While we’ve been talking a lot about Jan Åke’s retirement, Vladimir’s intent to invest in the company, and how certain members of the Swedish press feels that Victor is the antichrist, we may have lost sight of what really matters– the cars. Consummate professionals that they are, Victor and Jan Åke continue to talk to the responsible members of the press about the business plan. They confirm things we already know, but also leak new details about the ePower lineup, partnerships, and drivetrains. Also I take a stab at playing angel’s advocate to Robert Collin and Co.’s devil’s advocate and speculate on another outcome that isn’t often discussed here– the ramifications of Saab’s success on production and partnerships (something I hope we’ll be able to do a lot more of soon).
As you can also see, I’m incoporating an introductory graphic as a quick visual representation of what’s covered so you can get an idea what you’re in for…
The subscription news service automotiveworld.com recently interviewed Jan Åke Jonsson about Saab’s plans in the near future. As always, subscribers can get more information from the article with membership to their site. Their conversation happened before his announcement to retire, so there isn’t much about his reasons for leaving, though we’ve pretty exhaustively covered that here over the weekend. What they do cover is definitely of interest to many of our readers though.
On distribution:
We are currently operating in 51* countries. There has been a lot of work going on: sales networks, dealerships, putting financing in place and so on. We’re still in a build-up mode – Australia, Canada, Japan and Portugal are some markets where we’ve relaunched in the last six months. In December, we signed a deal with CATC (China Automobile Trading Co) to distribute our cars in China but due to the long homologation processes there we won’t be able to sell any vehicles until the second half of this year. And then we want to look at Brazil. We’ve never really been in Brazil – we had a three-month venture with GM at one point but that was not too successful – so if we go there, it will be a new market. But we need to first focus on expanding our sales in North America and Western Europe.
On a the future of the ePower fleet:
No [we aren’t working on a 9-5 ePower], we’re doing a test fleet with the 9-3 ePower. We’ll start shipping cars in the second quarter. We will let them run for close to a year, do our evaluation and then we’ll see how we would want to move further with that programme. Right now, it’s too early to say what will come after the 9-3 ePower field trials. But I think if you want to sell electric vehicles, the starting point should be regular cars – an existing model.
Would Saab ever change it’s naming nomenclature to more directly compete with Audi?
The 9-3 is a rival for the Audi A4 and it will stay that way, just as the 9-5 competes against cars like the Audi A6. In fact, we did have a discussion about perhaps changing the name of one of our cars but that was maybe calling the 9-5 the 9-6 and in that way declare that this was a step up from the old 9-5. But in the end, we decided to keep the name and we’ll do that for the 9-3 as well.
On continuing to build the current generation 9-3 alongside the new Phoenix platform 9-3:
No, it’s not in our plans to do that. The new 9-3 will be a dramatic difference compared to the existing car and we plan to do a straight cut-off for the changeover.
On the possibility of a diesel 9-4x:
Unfortunately that won’t be the case. We could probably double our sales volume of the 9-4X in Europe with a diesel. But the 9-4X is really a vehicle for markets like the US, Russia, China and Australia where gasoline is the traditional buyer preference.
*Remember the next 9-4x is tentatively planned to be built on the Phoenix platform, and a diesel is more likely then. -Jeff
Will Saab kill the 2.8L V6 in the 9-4x?
No, we will have both engines. GM is going to put a 3.6-litre V6 into the SRX to replace the 2.8-litre turbo V6. We have the option to take that engine too but we haven’t yet decided if we want to do that. So just as we have said previously, we will launch the 9-4X with two V6 engines: a 3.0-litre, and a 2.8-litre turbo.
On working with BMW:
For the new 9-3 [we will use the 1.6L BMW engine]. But for the 9-5, we are very happy with our GM powertrains. Having said that, we have flexibility with our engine strategy so we will see how it works out with the BMW engine in the next 9-3 and we will take it from there. BMW is an easy organisation to work with. I was last with the executives we are dealing with two weeks ago and we speak to each other all the time. For them, it makes sense to sell us engines as it’s a good revenue stream for very little extra investment. And there is also of course the opportunity for engineering exchanges; for example we have expertise in E85 (biofuel) engines which we could offer them.
