GM Closing Saab

[FenwickHockey65]

Breaking: GM Closing Saab AB
Despite efforts, a sale of the Saab brand cannot be completed.
www.gminsidenews.com
December 18, 2009

Detroit: General Motors announced today that the intended sale of Saab Automobile AB would not be concluded. After the withdrawal of Koenigsegg Group AB last month, GM had been in discussions with Spyker Cars about its interest in acquiring Saab. During the due diligence, certain issues arose that both parties believe could not be resolved. As a result, GM will start an orderly wind-down of Saab operations.

“Despite the best efforts of all involved, it has become very clear that the due diligence required to complete this complex transaction could not be executed in a reasonable time. In order to maintain operations, Saab needed a quick resolution,” said GM Europe President Nick Reilly. “We regret that we were not able to complete this transaction with Spyker Cars. We will work closely with the Saab organization to wind down the business in an orderly and responsible manner. This is not a bankruptcy or forced liquidation process. Consequently, we expect Saab to satisfy debts including supplier payments, and to wind down production and the distribution channel in an orderly manner while looking after our customers.”

Saab will continue to honor warranties, while providing service and spare parts to current Saab owners around the world.

As part of its efforts to become a leaner organization, GM began seeking a buyer for Saab’s operations in January. Last week, Saab Automobile AB announced that it had closed on the sale of certain Saab 9-3, current 9-5 and powertrain technology and tooling to Beijing Automotive Industry Holdings Co. Ltd. (BAIC). GM expects today’s announcement to have no impact on the earlier sale.

As the company continues to reinvent itself, GM has been faced with some very difficult but necessary business decisions. The focus will remain on the four core brands – Buick, Cadillac, Chevrolet and GMC – and several regional brands, including Opel / Vauxhall in Europe. This will enable the company to devote more engineering and marketing resources to each brand and model.

A media conference call with John Smith GM Vice President, Corporate Planning and Alliances will take place at 9:45 a.m. Eastern Time.

[Xanthos]

Unfortunate, but I expected it. :(

R.I.P. Saab.
- X

[TheCaptain]

At least the SRX got the Haldex AWD powertrain!
RIP Saab

[cab2g]

Even though I always thought Saabs were ugly. They need more AWD cars out there. To be honest, the only AWD compact that I'd consider buying right now is the Subaru WRX hatchback. However, many other bad drivers also love that car so insurance rates would make me second guess my choice!

Call me European, but we need more fuel efficient AWD wagons and hatchbacks! I don't have a family to lug around but having the extra trunk space is great when I lug around a lot of stuff!

[1320junkie]

So are they selling them off cheap now?

[The_Blur]

:( I'm very unhappy with this decision.

[coolman]

[Revo1]

I hate to say it, but Saab never put out anything that was less than hideous. They had an even longer flawless run of hideous cars than Saturn, and that ain't easy. It's a bummer but if they hafta trim the fat, I'd say Saab is a good place to start. Hopefully they will disperse the better parts of Saab throughout, and everyone can benefit from it...

[FenwickHockey65]

Originally Posted by 1320junkie

So are they selling them off cheap now?

Yes.

[Number 3]

Originally Posted by 1320junkie

So are they selling them off cheap now?

Saabs, Pontiacs and Saturns are all at super discount prices.

I am about to go pick up a Sky Redline that had $6,500 in rebates on top of GMS.

The salesperson told me they are closing the dealership effective February 1, 2010.

[ljustin293]

I had no idea SAAB was even GM

[Angrybird 12]

Another one bites the dust!

[DGthe3]

Isn't Saab GM's worst performing brand in terms of sales and profits?

[305pride]

lame