The Saab soap-opera continues, but this week the news is good. Saab just won a court appeal to protect it from creditors while it awaits funding from its Chinese investors.
Earlier this year, two Chinese companies, Zhejiang Youngman Lotus Automobile Co. and Pang Da Automobile Trade Co. agreed to buy shares in Saab, totaling $334-million.
Considering Saab currently owes $207-million to its employees and creditors, so once the money is received, it can easily pay down its debt.
The lower-court had initially rejected protection to Saab, citing that it had done so once before in 2009-2010.
How long will it actually be before Saab’s 3600 employees and its creditors will get paid? That is dependent on how quickly its Chinese investors can pay their due.
For now, the court has given Saab some breathing room. Saab’s production line has sadly been at a standstill since April 2011. Let’s hope they can once again start making beautiful and wonderful cars like the original 92 (pictured).
[Source: Automotive News]