Not much that we didn’t already know here, but certainly some confirmation of recurring questions we see on the site. It’s curious to hear direct mentions of E85 tech for BMW as an example of something they’re lacking but might leverage from Saab. And it’s nice to hear direct insight from Jan Åke that any future electric vehicle shouldn’t be a one off as BMW seems to be doing with their “i” project, and rather an extension of a real model. What I take from the comment that the 9-5 won’t be getting the ePower treatment anytime soon is that Saab is working especially hard on Phoenix right now, and that until the 9-5 is built on the new modular platform, it won’t be available with an electric drivetrain. That is to say, if they were to find a business case for a 9-3 ePower in the first place and want to extend it to the larger model.
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Meanwhile on autonews, Victor is talking about the 92 again. You’ll remember he’s dialed down his dialogue regarding a new small Saab as it isn’t part of the business plan. But as we have heard rumblings about Vladimir Antonov joining the team with a cash infusion, and behind the scenes rumors that Saab might join WRC not too long after reaching projected profitability, suddenly the 92 is hitting the news wires again.
Saab is continuing its search for a partner to help it build a new entry-level car and the company also wants to build vehicles for other automakers at its factory in Sweden, Chairman Victor Muller said.
“We are talking with other manufacturers to buy a platform or drivetrain technology for this entry-level car,” Muller told Automotive News Europe. “It should come as soon as possible, in 2014 the earliest. ”
Muller said the car would be priced at about 20,000 euros. “It should be a car about the size of an Audi A1, and we could sell 30,000 to 50,000 a year,” Muller said in an interview with ANE earlier this month.
He did not say which other automakers Saab is talking to about a potential partnership.
Also in the article, Victor mentions leveraging the Trollhättan plant to build cars for other manufacturers who might be interested in building on the Phoenix modular platform.
Muller said Saab does not want to ask a bank for credit to fund investments for the new car. “We have a big asset with our plant in Trollhättan. It has a capacity of 190,000 cars. We could act as a contract-manufacturer,” he said.
Also, Jan Åke chimed in with the magic breakeven number, 85,000 units.
Saab CEO Jan Ake Jonsson said the brand has very ambitious sales goals. “We plan to sell 80,000 units this year, and 120,000 in 2012,” Jonsson, told Automotive News Europe. “Our business plan relies on low volume expectations. We only need 85,000 units to reach our break-even level,” Jonsson added.
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Meanwhile a blog post by Matthew DeBord on his online column Shifting Gears for CBS bnet.com summed up a lot of the facts that we’ve known for a while, but presented in a way that makes me remember why I was so optimistic about Saab’s future in the first place. He sees Saab in excellent position to settle into the near luxury niche that gives BMW and Audi shoppers a more price conscious alternative without compromise. With Saab’s design heritage making a comeback and finding its way into other makes (read: hatches), and rightsized engine, turbo, and hybrid electric technology, the future doesn’t look so grim.
And then a lightbulb went off in my head which got me thinking even more optimistically, something that hasn’t happened around here in a while. Usually we’re more concerned with worst case scenarios, but what if we took a more balanced and realistic look at production numbers in the next 2-4 years. First, let’s assume the Saab factory won’t be swallowed by the earth in that time period. With new sales agreements in Brazil, China, and Russia, and the possibility that new sales leadership from Matthias Seidl at the top and James Sweeting at SCNA, what happens if sales actually eclipse the 120,000 mark? With a 9-5 sedan and wagon and at least 3 variants of the new 9-3 rolling off the line with hybrid drivetrain options, it’s certainly conceivable. On top of that, if Saab is able to convince a partner to build a low volume model on the Phoenix platform, that 190,000 capacity doesn’t sound too far fetched.
But what if we add in that 92 to the mix with 30,000 sales globally? Mini sold 45,644 units in the US alone last year, in a year when gas prices remained relatively low. If the rumblings we’ve heard turn out to be true, by the time the 92 is ready for production, the Trollhättan plant might be getting cramped. Given that the 92 would need to be built on a partners platform, it’s pretty easy to fathom it wouldn’t be built at Saab’s plant at all.
As a bonus, for all of you hungry for a new photochop, I cooked one up using Tiago’s old chop along with some Phoenix lights, clamshell hood, front air dam, clean rear quarter, and sloping teardrop roof to create a new one. It’s a little rough, but they’re usually like Prozac for us here so I thought we could use one 🙂
and just for kicks, in silver…
…and for those who wanted more cargo space…
But wait, you say, you’re still missing the 9-4x.
