Saab News: Dark clouds over the reconstruction

Plans can be that easy. But plans can fail if an important building block is missing. An almost legendary component of the reconstruction are the 70 millions of royalties that should come from Lotus Youngman from China.

The license payments for the non-exclusive use of the PhoeniX platform was one of the rabbits that conjures up Victor Muller from time to time from his hat. Since no payment from China has arrived at Saab to this day, the reconstruction could be canceled or interrupted today.

During a reconstruction, the company is not allowed to build up new debts, the reconstruction business must be covered by the current revenues. These trickle sparse to our car manufacturer in the stablebacka. Another date is the 20. October. On this day ends the state wage guarantee, from the 21.10 Saab must pay the wages themselves. Without the money from China impossible, the reconstruction would be a farce.

That's why Guy Loflak, the court-appointed administrator, thinks about ending the reconstruction today. And he thinks quite loudly, publicly in the press. Stop, out, over. The consequences would be fatal.

Rachel Pang of Lotus Youngman was in Stockholm yesterday to discuss the contracts. There seems to be some passages in the agreements that our Chinese friends do not like. Either way, either the money comes or it just does not come.

A new administrator?

At Saab, dissatisfaction with Guy Lofalk increases. Supposedly one is not happy with the attempt to replace the EIB loan, instead of waiting for the money from China. Apparently you do not want the state as a shareholder. Therefore, Saab today wants to apply to the local court for a replacement of the administrator.

Brisant only, the administrator you would like to dispose of, was a prime candidate of the car maker. Christina Geers had suggested Guy Lofalk, the court had accepted the proposal.

In principle, it is possible to replace the administrator, in the misery in Trollhättan changes little. Everything depends on the money from China. Even if there should be more interesting, deadline is 20. October.

There is a lot of politics and a lot of self-interest in this drama. I think so too, a test of power by various parties, including Victor Muller. The bill in this game pays, as always, Saab. The last porcelain is now smashed by force and Saab dominated again the negative headlines. Currently in Sweden, until the evening it goes around the world again.

Maybe it's just a lot of smoke and little fire. If and how we, rather Saab, come out of this story, well, that is not even known the famous crystal ball.

Positive thinking is difficult for a blogger in month X of the crisis itself. Anyway, we stay tuned.

Text: tom@saabblog.net

4 thoughts on "Saab News: Dark clouds over the reconstruction"

  • Some things are very incomprehensible. Is there no short-time working in Sweden? Here in the country
    every 10th company was affected by short-time work, forced vacation or the like. Saab sells belongings to pay full wages, although the 3700 don't lift a finger. Can also not understand that owners, administrators, potential buyers cannot agree. What kind of wind contracts have they concluded with the Chinese that are still “unclear”. Then you shouldn't call them “contracts”, they are not worth the paper. In the last 25 years weird fringes have disappeared from the scene, such as Talbot, Simca, NSU, some British, Daf and Russian scrap. Otherwise no one and no tear was shed. And Saab is now a candidate in this glorious list. Skoda, Seat and the Italos did it. Perhaps the alcohol in Sweden is not so expensive for nothing, who knows whether they will be damaged. If someone were to suggest that every Saab driver from DE should participate in Saab aid, I would be the first to shrug off a thousand, for shares or as humanitarian aid. If there should actually be a tragedy, then I'll proceed like Leif, in the direction of Volvo.

  • Yes, it sucks. It breaks all the good work from the blog. Always new strokes from Sweden. It is probably the egoisms of Muller and Lofalk that collide. Solves Lofalk with state aid the EIB loan Saab is a state owned company because stock majority and Muller and friends are rid of their toys.

    My personal deadline is the end of October. Got the gentlemen in Sweden it was not regulated that was for me the end of the Saab dream.Then in the future Volvo.

  • Good morning.

    Man, it's annoying.

    Now we are just thinking again whether ordering a station wagon might not work this year (question to the readers here: is it advisable in terms of time or should you rather wait, what about the deposit and its security? “Higher” discounts are to be expected this year or next, etc.?) And now there is again such bad news from Sweden / China. 🙁

    With every new "bad" news, my trust in Saab is waning ... and good news can hardly "push it back".

  • Not only I would be very interested in what passages in the negotiated contracts Mrs Pang lately no longer appease.

    In addition, one should not wait too long to negotiate with other interested parties (investors) - due to the well-known financial situation of SAAB-Automobile, financially strong companies / groups etc. are likely to “knock” here.

    Perhaps another administrator would be more suited to such weighty tasks than Mr. Lofalk. However, this can only be recognized in Trollhättan itself and implemented accordingly.

    After the fight of the last months (years) really all still available possibilities should be fully exhausted!

    Greetings from Schleswig-Holstein
    Julie

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