Filed under: Etc., Europe, Plants/Manufacturing, Saab, Earnings/Financials
Saab hasn't been able to secure the short-term funding it needs. As a result, the Swedish automaker has been unable to pay its employees their wages, according to a statement released by the company.
Saab says that it is currently investigating ways to secure the funds necessary to continue operations, including selling all of its assets and leasing them back. That option had been discussed in the past but fell to the wayside as discussions with various Chinese partners ramped up. Even with that option back on the table, Saab says that there's no guarantee that the company will be able to secure the necessary funding.
If that happens, Saab could go permanently dark.
The automaker has secured mid-term financing thanks to a deal with Chinese Distributor Pang Da, but if the company can't keep its workers paid right now, that may not mean too much. Hit the jump to check out the brief press release.
Continue reading Saab unable to obtain short-term funding, pay employee wages
Saab unable to obtain short-term funding, pay employee wages originally appeared on Autoblog on Thu, 23 Jun 2011 10:29:00 EST. Please see our terms for use of feeds.
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