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Which leads me to something I just noticed on car and driver’s blog, where they feature a map and production numbers for every plant in North America, broken down by city. When you scroll down to Ramos Arizpe, the location where all our shiny new 9-4xs will begin their lives, you’ll notice and incredible figure.
Cadillac produced 76,589 units of the SRX last year. The 9-4x is essentially the same vehicle, only it looks less flashy and more premium. Also you’ll see that the Chevy HHR which is slated to be phased out also takes up a huge chunk of production space at the plant. Saab wants to sell only 15,000 of these worldwide, yet Cadillac can somehow produce more than 5 times that with a less attractive product? As we reported here recently, the journalists who got to review it last week in Virginia think it’s a bigger deal than has been let on. If the scenario above holds true and the plant in Trollhättan is getting full, would Saab be interested in building the next generation of 9-4x in Mexico too? So far we’ve heard Saab has every intention of moving the next 9-4x’s production line to Sweden, but given the export penalties and the fact that the 9-4x’s core market is the US, would that even make sense? As Jan Åke said, they’re still looking at the option of using the 3.6L engine in an update to the 9-4x, so I’m hopeful they’re maintaining strong ties on development of the next generation of the 9-4x with GM. The other interesting thing GM is working on with the NG SRX is a plug-in hybrid option, an option that would not only help Saab with CAFE standards, but hedge against declining sales as gas prices rise. While Saab is still transitioning from crawling to walking, it’s always nice to know what running shoes they might be interested in wearing. 😉
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Finally, a late addition to snippets. Andreas J. has come up with a rather creative license plate holder that might boost our site traffic 🙂 It looks great.
I want that 9.2!
Now!
🙂
High quality snippets, these. Good work, Jeff!
If the Trollhättan plant should actually reach its limit – nice to see some wild speculation in the positive direction for a change! – then maybe Saab could buy into the Volvo/Pininfarina plant in Uddevalla, just 30 kms away? That’s where Volvo makes the C70, and they are apparently in the process of buying Pininfarina’s share of the plant, making it fully Volvo-owned.
That might possibly be a really good-looking 92. It’s hard to tell though, behind those absurd monster wheels.
Personally, I would rather see them returning to Valmet and perhaps strenghtening the newly-acquired Dutch leg of their heritage by helping out Mitsu use up their production capacities @ NedCar.
If ever needed, I would also consider expanding manufacturing in other continents, closer to target markets. Wilmington seems like a perfect place for Saab NA assembly. The coincidence of both Wilmington and Valmet being slated to build Fisker products presents an interesting opportunity… 😉
Valmet have just lost their Porsche assembly business (Boxster/Cayman):
http://www.valmet-automotive.com/automotive/bulletin.nsf/PEBD/8BEA6EBAD367D2C5C2257474003900DF?opendocument
They will certainly need replacement contracts by the end of 2012.
The NedCar assembly plant at Born in the Netherlands is a very up-to-date facility, perhaps not quite on a par with the THN plant but close. Interesting prices could be negotiated there as there is no new business to be found anywhere and desperation rules.
Ivo
In how far is NedCar supported by the Dutch government? I always have the feeling that the Dutch government is very unfriendly towards a domestic car industry. Then there is also the hostility towards Victor Muller in The Netherlands to reckon with. Talking to him last Fall I felt that he had turned his back on The Netherlands completely.
Scratch the word ‘just’ from above posting (first line). Fact remains that no sufficient new business has come up yet to fill up all the vacant capacity created by Porsche going elsewhere.
Ivo
I second the proposal for the Valmet plant. They have exactly the capacity needed and have always delivered top-notch vehicles (Viggen, Boxster).
To those still caught up in the recent dramas, just remember the 9-4x will be arriving soon, and there’s bound to be a lot of attention on it to keep your mind on things 😀
During the Geneva Festival, there was an article in the Financial Times Deutschland also indicating that VM is offering cooperations and the capacities of the plant rather tant cash to potential partners.
My understanding is that Saab thinks about sharing production capacity in Trollhättan to other car makes.
The prod. limit is said to be 190.000 units and Saab alone will not reach this number…
Has anybody got any information about Subarus being adapted for the European market in Trollhättan? There was once a (wrong) story about them being build there. But as it seems there is some link.
