Saab is being investigated by the Swedish Debt Enforcement Agency in an effort to recover around $US620,000 owed to suppliers Kongsberg Automotive and Infotiv consulting group.
These companies are just two of many to which Saab owes money. It’s a sad story but reports suggest that more than 100 companies could possibly file for similar sort of action to retrieve their money as well.
In the worse case scenario, and by the looks of things, a likely scenario, if Saab cannot come up with the funds to pay Kongsberg Automotive and Infotiv in time – up to three months – then the companies might have no choice but to force Saab into bankruptcy.
Inside Saab recently commented as the investigations began, saying,
“For various reasons – legality and confidentiality – we can’t comment in detail on proceedings that are taking place from today via the Kronofogden enforcement agency here in Sweden.”
Saab has said,
“The core focus for us, whilst we fully cooperate with this process, is to do the right deal to get our business back on track. That’s the one solution to address this issue, and other issues as well.”
The future of Saab has been rather turbulent in the past few months, with various large organisations promising to invest into the company and then pulling out at the last minute, this is the last thing Saab needs right now.
Earlier this week we reported that Saab decided not to take part in the upcoming 2011 Frankfurt Motor Show, but even if it was the company’s last few dollars, it could have been money well spent to get the brand name and its products back onto the world map for one last chance.
What do you think Saab should do now?