Alert: Saab production again down; Restart Wednesday image

Swedish automaker SAAB which was shut for most of April and May after it ran out of cash, had to halt production again on Tuesday, though the company said it would be up and running the following day.

“We will start tomorrow again,” said company spokesman Eric Geers.

His colleague, Gunilla Gustavs, added that a disruption in the flow of components had affected its just-in-time production system on Tuesday.

Pang Da, a chain of Chinese dealerships, agreed to fund Saab, and that was enough for the automaker’s suppliers.

“Based on our discussions with Pang Da, we are confident that Pang Da will get the regulatory approvals needed to formalize the deal,” said Victor Muller, CEO of Spyker and Saab Automobile, earlier this month. “I am very much looking forward to creating a strong business with Pang Da, initially in the distribution, and subsequently in the manufacturing of Saab vehicles in China.”

According to an initial framework agreement, Pang Da will take an equity stake in Spyker of €65 million at €4.19 per share, representing up to 24 percent of Spyker’s outstanding shares.

While the first €30 million is enough to get production moving, the final details of the agreement still need to be ironed out.