SAAB Declares Bankruptcy

Posted by Kris | Tuesday, December 20, 2011 | | 2 comments »



Saab Automobile filed for bankruptcy on Monday, giving up a desperate struggle to stay in business after previous owner General Motors Co. blocked takeover attempts by Chinese investors.

Saab CEO Victor Muller personally handed in the bankruptcy application to a court in southwestern Sweden, ending his two-year effort to revive the carmaker that over more than six decades has become known for its rounded sedans and quirky design features.

The Dutch entrepreneur told reporters he had to pull the plug after GM, which still owns some technology licenses for Saab, rejected a last-ditch financing plan involving a Chinese company.

But the deals fell through, blocked by regulators or by GM, which was concerned that its technology would end up in the hands of Chinese competitors. (seems that Western countries is very very afraid of the rising of China. I remember that US congress at one point block a China petroleum company from purchasing one of the US companies. The reason given: National security)

Damage: 3,000 of SAAB employees are not jobless.


2 comments

  1. LCF // 10:46 PM  

    I read that communication companies like Huawei too find it hard to penetrate US market.

  2. Kris // 11:02 PM  

    The American favored globalization and opening up the markets once upon a time. Now it looks like that they are seizing up when a China is starting to dominate the global economy.