Wednesday

Saab Files for Court Protection - is that water going down the drain I hear?

Saab finally got to the point where the roof was going to cave in (economically) so they filed for court protection from creditors in Sweden - something akin to a bankruptcy reorganization filing sort of. It protects them from creditor collection efforts while they continue the effort to get their finances in order with more loan money from one source or another. Meanwhile, the Saab North America chief is publicly saying that is is optimistic about the company's survival.

With the filing, Saab corporate said that it "is seeking court approval for a voluntary reorganization to secure short-term stability while it waits for funding from Chinese investors Pang Da Automobile Trade Co. and Zhejiang Youngman Lotus Automobile Co." Read more: http://www.autonews.com/apps/pbcs.dll/article?AID=/20110907/COPY01/309079907/1491#ixzz1XIpLZKav

Will Saab survive? Only time will tell. Saab quality is pretty good and their latest entry into the "cross-over" vehicle market got some good reviews in spite of availability difficulties.

But for now, buying a Saab (new or used) may not be smart.

Burdge Law Office
Because life's too short to drive a lemon.