cash to secure its longterm future and even Pang Da’s money is just a drop in the ocen to what is really needed.
Come on Saab – dont let that fat b**** spoil the party! Saab Up!!
ryanonsrc said on August 30, 2011
I am usually someone that hates “band-aid”-style solutions with a passion. But, we have a very different situation here. Saab has some big investors that want nothing more than to take part in getting Trollhatten building cars again and pushing the automaker towards fiscal viability. So, What Saab needs now is time.
Granted, they do not have a lot, but they know this. And I have been thoroughly impressed with how they have been able to continue “buying more time” with various bridge loans, and so forth. Obviously, this mode of operation can’t last for ever but I’ve never seen it get a company this far and we are reaching a point where one of these big deals simply must make it through.
fuzzi said on August 30, 2011
the fact is without help of 3 to 4 billion US $ noboby could rescue Saab, best exemplane was Chrysler with 6,9 bio loss !
Chris Carrier said on August 30, 2011
In a few years, Chrysler went from selling 2.5 million vehicles to about a million. That’s still 20+ times what Saab’s current sales are, and over 10 times Saab’s “break even.” I don’t think the numbers are worthy of comparison.
Alex Lee said on August 30, 2011
Forgive me if Iam wrong, but havent we all heard this before…New investors, new money, loan, mega this big that. I don’t like to negative but I will believe it when I see it.
Khrisdk said on August 30, 2011
Sounds fair.
I wish the naysayers would take the same attitude
coggs said on August 30, 2011
+1
to both of the comments above.
nafuente said on August 30, 2011
True, the celebrations when the news happens. We rejoice at news months that have just arrived.
nafuente said on August 30, 2011
+10
dohrmc said on August 30, 2011
I hope that one of the first and highest priorities is to get the spare parts moving again and into the supply chain. There are many, many Saabs sitting in shops waiting for parts that cannot be obtained. My car has been out of my garage for 2 months. There are no parts to be had, all is on backorder.
I hope the people running the Saab show make this one of their highest priorities!!!
I want my car back.
skwdenyer said on August 30, 2011
I have to say I’m a little unclear as to what’s going on with Saab Parts. I’m sure the EIB and Swedish Government must be unimpressed at this turn of events, as Saab Parts – with its promise of parts sales for years to come – is one of the ‘valuable assets’ pledged against its loans.
If suppliers simply won’t supply Saab Parts, I’m not sure what can be done. Sell the whole thing to Caterpillar as MG Rover did, so that a new set of supplier relationships can be commenced?
Something must happen soon, and I’m really unsure what that might be.
davidgmills said on August 31, 2011
My wife just had an accident today (her fault unfortunately) in my brand new 2011 9-5 turbo premium. The good news is she is fine as is the driver of the other car. She got hit in the passenger rear door hard enough for all side airbags to deploy. The body damage to the rear quarter panel does not look bad nor does the damage to the rear. Maybe a good body shop could, if need be, fix them without replacements. But what about the airbags? My service manager just told me she is not convinced Saab has got air bag replacements. How long will my car be sitting? It’s a lease. What happens now if it can’t be fixed?
Chris Carrier said on August 31, 2011
Oh, I’m sorry to hear that. I’ve wondered that myself (I have a new 9-5). Please keep us posted.
Fortunately for you, it’s a lease. I think you’d have a pretty good argument to break it when the repair time becomes reasonable. Mine was purchased and I would just be stuck for a while.
mikaik said on August 31, 2011
This is what I fear most, an accident. With the 2011 9-5 being our only car, in case repairs would be needed, we’d be grounded for an unknown period of time. Hopefuly the situation will change soon enough.
I’m glad no one was hurt, good luck with the repairs.
Pedro said on August 31, 2011
Sorry to read that; but good that no one got hurt. Cars can be replaced, health and human lives can’t.
Chris_de_Ze said on August 30, 2011
I think that Saab can really be saved if and only if another healthy car brand (with real interest in Saab) buys them out and puts them (as independent brand) under their umbrella.
Otherwise, every year we will face exactly the same problem.
It is very tough these days for a car brand to survive with such a low production volume and small car portfolio.
mnztr said on August 30, 2011
I have to say this is getting annoying. Every pay day is a crisis, and SAAB always seems to be a buck short and a day late.. yawnnnnnnnnnn.
No 9 said on August 30, 2011
This is not a yawning issue for the workers, dealers, suppliers and clients of SAAB. I therefore suggest you yawn somewhere else. I find your attitude most disrespectful for those involved.
FB said on August 30, 2011
Mr. Muller is probably working day and night to solve these problems, and he will. But I can´t understand why everybody says people are disrespectful everytime they say somthing negative about Saab and the problems we are now looking at. And IT IS, and that is no lie, a problem of course, that Saab always is a buck sort and a day late very often right now. That is not disrespectful to say, since it is true, although the yawning…..could have been left out
. But one should also remember that the finicial situation can change very quickly. People are working very hard to solve the situation. A few weeks from now Saab can be in a completley different and improved situation. The big question is – when Saab is back – how will people react. Will they buy a Saab……? Do they have the nerve to buy one…..? Let´s hope so…..
No 9 said on August 31, 2011
+1 on the yawning. How can you yawn when people are desperately fighting for their survival?
mnztr said on August 31, 2011
Well, they are not really fighting for survival (the people I mean). And this whole repetitive process of continually dodging bankruptcy is getting tiring. SAAB is currently a giant crucible of wealth destruction. They are paying workers full salaries to not work……and are burning through cash at an appalling rate. They need to go into reconstruction YESTERDAY. Perhaps (and I hope so) there is cash imminently arriving… but SAAB is just destroying itself by putting of reconstruction. I say start the process… keep looking for investors… and if they show up build the investment into the process. The Chinese deal is still months away…if it even gets approved.
terry9000k said on August 30, 2011
.
The `st call on any money coming in, surely is for the debt enforcement agency (that has provably gone to far, for bits to be paid).
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Re; “But after the conversation I understood how important it is for Victor Muller that Saab does right towards everyone they owe money”. (In post header).
VM [Saab] probably have little choice here.
Any restructuring will require suppliers to pledge to re-supply the Factory for restart, so most will not want one without the other, and why indeed should they.
Also, a Judge would want to act for the future, & this may involve Saab loosing some IP, as part of the restructure [ie; what is not needed now, may have to be sold, as part of some settlement].
One thing I can agree with throughout this post [other comments] is Saab whatever happens will need alot of money.
What that amount is, surely we cannot estimate, without the knowledge of the current debt situation, but must be in excess of 500 mil euros.
We still do not know [for sure] what money is left, if any, of the forward paid for cars [china etc']. These will have to made and financed for nil reward.
With future R&D demanding alot of money, the picture is bright, but someone needs to put alot of money in the \electric meter.
Whilst I am still hoping, it is time to strengthen the steps onto the stage, either for the FAT bi*ch or the roaring Griffin.
SaabKen said on August 31, 2011
Say it, Jerry …… say it !
http://www.youtube.com/watch?v=OaiSHcHM0PA