GM Continues with Saab Shutdown Despite New Offers

Posted Jan 8, 2010 by Martin Laine
US automaker General Motors is continuing with its plans to close down operations of its Saab line of cars even while it says it is considering a flurry of new bids to buy the famed Swedish brand.
The Saab plant in Trollhattan  Sweden.
The Saab plant in Trollhattan, Sweden.
Saab Automobile AB
GM’s actions are prompting those who would like to see Saab saved from extinction to charge GM with acting in bad faith.
“Today, Saab Automobile’s board has decided on the liquidation of the company,” said union leader Stefan Lofven in a report in The Local, an English-language news service. The decision to start official steps to close the company was made at a board meeting today at the company’s home in Trollhattan. “GM is taking an additional step in the winding up of Saab.”
In recent days, several new offers to buy the financially-troubled brand have surfaced, including Dutch sports car maker Spyker and a group made up of a Luxembourg investment firm and Formula One executive Bernie Ecclestone.
“It is unintelligible and irresponsible to do that now without reviewing the serious bids that have been placed for Saab,” Lofven said of today’s decision. “GM’s decision is not in line with signals we have received from the company about its sincere intentions of wanting to sell Saab and seriously reviewing incoming bids.”
GM’s spokesman in Europe Stefan Weinmann is quoted as confirming that the company is proceeding with the company’s closure while considering the new bids.
“Essentially the two processes will continue in parallel,” Weinmann said.