Iconic but struggling Swedish automaker Saab and its appointed administrator, Guy Lofalk want him replaced amid reports of disagreement as the automaker struggles to stay in business, a court said on Wednesday.
The company proposed lawyer Lars-Henrik Andersson to be appointed as the new administrator. The court said the application will be handled at a meeting on Dec. 19.
Last week Guy Lofalk said that Saab’s owner, Swedish Automobile, has failed to deliver sufficient bridge financing to cover costs during the reorganization.
Lofalk said this is partly because of “General Motors’ categorical no to contributing to any proposal that has been presented to them so far, despite the fact the parties have stayed within the framework of demands in existing contracts.”
The good news however is that on Tuesday the Swedish automaker has received a payment from Zhejiang Youngman Lotus Automobile. The payment, which is some $5 million will be reportedly be used to cover outstanding tax expenses.
The Swedish Court, on Wednesday has postponed until next week the decision whether Saab Automobile AB will retain its creditor protection, giving the troubled Swedish carmaker more time to finalize a funding deal with its Chinese partner.
The Saab factory in Trollhattan, southwestern Sweden, has been at a standstill for most of the year as the company struggles to pay suppliers. Since June it hasn’t been able to pay many of its 3,700 workers on time.