Youngman Lotus Lends Saab Helping Hand, Sends Infusion of Cash

#Saab

The outlook didn’t look so good for Saab until now, as Youngman Lotus Automobile has finally taken the first step in saving the Swedish automaker with a payment that may affect the outcome of the court hearing on December 16 that will determine its future.

Youngman has given Saab about 34.5 million Euros (about $5 million U.S. dollars) to cover immediate tax expenses, Reuters reports. Victor Muller, chief executive of Swedish Automobile also told Reuters, “We are working on the documentation for further funding adequate to pay salaries and continue reorganization.”

The $5-million rescue payment may put the automaker in good graces with the Swedish courts, as Guy Lofalk, the court-appointed administrator of Saab’s voluntary reorganization, filed to put an end to the reorganization process last week. The process initially protects the company against creditors while the automaker continues to arrange a deal with the Chinese.

Last month, General Motors blocked the brand’s sale to Pang Da and Youngman Lotus Automobile after the two Chinese automakers sought to take complete ownership of Saab. The deal originally called for a combined 53.9 percent in Swedish Automobile between the two, with no stake in Saab.

We’ll have more on the developing Saab saga after the automaker’s court date on December 16.

Source: Reuters

 

chris
Elle, you hypocrite don't think you have an argument by saying that the US is to blame for the downfall of SAAB or Volvo... They were losing money on their own and that is why they were cut loose., Capitalism at work. Now you tell me one piece of quality item that come from china that we drool for? They only succeed by holding the value of their currency artificially low to force competition out and leave them with a sweet Piece of sh*it product market that they mass produce to fail. Now when you want to call me arrogant or moron....first check your mouth to make you sure you clean all the shit out of it that you keep babbling...
Elle
I do wonder how one can make so many stupid posts. First about the Euro, then branding all Chinese companies. Wasn't it in fact GM and Ford who first bought out these companies, underfunded them, pillaged their technologies (safety, turbo engines, etc) and then threw the overboard? That was dilution you moron. You accuse the Chinese of what the Americans already have done. Ironically, thus far the only evidence is of investment in foreign companies for a mutual benefit. Volvo is now thriving, and SAAB has a chance to get back at being one of the most innovative brands in the business. Too much for you to figure out, eh a$$ hat?
Elle
Ah, the arrogant/ignorant internet poster.
JeanClaudeVonSpam
I'm amazed they even know what a euro or kroner is.
JeanClaudeVonSpam
I'd go for better licensing laws before crash laws. Volvo drivers buy cars to crash in, the safest crash is the one you avoid.
Robert
They meant kroner not euros.
Chris
Chinese car company are so impatient to get their hands on the leaders of safety, Volvo and Saab. That way they can finally prevent their carton box engines from landing on the lap of the back seat passengers in a frontal crash or down the road (or thru a house window if airborne) on a side impact. I can only see dilution of poor Volvo and Saab by Pang Da and Young Man Lotus. They are only interested in getting to the US Market by whatever way possible. Time to enact the "No Garbage Law". Basic fact, if a car can squash people inside of its cabin, then it is Garbage.
Chris
Dear Editor, while we all know that the Euro is coming to an end in the next 3 to 5 years, I don't think that 34.5million Euros equal $5 million Dollars yet. Try adding that zero that's so elusive on your keyboard. Hint: There are two "0" on the keyboard. If all else fails you can use the Letter "O". Good Luck.

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