Spyker says Saab’s future is uncertain without new investment

Saab
Saab

Spyker Cars, the owner of Saab, said today that the Swedish brand’s financial situation is getting worse and has warned that the company’s future is at risk without additional investment. In its annual report released today, Spyker said that Saab’s ‘continuity’ cold be come uncertain if it doesn’t secure extra investment to finance ongoing operations.

Saab said earlier this week that it was forced to shut down production after key suppliers put a hold on parts due to non-payment.

Spyker went onto say that it had negative cash flow in 2010, mainly due to operating losses at Saab and Spyker Cars.

“Although this was anticipated in the business plan the actual cash need was higher than planned,” Spyker said in the report.

Vladimir Antonov, a Russian banker, said that he is willing to invest in Saab and Sweden’s Debt Office. Antonov helped finance Spyker’s purchase of Saab and chairs Conversbank Ltd.

– By: Omar Rana

Source: Automotive News