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| Version 0 | Version 1 |
|---|---|
| GM to 'wind down' Saab business | GM to 'wind down' Saab business |
| (10 minutes later) | |
| GM says it has failed to sell its Swedish car brand Saab and will begin "an orderly wind-down of Saab operations". | GM says it has failed to sell its Swedish car brand Saab and will begin "an orderly wind-down of Saab operations". |
| GM had been in talks with the Dutch speciality car maker Spyker over a sale. Talks with Sweden's Koenigsegg also fell through earlier this year. | GM had been in talks with the Dutch speciality car maker Spyker over a sale. Talks with Sweden's Koenigsegg also fell through earlier this year. |
| "We regret that we are not able to complete this transaction with Spyker Cars," said GM Europe boss Nick Reilly. | "We regret that we are not able to complete this transaction with Spyker Cars," said GM Europe boss Nick Reilly. |
| GM has been trying to sell Saab as part of its turnaround plans since January. | GM has been trying to sell Saab as part of its turnaround plans since January. |
| It is very dismal. Very sad news for all of the employees and its comes at the worst possible time Maud Olofsson, Swedish Enterprise Minister | |
| Mr Reilly added that all debts would be paid and that the winding-down would be "an orderly process". | Mr Reilly added that all debts would be paid and that the winding-down would be "an orderly process". |
| A statement from the firm said that Saab would continue to honour all warranties, while providing service and spare parts to current Saab owners around the world. | A statement from the firm said that Saab would continue to honour all warranties, while providing service and spare parts to current Saab owners around the world. |
| Last week, Saab - which employs about 3,000 people - agreed a deal with Beijing Automotive to sell it some of Saab's technology. That deal will not be affected by the latest announcement. | Last week, Saab - which employs about 3,000 people - agreed a deal with Beijing Automotive to sell it some of Saab's technology. That deal will not be affected by the latest announcement. |
| 'Sad news' | 'Sad news' |
| Sweden's government said it was sad news but that it would not step in to save Saab. | Sweden's government said it was sad news but that it would not step in to save Saab. |
| THE HISTORY OF SAAB 1937: Saab founded as aircraft maker1946: Starts making cars1969: Merges with Scania-Vabis 1990: Car division splits from aircraft business. GM and Investor AB take 50% stake2000: GM takes 100% ownership Jan 2009: GM announces talks to sell Saab Aug 2009: Koenigsegg agrees terms to buy Saab. Nov 2009: Koenigsegg pulls out of talks. 1 Dec 2009: GM says will consider offers until end of December 18 Dec 2009: GM announces the winding down of Saab Source: Reuters | |
| "It is very dismal. Very sad news for all of the employees and its comes at the worst possible time", the Enterprise Minister Maud Olofsson told the Swedish news agency TT. | "It is very dismal. Very sad news for all of the employees and its comes at the worst possible time", the Enterprise Minister Maud Olofsson told the Swedish news agency TT. |
| She has called a meeting to discuss the situation with unions on Monday. | She has called a meeting to discuss the situation with unions on Monday. |
| "I don't think GM really knows how the wind-down is going to take place, but GM has to take its responsibility," she said. | "I don't think GM really knows how the wind-down is going to take place, but GM has to take its responsibility," she said. |
| "The most important thing right now is to take care of the employees and the future, how to make the most of their know-how" she added. | "The most important thing right now is to take care of the employees and the future, how to make the most of their know-how" she added. |
| Last year Saab lost 3bn kronor (£255m; $412m). It has not made a profit since 2001 and made up 1.1% of GM's global sales. | |
| New focus | New focus |
| GM said its focus would remain on its four core brands - Buick, Cadillac, Chevrolet and GMC - as well as its European business Opel. | GM said its focus would remain on its four core brands - Buick, Cadillac, Chevrolet and GMC - as well as its European business Opel. |
| GM pledged to become a leaner company when it emerged from bankruptcy protection in July this year. It had been hit by a sharp slump in sales - partly because of the financial crisis but also because of stiff competition from Japanese rivals. | GM pledged to become a leaner company when it emerged from bankruptcy protection in July this year. It had been hit by a sharp slump in sales - partly because of the financial crisis but also because of stiff competition from Japanese rivals. |
| The company is now 62%-owned by the US government. | The company is now 62%-owned by the US government. |