The shutdown of Saab’s main assembly plant, at its Trollhattan, Sweden headquarters, could drag on for some time as the maker struggles to raise additional cash to help cover what parts suppliers claim are millions of dollars in unpaid bills.
The maker’s parent, Dutch-based Spyker Cars, nonetheless insists that Saab is not nearing a collapse. The maker only emerged for near-insolvency a year ago, after Spyker purchased the failing brand and its assets from General Motors.
A spokesperson for the automaker, based several hours from capital city Stockholm, said Saab officials are “working hard” to find a solution, but also warned “could” stretch on for several days.
Following the Geneva Motor Show, in March, Saab Chairman Victor Muller stated the company still has about $200 million of the money left from a 2010 European Investment Bank loan. But he also said Spyker would be seeking to raise additional capital as quickly as possible.
Saab was hit with a brief production halt last week when suppliers temporarily halted deliveries. Saab appeared to have addressed that problem, but the confrontation resumed this week, and the latest production halt is now in its fourth day.