It has been a difficult day in the motoring industry as news broke that another popular brand name would fall victim to the global recession.
General Motors announced that the intended sale of Saab Automobile could not be concluded and that following the withdrawal of Koenigsegg Group AB last month, discussions with Spyker Cars had also fallen through and as a result GM will start an orderly wind down of the brand and its operations.
GM Europe President Nick Reilly stated that the transaction was complex and could not be executed in a reasonable time – while Saab needed a quick resolution to maintain operations.
He noted his regret that an agreement could not be reached with Spyker and stated that the company will work closely with the Saab organisation to wind down the business responsibly. He stated it is not a bankruptcy or forced liquidation case with Saab expected to satisfy debts.
The Saab company will continue to honour warranties and provide service and spare parts to all current Saab owners.
GM has been seeking a buyer for Saab since January as it stepped up efforts to become a leaner company. Last week the company announced it had closed on the sale of the Saab 9-3, 9-5 and powertrain technology to Beijing Automotive Industry Holdings Co Ltd – the latest announcement will have no impact on that sale.