I believe it was simply conversion of Subarus to use CNG at a Trollhattan factory, not in the Saab plant. Any future cars going into production at the Saab factory will probably be new cars on the new Phoenix platform, as RedJ has said.
Just for you, I added some junk in the trunk. It needs more character lines back there and some editing, but just to give you a rough proportionate idea, there you go. I imagine it having a split rear glass window for rear visibility, part on the rear hatch.
Aren’t you glad you didn’t end up in an Audi A3? Just think how happy you’ll be in your new 9-3 next year.
Thanks Jeff! Great photo re-mix!
Dear VM,
Please make the next 9-3 look like the grandson of the 900 Turbo SPG in both design and spirit. I would venture to say that I am not alone here in wishing for that…..
Thank you!
I like the ‘junk-in-the-trunk’ 9-2 (I still think we should keep the dashes). It’s not so sleek as the slanted roof one, but way more practical. Maybe the sliding roof of the 9-X should be revived?
Btw, Jeff, great writing, I think you have found your calling. Swade’s house in Tasmania will become available soon, maybe you consider a move to Taz and acquiring a funny accent?
Uhhhh, I’m happy in NY. 😛
It’s going to be a pretty ridiculous experience as it is for me to report with Swade from the floor of the NY Auto Show. Everyone needs to mark their calendars for the live press conference at 10:30AM EST on Thurs. April 21st. There will be a front page U-Stream webcast, tons more pictures, interviews, and all around Saab goodness. It’s all too fun. I’m sure you’re coming down that week to see the PhoeniX, right?
That’s a great point about the Cadillac/9-4X numbers. Introducing the Saab “Silver Bullet” 9-4X. Has a bit of a ring to it!
Just wondered, do we know how much Saab is paying for the BMW engines?
Anyone..?
Less than 20,000 Euro if they are planning to use it in the 9-2.
I’m willing to make a guess. A crate engine will run you about $4000, buying in bulk will be $2000 to $3000 per engine.
I feel like that’s inside info, I don’t think that will be released anytime soon. Relative to what it would have cost to build their own engine, it’s certainly less. I have this itching feeling that Saab signed the deal with BMW as a way to get their foot in the door to leverage other tech…*cough* small car platform.
I do agree with you, that the engine deal was more of an door opener than anything else, but I’m still not convinced about the platform thing.
But on the other side, maybe in 2 years time the i3 could be made in Sweden. 😉
Ha, a RWD electric compact BMW made almost entirely out of aluminum being built in Trollhattan? Naww. Maybe somewhere else in Sweden though. 😉
I think it’s time for SU to find a friend in Bavaria 😉
It will be interesting to see what other engines will be available for the 9-3’s replacement. That BMW 1.6 makes a nice engine for the base model, but the performance models still need a 1.8t or 2.0t. Let’s face it, a Mini with the same 1.6 would just eat the Saab for breakfast.
I would not be so sure about that.. Think about the power-supply from the electric rear-axle and also what Saab can do, regarding tuning etc. ….
1.6, 2.0 and 3.6 sound logical to me 😉
Weight saving and greatly improved space efficiency is what Saab had planned back when Delta II was on the table. Hopefully those ideas can be incorporated into Phoenix?
The Saab will definitely need a twin clutch DSG type transmission and hopefully a pure manual gearbox option as well on performance models. Perhaps BMW or VW can supply a DSG transmission? I don’t think GM would have anything remotely suitable.
Isn’t Saab making its own DSG transmission? I’m pretty sure I’ve read something about that here on SU some time ago… And if not, wouldn’t ZF be a logic partner regarding transmission?
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Btw my old 9000 Turbo used to eat VW Golf GTIs for breakfast, so I would be very surprised if the same wouldn’t go for NG9-3 vs Mini as well.
Saab spun its transmission engineers off into their own separate company, VICURA. They’re working on any number of new transmissions, we’ll see what comes of it with once the 9-3 details begin to emerge.
I really don’t see the need for a DSG.
Not a fan on automatics, would love to see have the balls to offer a manual-only line in the US, but it seems as if the automatics are doing a pretty good job.
Hmz, if supercars adopt DSG, then why not other cars? I see this happen within a couple of years.
