Press Release: Court rejects voluntary reorganization application. Saab Automobile to appeal decision

Zeewolde, The Netherlands, 8 September 2011

Swedish Automobile N.V. (Swan) announces that the District Court in Vänersborg, Sweden today rejected the proposal for voluntary reorganization by Saab Automobile AB and its subsidiaries Saab Automobile Powertrain AB and Saab Automobile Tools AB (collectively Saab Automobile). Saab Automobile is disappointed with the ruling and will appeal the District Court’s decision.

Swan will update the market tomorrow on further developments.

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UPDATE:

A press conference was just held here in Trollhattan where Chairman and CEO Victor Muller confirmed that Saab would be appealing the decision handed down today.

Victor Muller said that he was surprised and disappointed by the decision, that he thought Saab had satisfied what was believed to be the burden of proof to have a reorganisation application approved.

Obviously the court disagreed and now we will be ‘throwing the kitchen sink’ (i.e. absolutely everything) into the appeal documentation.

Video of the press conference below (h/t to SU for picking this up)

——

UPDATE:

Further information, shared internally this afternoon but not sensitive, just confirmation of what’s been written above.

What happens next?

Saab has decided to appeal the district court’s decision.

Why?
The company believes that there is potential to continue successfully after a reorganization.

What happens now?

The company will analyse the district court’s decision with the help of legal counsel in preparation for an appeal.

Saab will supplement the original application with additional facts.

As the company now finds itself in a vulnerable situation, we have contacted the company’s stakeholders, including suppliers who have claims on Saab and the unions, in order to maintain a dialogue on the situation.

Tomorrow the company will give further information on the next steps in the process.

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22 Comments

  1. I have been incredibly optimistic so far, but unfortunately I believe that unless the Chinese deals get imminent approval, this is the end. This is very heartbreaking for me as a Saab loyalist.

    1. I ‘m thinking the same. But we must be realistic, the climate becomes very bad. But you never can tell. Perhaps  VM still finds a white rabbit in his had, lets hope. 

  2. Please try harder this time. The presentation was a bit thin. I understand reconstruction wasn’t plan A so it might have been a bit hurried.

  3. Good luck!  I hope you can get through this because you deserve more. The SAAB’s quality is hard to be equalized by many other companies. I profoundly regret the situation.
    I hope that the court would reconsider and will give you a positive answer to your appeal.

  4. What is wrong with Sweden????????????? I thought Ireland was bad. Saab is a global icon, an ambassador for Sweden, a name recognised by millions. Enjoy your windmills, guys… 

    1. Yes, Saab is definitely a much better ambassador than their king who they hold onto dearly. I simply cannot understand the Swedish mindset on Saab.

  5. Do Something and SAVE SAAB! This iconic brand with unique products cannot just die! I really cannot understand what is going on up there in Sweden! But I know only one thing: Driving a SAAB is always a unique experience. That is why everyone up there should NEVER GIVE UP!   

  6. A tough decision but legally a correct one. Saab has no plan how to become profitable again, it has 40 million in its account but billions in debt. There is no way out of this, I’m afraid. And I was looking forward to buying the new 9-5 SportCombi… 🙁

  7. Mr. Muller and team:  We’re still believing, so please keep fighting!!  We still have plans B.5 and C up our sleeve!  Hang in there Saab employees!!

  8. I think it is important to remember that we are very caught up in all of this because of our passion for the brand, but for the average customer looking at a 9-5 on the street, they have no real idea that all of this is happening.  With clever marketing and promotion, the SAAB Brand certainly still has cachet.

    Just last week I was in the new 9-5 and a gentleman stopped me to ask about the car and how much nicer it was than his 5-Series, which he admitted was comparatively quite boring.  The SAAB brand is still around and with the new models (which are gorgeous cars that really stand out on the street), there is still value from the portfolio.  I get questions and complements every time I am in the 9-5. 

    I’m glad to be affiliated with a brand that gets people excited (for better or worse), it’s much better than driving a Toyota thats just gets a ‘Meh’ reaction from most people.  SAAB brings out passion, and that passion will be around well into the future, from enthusiasts and other drivers who are just now starting to see 9-5s ans 9-4s on the road and are getting attracted to them.

    I hope everything works out so that SAAB can profit from this tipping point in the long term. As the cars are starting to be seen, they will be leased / purchased. No doubt about it. Driving a new SAAB is like driving architecture, and I am proud to have one.

    Best to everyone in Trollhattan,

    Asher 

  9. Surely, times are very difficult for SAAB. But this could be a new beginning. Don’t get surprised to see SAAB as a Russian-owned brand. (Keyword: Antonov). There are also rumours that VW is in close pursuit and “looking at the price” which is definitely not increasing nowadays.           
    The Viking has a unique place in automobile history and deserves a survival with a new owner.  It was apparent that Spyker could not save SAAB. If Spyker would be strong enough, we would anyway see this historic Dutch brand at a very different point in the world market today.                                                

  10. Took delivery of my SAAB 9-5 on Monday – my first new SAAB since my 99 25 years ago. The advance in SAAB engineering since then has been amazing. I LOVE my new car. It`s briliant. Please keep the marque alive. P-L-E-A-S-E.

  11. I just remembered a quote from you Swade: “The fat lady hasn’t sung yet!”. It is so true, it ain’t over till it’s over!

  12. SAAB started as a brand to keep jobs after the the 2nd World war , it appers the courts belive that thoughs jobs no longer matter .  I stand with Victor Muller , there are jobs that matter both in Sweden and the rest of the world where SAAB is sold it’s not just 3,700 there it’s jobs at the suppliers, dealers , independents etc. world wide . However  I don’t understand why such a fine car can be just lost to the history books and I’m angry . I hope for Victor  and the rest of us that belive , I’ll keep hope , anger won’t get us anywhere.  Thanks to all , Dave

  13. This is just too depressing.  I’ve loved two car brands in my life – Saab and Pontiac and now one is dead and one is dying.  I know there is a little hope for Saab but I’m feeling that today’s court decision has spelled the end for this plucky little car company.

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