Saab increasing production if the bridge loans are granted

Posted on Wednesday, 1 July 2009 , 17:07:40 byEmil

Filed under saabproductionbankbridgeloangrantedswedenSaabKoenigseggGM

Saab increasing production if the bridge loans are granted

Saab - Small Swedish carmaker, which at the moment is being courted intensely by Koenigsegg, affirms that if it gets bridge bank loans from European Investment, it would raise production of the 9-5 and 9-3 units in response to all the demand around. Saab dramatically has cut back its production in order conserve money.

'We are discussing bridge loans' Jan-Ake Jonsson - Saab CEO affirmed. 'If we were to get that kind of financing that would mean we could increase production. We have the demand and we would of course have to rehire a number of individuals'.

Should Koenigsegg buy Saab from General Motors, as we all expect, the agreement would be depending on a 600 million Dollars loan from the bank European Investment. The manufacturer has affirmed that it needs around 1 billion Dollars to restructure. 'We are in intensive discussions with the EIB about financing. Depending on the time horizon, we will take initiatives to hold on to our money so that we manage until the financing becomes clear, so I feel pretty calm on this issue' said Jonsson.