“Thinner seats”, oh horror! Please bring back the seats of the OG 9-5 and OG 9-3! Class leading seats is a Saab tradition and not a place to compromise.
Weight saving yes! Seat saving, no!
Agree. Some vital class leading items that make a Saab should be saved. Why fix something that isn´t broken.
@Jeff, the photochop was cool but still prefer the other one you did (the rear especially). 😉
Thin doesn’t necessarily mean uncomfortable. I can’t see anything wrong in the use of materials that adapt themselves to the form of your body and a slim seat that gives rear seat passengers more space. I am sure that we can rather expect a Saab with the ignition above the left rear passengers head than one with uncomfortable seats. 😉
9000 Aero seats please.
Lufthansa just put new very thin seats in their european planes. And they sit pretty well. A lot the be learned from them I guess. Thin (and light!) is the way to go as long as it doesn’t result in less comfort.
Err. 4th generation Haldex, not 5th.
I think you’ll be amazed by the flexibility, capability, and options you have with the next 9-3. From what little we’ve heard from the e-AAM team, it’s going to be impressive.
I’d just like to see something more concrete than small rumblings of information. Actual test comparisons between the existing XWD system and the eXWD system as well as performance information on expected engines. I know it’s not 2012 yet but impartial information would be nice. I want another Saab, but I’m looking for a handling -and- performance improvement over my FWD Aero, the existing XWD system gives both, I just want to see how it compares to the eXWD.
Agreed, but saab putting a heavy emphasis on e-aam and city driving could pay out.
It is an open space. Only hybrid competitor is the Lexus hatchback, based on a prius.
(more looking at US market)
Except comparing the vehicle to the Turbo X sedan or sportcombi/’08.5/09 Aero V6s demands a car that does 0-60 in under 6 seconds (manual, MotorTrend has it at 5.5-5.7s for the TX). My understanding is that gen 4 Haldex was lighter than previous implementations, and comparing it with an electric motor and battery pack was a bit of a wash.
I still want to see a fair comparison between the existing XWD system and e-AAM’s eXWD.
Swade Quality (highest possible) on these set of snippets Jeff!
Agree. Perfect coffee break-reading! 😀
I also have to agree here! 😀
9-4x and Australia and Diesel, i live in an area with lots of large school run suv’s [x5 and the like] and the majority are diesel,
baas900i I agree, and unless the 9-4x is sold in the UK (the biggest right hand drive market), I can’t see it arriving downunder. Making (at best) a couple of hundred RHD cars per year just for Oz wouldn’t make economic sense. If you want a 9-4x in Australia, you’d better hope the Brits like the petrol car or you’ll be waiting for the next generation I’d guess.
The 9-4x is scheduled to come to Oz in 2012.
When does it hit the UK?
In Norway i saw today in the newspaper “Aftenposten” that SAAB has announced that they now offer 5 Years warranty
Erik
Yes, your right. Customer confidence just took a huge leaped forward.
The Independent Saab is clearly listing. Other countries should follow this example.
This is EXCELLENT news!
Giving 5 years of warranty is a sign to customers showing that Saab is confident that their cars are reliable. 80.000 cars… we’re coming!
Nice photo-chops! I think the rear end of the top 2 look like the Sonett. Nice touch!
I have to admit, being able to use the name Tempurpedic would be a fantastic sales tool (though I wouldn’t want people thinking they might fall asleep in a Saab :P).
Whenever I hear Tempurpedic, Bob’s Stores comes to mind……
I have thought about Tempur in seats to but since Tempur form itself because of body heat I don´t know whats happen when you put heat cables inside the Tempur. And another thing, Tempur is absolutly stiff in low temperature. So the good material (like it is) have some problems during winter conditions. I´m going to contact Tempur on this, just for fun. Cos I´m in the “bed business” so to speak. But there is alot of viscous elastic materials out there similar to Tempur that perhaps is much better than the original.
Any news about this??
http://translate.google.de/translate?u=http%3A%2F%2Fttela.se%2F&sl=sv&tl=en&hl=&ie=UTF-8
Production in Trollhättan stopped because of unpaid bills?
Either ttela.se took it down, it was wrong, or it’s lost in translation, but I’m not seeing that story.
