Saab close to collapse? No, says Victor Muller

Victor Muller has declared Saab is not close to collapse – despite production being halted last week – and will soon get additional funding from Vladimir Antonov.

Last week we reported that Saab had stopped the production line because of unpaid bills; suppliers hadn’t been paid, component delivery dried up and cars couldn’t be completed.

We actually thought it was for two days – bad enough – but it turns out the production line was shut for three days. Which doesn’t look very promising or auger well for the future. But Spyker boss Victor Muller (Spyker owns Saab, as you know) remains bullish.

“Saab is still producing cars and is not on the verge of collapse,” said Victor. “…a small glitsch,” he concluded.

He also went on to say that he expects Saab to produce 80,000 cars this year and that the production will be loaded to the back end of the year. Which sounds more like an excuse for low production now than a confident prediction for the rest of the year.

It also seems as if Saab’s hopes depend pretty much on the involvement of Vladimir Antonov. Vladimir has filed an application with the Swedish Debt Office (Sweden has guaranteed a €400 million EIB loan to Saab) to be allowed in as an investor in Saab.

Assuming Sweden has no problem (and with a €400 million potential liability we expect their minds to be concentrated) Vladimir is expected to take a stake in Saab of a bit under 30% (more and he’d have to bid) and will probably also provide additional funding.

That funding could allow Saab to repay some or all of the EIB loan and some or all of GM’s ongoing stake. It should also allow Saab to get through to the point where they make money instead of haemorrhaging it.

At this rate Vlad have to start wearing his underpants outside his trousers.