Saab Workers Promised Aid By Swedish Govt, Spyker-GM Negotiations Fall Down

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Dec 27, 2009
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DESPITE A RENEWED OFFER by Dutch supercar maker Spyker, GM is reportedly pushing ahead with plans to shut down Saab.

Meanwhile, the Swedish Government has pledged its support to workers affected, promising retraining for those losing their jobs and financial aid to Saab's home city of Trollhaettan should the company go under.

 

"We have to start from the decision that GM has taken ... to shut down (Saab)," Swedish Enterprise Minister Maud Olofsson said earlier in the week.

"In that case we want to be prepared and show local and regional authorities and employees there are resources, and they do not have to be worried."

 

The Swedish Government has allocated 542 million kronor to promoting jobs and growth in Saab's home region, where around 3400 people are directly employed by the manufacturer. Roughly 8000 jobs in total are estimated to rely on Saab's presence in the country.

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The details of Spyker's 11th-hour bid for ownership of Saab were not clear, however the Dutch company's Russian backers were rumoured to no longer be behind the proposed deal.

Although Spyker extended the deadline of its new offer indefinitely earlier in the week, it seems the boutique automaker's appeal fell on deaf ears. Swedish newspapers are already reporting that GM has dismissed Spyker's second bid, and that plans to shut down Saab are already being executed.

An official statement on the outcome of the talks between Spyker and GM has yet to be issued by either company, however more news expected to surface next week.


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Comments

  • Thom [reply]
    7 months ago 0 points
    Its amazing that GM could destroy yet another classic under it "leadership". Leave it to the overgrown giant to loose an icon. How many other cars have to disappear before this poorly run company goes belly up! Even creditors in bankruptcy take pennies on the dollar. Grow up GM when u have no authority and are in no position to expect top dollar for the abuse you served up. Sell... and just take another loss
  • Alex Lammie [reply]
    7 months ago 0 points
    Saab owners the world over are carrying on the fight with the website www.iwontbuyfromgm.com ,the purpose of the site is for people to declare to GM that if Saab is closed down, rather than sold, then those people signed up will not consider the purchase of another GM vehicle in the future. The numbers signing up is mushrooming, thanks to the works of www.saabsunited.com.
  • Saabhistory [reply]
    7 months ago 0 points
    This is incorrect, please take a look at the situation as it stands today.

    http://www.saabhistory.com/2009/12/24/spyker-cars-ceo-reports-that-bid-is-not-rejected/
  • FrugalOne [reply]
    7 months ago 0 points
    @^^Thom

    GM have made the correct choice, 100%

    Saab cost GM over a billion dollars +, and they never made a profit from selling any car they ever built.Its costing them millions every day it *operates*...

    Simply to expensive to build in Sweden, poorly located, nowhere near enough volume, non competive retail price, to different & obscure type of vehicle for the masses etc etc.

    The other auto industry players/makers know this full well [except "GenerousMotors"], its why no other brand of any creed is interested in it.

    A bit sad for all involved but it dug its own grave.

    Its Rover days all over, won't be the last brand to fall over either
  • CogitoErgoZoom [reply]
    7 months ago 0 points
    <<@^^Thom

    <<GM have made the correct choice, 100%

    <<Saab cost GM over a billion dollars +, and they never made a profit from selling any car they ever built.Its costing them millions every day it *operates*…

    Simply to expensive to build in Sweden, poorly located, nowhere near enough volume, non competive retail price, to different & obscure type of vehicle for the masses etc etc.

    The other auto industry players/makers know this full well [except "GenerousMotors"], its why no other brand of any creed is interested in it.

    A bit sad for all involved but it dug its own grave.

    Its Rover days all over, won’t be the last brand to fall over either
  • Ivar Möller [reply]
    7 months ago 0 points
    The Swedish government (Maud Olofsson) don´t like SAAB cars and want obviously the base industri in Sweden to disappear.
    The government is already under investgation of a prosecutor, and the case will be re-opened if new information reveals that they have participated in the clousure of SAAB Automobile. They even prefer BMW as their business choice instead of SAAB or Volvo.
  • WooDz [reply]
    7 months ago 0 points
    SAAB has cost GM money and on paper they made losses too. But when GM was losing over $30Bn a year of which SAAB's contribution was only $500 Million, you have to ask who were the real loss-makers? Why are SAAB's uncompetitive in the market. Let's start with price. GM increased SAAB's prices by $5000 over a 4 year period, they then had to give that all away in sales incentives. This has a big impact on residual values which again worsens the appeal of the product. Why did SAAB's not sell with an inflated $5000 price tag because GM didn't renew the product.

    Who's at fault? SAAB's for having to do the best with what they had and what they were told to do, or GM for putting SAAB in that position?

    GM has 3 bids on their table at present (27/12/09) but reports are all about the brand being shuttered. Not sure that's quite fair from the media...

    Anyway if you feel that if GM closing down SAAB is an injustice and you would like to add you name to the list of people who will not buy another GM vehicle if they do, then head over to www.iwontbuyfromgm.com.
  • Jake02 [reply]
    7 months ago 0 points
    TMR, I'd like to question this article. There is no evidence in this article that Saab is certain to shutdown at this stage. The interview with the government official clearly states "...in that case we want to be prepared..." meaning that nothing is confirmed or denied.

    http://news.drive.com.au/drive/motor-news/sweden-vows-to-help-saab-workers-as-spyker-extends-bid-20091224-ldr7.html

    This article from another Australian media outlet has the same government officials quotes but with a much more positive message/theme.

    CogitoErgoZoom -
    The reason of Saab's crapness is because of GM itself. GM gave them no money to develop new models, so how could they turnover a profit? Volvo is also located in Sweden, they make money. How is it a poor location?
  • Jake02 [reply]
    7 months ago 0 points
    *There is no official evidence from GM, Saab or Spyker that Saab is to shutdown at this stage I meant to say. If nothing is truly confirmed why bother writing it?

    GM, sell Saab to Spyker. NOW!
  • Tony [reply]
    7 months ago 0 points
    It staggers me how sites such as these report it not how it is but how they wanted to be, possibly to gain attention for the story.

    The fact is whilst GM is looking at 2 proposals at present, one from Spyker and one from a consortium GM have stated whilst they considering this proposals very carefully they also made a decision prior to close Saab down. If niether bids are successful then they will pin ahead with the closure of Saab however, if either bids are successful then Saab will be sold.
    I believe this story stems from a discussion that Saab had on 26 December which still looked at how the closure of Saab would be implemented if they unable to sell it.
    Thats two distinctives takes here but TMR have decided to report it as the latter.
  • Matt J [reply]
    7 months ago 0 points
    So now I don't know what the news is.... has the deal gone through? I don't know what the latest news is re SAAB & Spyker..... update perhaps? It's all over the place... has the 2nd offer/discussion with GM and Spyker fallen through?
  • klas stenström [reply]
    7 months ago 0 points
    Join the movement!
    iwontbuyfromgm.com
  • Markac [reply]
    7 months ago 0 points
    @FrugalOne

    It's cheaper to make cars in Sweden than it is in Opel's factory in Germany, and Saab has made a profit several times over the years. Creative GM book keeping just makes it look otherwise. Anyway whatever loses Saab made, have been more than made up for by the technology GM has gained (poached) from Saab over the years. GM simply never gave Saab the resources it need to flourish. It only got fed scraps. Shame on you GM!
    GM now do the honourable thing and sell Saab!

    iwontbuyfromgm.com

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