Law and Rights
Saab breathed a sigh of relief a few days ago when it announced a deal with a Chinese automaker that would have Hawtai Automotive Group gobble up 29.9% of Saab and loan it more money, funneling to Saab $216 million.
With the money, Saab was set to pay its suppliers and re-open its closed factory. Then, mirroring what happened when the same Chinese company tried to buy the Hummer brand from GM a few years ago, it all came undone, according to an article from the Detroit Bureau.com.
Apparently Chinese bureaucrats closely regulate the company and Hawtai could not get their approval on the deal. If the deal had gone thru, Saab could have started distributing Chinese-made vehicles in the US and elsewhere.
The European Investment Bank, which also has a stake in what's going on, nixed a prior deal that would have had a Russian banker buying up a big chunk of Saab.
Meanwhile, Saab suppliers have generally been refusing to deliver parts to the Saab plant since March 29 and that stopped production of the two central Saab models, the 9-3 and the 9-5. Saab's chairman said he is still hopeful (that the company can pull a rabbit out of the hat) but things continue to look dimmer for the Swedish company.
Now more than ever - think twice before you buy a Saab product anytime soon. Because soon they may be an orphan.
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Law and Rights
Saab is tottering on the brink of collapse - financing falls thru
Saab breathed a sigh of relief a few days ago when it announced a deal with a Chinese automaker that would have Hawtai Automotive Group gobble up 29.9% of Saab and loan it more money, funneling to Saab $216 million.
With the money, Saab was set to pay its suppliers and re-open its closed factory. Then, mirroring what happened when the same Chinese company tried to buy the Hummer brand from GM a few years ago, it all came undone, according to an article from the Detroit Bureau.com.
Apparently Chinese bureaucrats closely regulate the company and Hawtai could not get their approval on the deal. If the deal had gone thru, Saab could have started distributing Chinese-made vehicles in the US and elsewhere.
The European Investment Bank, which also has a stake in what's going on, nixed a prior deal that would have had a Russian banker buying up a big chunk of Saab.
Meanwhile, Saab suppliers have generally been refusing to deliver parts to the Saab plant since March 29 and that stopped production of the two central Saab models, the 9-3 and the 9-5. Saab's chairman said he is still hopeful (that the company can pull a rabbit out of the hat) but things continue to look dimmer for the Swedish company.
Now more than ever - think twice before you buy a Saab product anytime soon. Because soon they may be an orphan.
Burdge Law Office
www.USLemonLawyers.com
Because life is too short to drive a lemon.
www.USLemonLawyers.com
Because life is too short to drive a lemon.
Subscribe in a reader- Is Saab Going, Going, Gone? Rumors Of Near-bankruptcy Circulate
Is Saab going, going, gone? Rumors of near-bankruptcy circulate as Saab delayed its release of the first half 2011 financial report which, obviously, will likely be printed with red ink. News reports say Saab missed another payroll and its suppliers still...
- Saab Troubles Continue As Asset Seizure Nears
It's a sad story for Saab owners around the world. The only vehicle actually being built right now is reportedly just the 9-4X Suv model with the rest of the Saab model line on hold while every day is undoubtedly causing heartburn in the board room....
- Saab Opens Manufacturing Plant - And Gets Shut Down Again - It Just Never Ends
Saab just can't seem to get it up and running as the money continues to run out. Last month it made a deal with China's largest dealer network that promised to refuel the Swedish automaker with badly needed funds to reopen its plant, according...
- Saab Plant Continues Shut Down; Parts Shortage; Millions Owed To Suppliers?
Saab's main assembly plant in Sweden remains shut down while parts suppliers line up with hand outstretched, wanting paid for parts deliveries. Saab officials say they have $200 million in the bank, according to The Detroit Bureau, but still are trying...
- Saab Factory Shut Down Again By Suppliers Who Aren't Getting Paid For Deliveries
and they aren't happy. For the second time in barely a week the Saab headquarters plant in Sweden has had the assembly line shut down by suppliers who refuse to deliver critical parts because they claim they haven't been paid for deliveries. Saab...