Saab assets cover just a third of its debt

"The debts in the bankruptcy amount to a total of 13 billion kronor. The assets have been valued at a total of 3.6 billion," the two administrators Hans Bergqvist and Anne-Marie Pouteaux said in a report submitted to the Vaenersborg district court.

Tuesday's report came as the deadline to place bids for Saab, which filed for bankruptcy in December, expired.
Saab's bankruptcy estate concerns three Saab companies, Saab Automobile, Saab Tools and Saab Powertrain.

Most of the creditors in Saab Tools can expect to be paid, due to certain preferential regulations, while those in the two other companies will have a harder time getting their money, the administrators said.

Those who stand to lose the most include Saab's 3,600 employees, the Swedish tax authorities and various suppliers, who are among those due a total of seven billion kronor. Sweden's National Debt Office, which has a credit line of 2.2 billion kronor with Saab, will meanwhile get its money back, the report said.

The administrators have consistently refused to disclose any information about possible bids placed for Saab Automobile, although Chinese carmaker Youngman is known to be interested in buying the iconic Swedish brand.

Swedish media have reported that Youngman placed a preliminary bid in late January or early February of about two billion kronor (227 million euros, $298 million). Youngman has long been interested in Saab and tried to snap it up before it declared bankruptcy but those efforts were thwarted by the Saab's former owner, General Motors, which balked at transferring the necessary technology licences.

Reports have also surfaced that Indian commercial utility vehicles manufacturer Mahindra and Mahindra has placed a bid as well. Saab was already on the brink of bankruptcy when GM sold it in early 2010 to Dutch company Swedish Automobile (SWAN), at the time called Spyker, for $400 million (308 million euros).

Source: AFP