Sweden Disappointed with GM's Saab Plans

Following General Motors' statement that Saab may file for bankruptcy by the end of the month, Swedish officials expressed their disappointment regarding the parent company’s plans, pointing that General Motors would better concentrate on developing the good parts of Saab. GM recently said the Saab brand may be forced to file for bankruptcy in case the Swedish government does not approve state funding for the company.

Sweden announced last December that it is willing to help both Saab and Volvo but insisted the country has no plans to buy a stake into the automakers.

Sweden's Industry Minister Maud Olofsson said she was “deeply disappointed” when GM CEO Rick Wagoner stated that Saab may file for bankruptcy by the end of February, Autonews wrote today.

"What GM says is that they wash their hands of Saab and drop it into the laps of Swedish taxpayers. This could offer possibilities to develop the parts of Saab that are very good,” Olofsson said. “The Swedish state and taxpayers will not own car plants,” she added underlining that the government does not plan to buy stakes in Saab.

General Motors CEO Rick Wagoner emphasized that Saab may become an independent company by January 1 2010 as the American parent automaker is not willing to retain ownership over the Swedish brand. "Somebody needs to come in and take over the business in the near term,” he was quoted as saying by Autonews.

On the other hand, GM Chief Operating Officer Fritz Henderson admitted the US-based company closely collaborated with the Swedish government to reach an agreement. "They've been very open and the dialogue has been positive, but we haven't found the solution yet," he said.