Saab nuts – Brace youself for the latest round of press complaints

Assuming Koenigsegg don’t pull a rabbit out of their hat and announce their funding sources to absoutely eerybody……
This week will see another slew of press reports in Sweden that attempt to put Saab to the sword for good. In fact, they’ve already begun.
The financial papers are reporting that Euro Finance, a company involved in debt factoring, will no longer purchase Saab invoices.
Debt factoring is the practice of buying debt at a discount so as to profit from it when you collect. In this instance, the company would be looking at buying debts from one of Saab’s suppliers. For example, Saab owes company X a sum of 10,000 and the debt factoring company will buy this debt for 6,000. They then make a profit when they collect the debt later on.
The supplier gets less money, but they get it up front. The debt factoring company takes on the risk of non-collection and makes a profit when it finally collects.
Euro Finance are now saying that they’re not confident enough in Saab’s future to buy Saab debt from suppliers. They don’t believe that Koenigsegg Group has the finance in place to complete the deal.
And that’s just another reason why Koenigsegg Group should come out and state what they’re doing to get this done. Confidence is a big part of market perception and right now the market has very little confidence.
This week sees a new month begin, which means we’ll have another round of sales data to contend with.
Saab’s sales figures are sure to be low once again. A lot of markets are actually running out of cars. Most dealers in the US (and many in other countries, too) cannot order 2010 vehicles. They are not allowed to.
The press, of course, will seize upon Saab’s sales figures another sign of their demise. Never mind that they haven’t been able to produce enough cars to sell more. A story’s a story.
Saab will plenty of good stories to tell in September with the Frankfurt Motor Show starting in 15 days from now.
But 15 days is a long time and without some good news to fill the vacuum, the sharks will keep circling.
Thanks to ctm and Jacco!

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