The story I do see is from leftlanenews, and they linked to this story. My first ever link up, fun 🙂
Must be lost, cause it’s still there: http://ttela.se/ekonomi/ttekonomi/1.1166653-saab-har-ej-betalt-underleverantorer
Here’s the link to dn.se: http://www.dn.se/motor/nyheter/saab-har-ej-betalt-underleverantorer
What scares me is, that Mr. Geers didn’t want to give a comment. Could be because it isn’t worth commentig or because it’s really a serious thing…don’t know
According to my sources the factory stood still today due to problems/forgot paying the bills.
Once we have full information and details, we’ll make a new post and talk about it. But for now it just seems like the same recycled two bits of information from the union and tv4.
Keep calm and carry on? Where is the ship steering. An information director who does not inform when asked questions. It is a company not a police investigation?
“The truth shall set You free!”
—
Bad timing indeed:
– ovloV scouting for 1000 engineers, I bet the look upstreams towards Trollhättan
The role of an info director isn’t to answer every question he’s given, (in this situation) it’s to answer the questions he can answer in a manner that respects the nature of agreements between the company and the suppliers.
Sorry off-topic,
the Phoenix looks incredible at this photoshoot from different angles:
http://www.facebook.com/photo.php?fbid=10150123711216818&set=pu.122223706817#!/photo.php?fbid=10150123710706818&set=pu.122223706817&pid=6674071&id=122223706817
Cheers
I also spoke to my dad who works at the factory. He said that he didn’t even notice a stop today and since he works in the assembly, he’d be one of the first to know. We clearly need some more information from mr. Geers as this is quite confusing…
Eric Geers has commented now:
http://di.se/Artiklar/2011/3/29/231601/Saab-har-ej-betalt-underleverantorer/
I don’t think it is strange that he needed some time to provide an answer.
You call that a comment? Sounds more like a “I don’t have a clue what’s going on, and I don’t want to talk to you. Go away.”
At least it is an answer, but not that informative indeed. We just have to wait and see, this is not ragnarök.
I’m afraid that even if Swade were to take on the entire Swedish press mafia by himself they would still find a way to slander Saab. Judging by the rabid commenters on di.se, they don’t really care what the news is, they’ll find a way to make it about how Saab is stealing money right from their pockets (even though the loan is backed up by Saab’s assets). It just reinforces the importance of posts like this one. Scandal sells– slow growth, not so much.
There’s a huge difference in reporting a story at 8pm (20:00), well beyond the end of the business day, when answers aren’t readily available, and waiting for details to shake out and then proceeding with a balanced news piece overnight. I understand that they’re trying to get the whole story, and they feel obligated to report the news, but rather than speculate that Saab is out of money or that they haven’t paid suppliers for months, you’d think they might want to get to the bottom of it first.
As I’ve already said, that Saab hasn’t paid suppliers is not speculation but fact. The head honcho of the suppliers group said so himself.
Here’s some more really bad news on the same theme: Ad agency Lowe Brindfors are ending their cooperation with Saab, after not having been paid since December.
http://www.resume.se/nyheter/2011/03/29/lowe-brindfors-bryter-med-/
It looks really bad too. I wonder if this is the case that was mentioned in comments at di.se (someone said that last payment was in December, and current payment is one month behind. so they stopped “deliveries”).
I really hope Saab clears everything up to morrow. I’ve always stood up for Saab because I’ve believed that they’ve been falsely accused and badmouthed, but I’ve also expected them to be honest and do the right thing. These amounting cases starts to grow disbelief even in me soon =/
Well, the news business today is all about being first with the latest. There will in all likelyhood be more balanced and better researched stories in tomorrow’s print editions, but that doesn’t mean that they won’t publish brief snippets now, or even that they shouldn’t do so.
I partly agree about the new CEO. He really has to be solid and reassuring. Victor has enough enthusiasm and charm for the both of them, so that is less vital.
big media in austria (the most important newspapers) are reporting that the factory stands (not stood!!) still. Bad news, really bad news- people reading the newspapers think that saab does not produce any cars anymore!
typically – only bad news are good news in austria.
for example the standard (newspaper in austria) they never had articles,testdrives or news from saab the whole year . even they ignored the phoenix in geneva.
so it´s no wonder that they submit only bad news
Major Finnish business-site reports it now too! =(
You know Jens pretty well, right?
