From Swedish Automobile NV


Zeewolde, The Netherlands, 21 July 2011 – Swedish Automobile N.V. (Swan) announces that Saab Automobile AB (Saab Automobile) continues discussions with its supplier base on material supply and delivery terms in order to be able to resume production at its Trollhättan plant. Swan and Saab Automobile continue their discussions with parties to obtain further short-term funding to be able to restart and sustain production. As delivery of all parts needed to secure a production start is not yet agreed production will not resume on August 9 as intended and will be postponed until a full commitment on delivery plans can be secured.

Gunnar Brunius, Vice President of Production and Purchasing said:

“I am positive about the progress we made on the payment terms with our suppliers and it is good to see that we all want to make it work. What we need now is a full commitment on supply of parts into our factory to be able to restart production and secure a stable manufacturing operation. We are now working hard with our suppliers to nail down these plans, commit to a delivery schedule and start building the close to 11,000 cars that we currently have in our order books. The industry-wide summer break at our suppliers caused certain key suppliers not to be able to supply us in time. Saab Automobile hopes to restart production earliest in week 35 provided that it is able to commit to a delivery schedule with its suppliers.”

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  1. My dear Swade, I always very optimistic, but this time I am really worried. What is happening is quite normal, given the holiday.

    But another month of costs without production can be a killer ….

  2. I believe that it will work out. The 9th of August was to close to holiday to make necessary deliveries from the suppliers, The new date seems more realistic. And Saab are doing a fantastic – but hard – work to arrange all agreements and logistic.
    Parallel with that they are – luckily – continuing developing their cars – including the interesting electric prototypes and the new 9-3. So there is lots to look forward to! 🙂

  3. The number of nearly 11000 orders waiting to be built is not taking into account Canada and some other markets that do not have order guides and pricing for the 2012 models as of yet. The number of nearly 11000 orders could easily be 12000 by the time production starts and that is good news for Saab and good news for the public as that through all of this, dealers are still ordering cars and with the 9-4X hitting dealer lots now in the US, I can see even more orders rolling in. Production not starting on the 9th to me is not a huge surprise because of the summer holiday and the need to ramp up parts production from suppliers. Keep up the great work Swade and thanks for keeping us informed.

  4. Oh, dear… I hope Saab can manage to limp home. Saab have a bit of extra cash and the 9-4X is being delivered, but the PR loss is another issue. But it’s better to communicate it than to just postpone it, or even worse, start up and then find out you have to shut down again.