IMPORTANT NEWS: National Electric Vehicle Sweden has agreed to buy the assets of Saab Automobile and the sale is expected to be finalized during the summer.

Monday, August 8, 2011

Debt and costs piling up

The past weekend Saab met Chinese suitor Pang Da in Stockholm. Swedish news agency TT has gotten a comment from Eric Geers, Saab's Executive Director of Communication, who said the following about the meeting:

"It was one step in the process leading up to the NDRC saying yes to the deal", Eric Geers said.

As reported earlier, the unions at Saab are worried about future wage payments and have requested that Saab give them insight into the short term plans. TTELA reports that Saab's CEO Victor Muller will meet the unions on Wednesday.

"We want to get a picture on how the situation looks like on the short, medium and long term", says Anette Hellgren, lead of Union at Saab. 

But not only the unions are worried. At the same time Sweden's debt enforcement agency, Kronofogden, is still receiving debt claims from suppliers of Saab. In addition, taxes are due on Friday this week.

Today it is also reported that the big supplier International Automotive Components (IAC) is letting 20 workers go due to the crisis at Saab.

"This is a result of a decision that we made in late April. The situation then was that we had no revenues from our business with SAAB", Marcus Nyman, CEO of IAC of Sweden told Swedish Radio.

Also a piece of good news today. Saab has reached an agreement with supplier IAC.

"I can not go into the details of the deal, but it was made based on the offer that Saab has previously presented," Marcus Nyman says to, referring to Saab's proposed deal where suppliers are paid 10 percent now and the remaining 90 percent later.

The settlement was reached about three weeks ago, according to Marcus Nyman.

"We have agreed and we are prepared to supply products when Saab restarts its production," he says.