-“Sweden is a small place” 🙂 😉
sorry Jörgen, but this really reads like SOAP-OPERA, maybe good stuff for bored house-wifes or house-men…. an alternative to “bold and beautiful” … the title speaks for itself, congrats to the author – should go to hollywood as a script-writer…. 😉
Saabonaut,
Do Yourself a favor read it first come with constructive critique after… OK
More bad news!
http://www.resume.se/nyheter/2011/03/29/lowe-brindfors-bryter-med-/
Considering Saab’s situation the management needs to act very fast here. Saab needs stability and stories like this just cannot happen if consumer confidence is to be restored. Geer’s comments are not enough and a proper press release is needed. Saab is under higher scrutiny than most and cannot afford stories like this. Regardless of the reason it is very bad PR for Saab and a proper response is needed now.
I am in 100% agreement with Matthew Debord, there is a market for a lower cost premium european alternative to Audi and BMW. Mini has tried to cover this market but there is a large gap between a Mini and a BMW due to design and vehicle size but the idea of low cost, fun to drive, stylish european cars is a proven winner. VW has also found a lot of success in this area and has been able to move a lot of product here in the US despite their terrible reliability reputation.
And since VW seems to be aiming themselves at Toyota now, it really gives Saab a nice place to aim themselves. Sporty, European, safe, economical, and stylish at a competitive price. Like you say, there’s a lot of room between Mini and BMW, and Mini themselves seem to be trying to remedy this with the new Countryman, though most journalists think it completely dilutes the brand’s philosophy.
One of the posts I’ll be doing between now and the NY Auto Show is a focus on the unexploited gaps in the luxury segment. Also I’d like to focus on what markets have the most obvious growth potential for Saab if given a proper local ad blitz– Boston (NE)/NYC/Philly/DC, Upstate NY/Ohio, SF, Seattle, etc. I think Saab needs to target sales just like its targeting partnerships. Basically, get it right in a few key markets and then expand the strategy.
More bad news?
Lowe Brindfors, SAABs ad agency since 19 yrs, has cancelled all Saab contacts. They haven’t been paid since December…
http://www.resume.se/nyheter/2011/03/29/lowe-brindfors-bryter-med-/
Börjesson is right in that its a significant story will a level of public interest that warrants publication. Jeff is also right that the story has broken late in the day when proper answers might not be available. Fuller reporting will hopefully come tomorrow.
Some aspects of this will most likely be commercial and held in confidence between Saab and whoever the supplier is. Particularly if it’s GM. The Keep Calm and Carry On advice is warranted. I’m pretty sure they’ll be going full-on to resolve whatever the issue is.
And now Aftonbladet have it on there frontpage! How easy would it to sell a SAAB car after this? I think this is the begining of the end!
Be careful Johan, I just read in di.se that the sky was scheduled to fall directly over Stockholm later tonight. Something about the supermoon? It really is the beginning of the end.
It is not easy to stay calm when there are news like these.
I sure hope that we will have some explenation from SAAB tomorrow.
Jeff, Now you are really stupid! If several reports saying that SAAB cant pay its the begining of the end! Next step is that one of the subcontractors go to court and there they can put SAAB in bankrupcy! Its not far away! 🙁
Hopefully, “only” a result of the reduced production of certain components in Japan. Quite a number of car manufacturers have had to reduce pace or even close some assembly lines.
Especially due to a severe shortage of air flow sensors in combination with Just-in-Time production.
_______________
“This week, in a modern “for lack of a nail” story, General Motors Co. was forced to shut a plant in Louisiana, and Peugeot-Citroen had to cut back production at most of its European plants.”
Well said. However, there is always a possibility that these are all due to random events. I hope the bottom is reached, researched and reported by tomorrow.
Rodmylon, I agree with you!!
The same scheme could be observed on JAJ’s retirement – the press instantly cross-linked it with last year saab-sales and VA’s activities…. painting great-selling stories…. 😐
Here is some interesting info (swedish) from svd.se
The most interesting piece from the article:
… When I asked VM on Friday in connection to the report, if saab has enough money to pay the bills this year, he answers “Arguably no.””
…”När jag frågade ordföranden Victor Muller i fredags i samband med rapporten om Saab har nog kapital att betala räkningar med i år svarade han att ”det har de nog inte”.”
