When we last checked in on Saab, they had announced a deal with Youngman automotive and a bank in China and were waiting on approval from GM and the Chinese.
Well Saab might have just used it's last life. Yesterday, General Motors announced they wouldn't support the new agreement.
"We have reviewed Saab's proposed changes regarding the sale of the company. Nothing in the proposal changes GM's position. We are unable to support the transaction," said GM spokesman Jim Cain.
And the news gets even worse for Saab. In a press release today, Saab's parent company Swedish Automotive revealed the administrator in charge of Saab's reorganization for the Swedish government, Mr. Guy Lofalk would apply for termination of voluntary reorganization of the automaker.
Lofalk has tried to apply for termination of the reorganization back in October, but was met with anger and threats of removing him from the reorganization.
However, that isn't stopping Saab to try one last ditch effort to get some money. Victor Muller, Saab's boss Saab boss Victor Muller is reportedly seeking a loan worth over $800 million from proposed Chinese partner Youngman and an unnamed bank.
Source: Autoblog, The Detroit News
Press Release is on Page 2
7 December 2011
Swedish Automobile Informed By Administrator Of
Application To Terminate Voluntary Reorganization
Trollhättan, Sweden: Swedish Automobile N.V. (Swan) announces it has been informed that the administrator of the reorganization, Mr. Guy Lofalk, will apply for termination of the voluntary reorganization of Saab Automobile AB (Saab Automobile) and two subsidiaries with the District Court in Vänersborg, Sweden.
Saab Automobile and its creditors have approximately five to six days to submit their view to the District Court before the Court takes a final decision about termination of the reorganization. The management of Saab Automobile will consider future steps and continues the current discussions with Youngman about the necessary funding to pay the wages and be able to continue the voluntary reorganization.