Saab filed for bankruptcy in Sweden yesterday after the Swedish government refused to bail it out. The company has also appled to be spun off from GM.
So that’s one part of General Motors (GM) operating under bankruptcy protection. The rest may follow next month.
AP: The move comes after the Swedish government rejected a request from unprofitable GM to inject money into the car maker. GM has been looking for buyers for Saab but said it needs more funding to put the brand up for sale.
“We explored and will continue to explore all available options for funding and/or selling Saab and it was determined a formal restructuring would be the best way to create a truly independent entity that is ready for investment,” Saab’s managing director, Jan Ake Jonsson, said in a statement.
GM wants $6 billion from foreign governments, in addition to the tens of billions it has asked for here. (By the way, anyone really think people will now stop buying Saabs because of the bankruptcy filing?)
More on the Swedish government’s decision and Saab here >