Maybe this is old news… still scary…
Can’t believe he said that, even if it were true. No company boss would ever admit that, it would be instant corporate suicide.
Ivo
Don’t even think of giving up now.
During the sale process we all went through hell and here we are today, still discussing Saab, a running business.
What has happened today is a problem that probably can’t be solved just by ignoring it, but still, Saab has solved so many problems over the years that I estimate the chances of getting this right as good.
Save your doomsday prophecies until Saab has been given a proper chance to explain what is going on.
The reality is that overdue payments are more the norm than exception. Every day you hold on to the money makes a difference. It can be more painful for some than for others, of course.
Maybe, as part of the anniversary celebrations, they stop the production line one day a year to remind us all how bad it got. 😉
Well it´s not only suppliers who are not being paid. There advertising firm hasn´t been paid since december 2010 🙁
Link:
http://resume.se/nyheter/2011/03/29/lowe-brindfors-bryter-med-/
I consider it highly unlikely that Saab would have run out of working cash. Flow of money, even in auto world, is somewhat predictable and there’s time to react and arrange new injection if needed.
“It’s time for Eric and his department to give good answers”
There will be no answers before sometime in the morning and that is 9-12 hours from now, story came out at bad time.
Came out, or was brought out at a bad time?
Why did the Swedish media not wait till tomorrow for a proper explanation from Saab before publishing rumours?
Those aren’t “rumors”, those are news. You can’t blame the media for reporting those, that’s the way mass media operate. The way the event is reported is generally fair and balanced, and there is no obligation on the media to report news in a way and at a time that suits corporate PR the best.
I am pretty sure there is an issue. There was enough room for unfounded rumors to have surfaced and be reported all the way. And Saab’s PR is extremely swift, if Saab was ready to rebutt, they would have.
We own shops. If it got out that we didn’t pay our bills, it would not be good. I’m putting that mildly. As someone said, when people don’t pay the bills, it sets alarm bells ringing. *SaabsUnited* know that the Saab deal left them with enough funding. Does the average businessman who reads it in the newspaper tomorrow morning also know it too? Whatever we may think or know, Saab needs to address this asap. If I were them, I’d probably make an announcement about something else entirely. Will be interesting to see how VM responds 🙂
Baz, Welcome to SU and to the Combi crowd… you’ll love the combi!
Integrale! YES!
Lancia Delta Integrale and Porsche 944 as well as a Saab 9-3. You have good taste, sir. 🙂
Welcome to the community.
Welcome, Bazzer. Congrats on the new wheels! The AERO seats are superb, aren’t they?
as Alex L posted a time ago – his dad working in the factory didn´t recognize a production stop. so keep calm and carry on is a good move.
SU has been blocked at work….. good thing because this thread might have eaten most of my productive day!
If they put a 3.6 in, I would rather see it put in after the magical date when saab can introduce products that compete with GM, so they can put a turbo on it and make it have 340-360 hp. A hirsch model with 380-400 hp could then happen and that would be sweet!
And swade?… I wonder what his take is on all of this??
See Swade’s post #95
This might be an explanation. I found it on dn.se forum and it´s a google trans:
“According to data from the factory is that of GM’s Rüsselsheim plant (which manufactures many parts for Saab) has raised prices and violated the contract with Saab, which Saab rightly refused to pay. I have adequate access to the factory to know that there is absolutely no case of lack of funding. Too bad Saab is not fast enough to comment and let Svenåke Berglie rule alone”
So that’s why Saab hasn’t paid the bills from their ad agency since December?
What do we really know about the issue with the ad agency? Basically nothing, really.
Maybe there are disputes on other areas causing the climate change? Let us wait and see, shall we?
Also interesting, if it really is RB VA is replying to: @richardbranson @virgin have a lot of 2 discuss then. Saab/Spyker/and a lot another issues. Will be glad 2 talk! Best! VA
about 3 hours ago via Twitter for iPhone in reply to richardbranson
Now there is someone with the wherewithal to …. you know.
Ivo
Interesting if this indeed is how business is being done those days. I would love Richard Branson to join Vladimir Antonov in owning Saab, btw! Now, how about this Fisker link… 😉
It’s pretty weird, right?
Can somebody who has contacts to Mr. Antonov verify if this is actually a real account? Jörgen Trued for example (I saw that you were following him there, but do you actually know it is him!?)