Restructuring events
European Restructuring Monitor (ERM)
The restructuring events database contains factsheets with data on large-scale restructuring events reported in the principal national media and company websites in each EU Member State. This database was created in 2002.
On 19 December 2011, SAAB Automobile, SAAB Automobile Tools and SAAB Powertrain submitted petitions requesting bankruptcy to the District Court of Vänersborg. SAAB has informed all 3600 employees about the bankruptcy. The company has suffered a major liquidity crisis in recent years due to its low sales numbers and long-term decline in demand for cars, all of which led to the announced bankruptcy.
The CEO of Saab Automobile, Viktor Muller, has been struggling to put together a deal to save Saab from bankruptcy, primarily negotiating with the two Chinese companies, Youngman and Pang Da. The proposals were turned down by GM. Subsequently, the board of Saab Automobile decided that since further funding is not assured, the company would be insolvent. It therefore requested the bankruptcy procedure, which they thought to be in the best interest for the company creditors. The District Court is expected to approve the petition and appoint receivers for Saab Automobile rapidly.
Saab Automobile is a subsidiary of the larger group General Motors and has roughly 3600 employees in Sweden.
The Swedish authorities have applied for aid from the European Globalisation Adjustment Fund (EGF).
Eurofound (2011), SAAB Automobile, SAAB Automobile Tools and SAAB Powertrain, Bankruptcy in Sweden, factsheet number 72887, European Restructuring Monitor. Dublin, https://apps.eurofound.europa.eu/restructuring-events/detail/72887.