CompleteCar

RIP Saab 1947 - 2011

Saab files for bankruptcy after GM blocks proposed sale to the Chinese.

Saab is no more. It has ceased to be. It has expired and gone to meet its maker. After several long and painful months filled with more twist and turns than a Christmas special of Eastenders beleaguered Swedish carmaker, Saab, officially filed for bankruptcy yesterday (December 19) bringing to an end one of the longest running soap operas in the automotive industry.

The move came after former owner, General Motors, blocked the proposed sale of the iconic brand to Chinese investors Pang Da Automobile Trade Co. and Zhejiang Youngman. Its reasoning was to stop GM-developed technologies falling into Chinese hands.

The carmaker has apparently received expressions of interest to buy parts of the company, and the bankruptcy filing is "not necessarily the end," according to Victor Muller, chief executive officer of parent company Swedish Automobile NV. However, any chance of a last minute rescue "would have to happen quick, in a few weeks, because our employees will be looking for other jobs."

Saab suspended production in March when it was unable to pay suppliers, has delayed paying wages to its 3,600 staff several times this year and has yet to give workers pay that was due at the end of November.

Written by
Published on December 20, 2011