Saab files for voluntary reorganisation
The coffin bearers' ears might have pricked up this morning following the announcement that Saab Automobile is filing for voluntary reorganisation in a Swedish court, but they will have to wait a little longer as the process is another attempt to sort out the company's finances.
The brand's parent company, Swedish Automobile N.V. (Swan) applied for the three-month process in a court in Sweden this morning at 9am local time.
The voluntary reorganisation is not a sign that the company has entered any sort of bankruptcy though, and is a process similar to the American Chapter 11. It allows Saab protection from those it owes money to for a three month period and allows the company to get itself sorted out.
As part of the process, Saab and a court-appointed administrator will work out a detailed plan for reorganising the business within three weeks.
Saab says it is still awaiting Chinese approval of the investments it is due from Pang Da and Youngman, and is also looking for additional money to tide it over in the short term.
An official statement said the company was hopeful it would find this extra cash, saying: "Swan and Saab Automobile are confident that they will secure additional short-term funding for the reorganization period and are currently in negotiations with several parties."
The process is self-managed, so Saab will remain in control of its own affairs throughout the period.
Saab's parent company has stressed that it is only Saab Automobile that is affected, and the British version will continue as usual. A statement said: "Saab GB and its dealer network will continue to provide servicing, replacement parts and vehicle warranty facilities for Saab customers as normal."