Saab Officials Confident that 2011 will be a Turning Point in the Company’s History

Saab sold just 31,696 cars globally in 2010, after having cut its sales target from 45,000 to 30,000-35,000 vehicles, due to the restructuring of the brand’s supplier base. However, with fourth quarter (2010) sales up 129% compared to 2009, Chairman Victor Mullen believes that Saab “is firmly establishing itself as an independent car manufacturer”.

Last year was especially difficult for the Swedish automaker, as the low inventory decimated sales figures.

“One of the largest challenges in 2010 was to restock our dealers around the world to normal levels again, especially in a market like the United States, where you need dealer stock in order to be able to sell cars”, Muller said in a statement on Wednesday. “For instance, when we acquired the company, there were a mere 500 cars left on the ground in the United States. Normal inventory levels in this market should be at 6,000-7,000 units”.

Optimum inventory levels are still a long way from reality, but, during the past 12 months, Saab did pick up some momentum, which, coupled with the launch of new models, should help the maker achieve the projected sales volume of 80,000 units for 2011.

Saab will invest US $1 billion into its recovery plan, with the focus being on new models. The 9-4X crossover, set to debut in May, is of them. Next up is the ageing 9-3 due for replacement in 2012. Furthermore, Saab wants to revive the 92 model of the ‘50s, in the form of a modern compact car, which, if priced correctly, should add much needed volume to sales.

The Trollhättan-based manufacturer will continue to expand its dealer network as well, targeting markets like China and Russia and it expects to be profitable in 2012, with sales projected to reach 120,000 units.

By Csaba Daradics

Source: Autonews [sub. req]

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China's BAIC Working with Pininfarina on Saab-based Model, Confirms Interest in the Italian Design House

Photo: BAW C71 from 2010 Beijing Show

Yesterday, we brought you photos and details about a new and very Mercedes-Benz B-Class-like model from BAIC or Beijing Automotive Industry Holding Corp. Today, we have more news on the Chinese automaker as a media report citing an unnamed executive from the company claims that BAIC is working with Italian engineering and design specialist Pininfarina on a new vehicle based on the underpinning of a previous generation Saab model.

Last year, BAIC purchased the intellectual rights for Saab's older 9-5 and certain 9-3 models from General Motors, which then still owned the Swedish firm.

"I just came back from Italy last week and have communicated with the technical staff at Pininfarina about the design proposal of the Saab models," the BAIC executive said. "Pininfarina is the most successful overseas car design company in China. BAIC has been collaborating with it on development of models based on the Saab technology and will display an all-new concept car with the Saab genes at next year's Shanghai auto show, while Pininfarina will be responsible for the contour design of the car."

We'll remind you that BAIC's subsidiary BAW (Beijing Auto Work), showed a Saab 9-3-based model called the C60 along with a larger sedan based on the 9-5 named C71 (pictured here), at the Beijing Auto Show this past April.

The unnamed BAIC exec also confirmed reports from Italian media about the company's interest in taking over Pininfarina S.p.A.

"BAIC has submitted the bid for the Italian firm for several months," he said. "The successful acquisition of Pininfarina will be very favorable for BAIC’s development of future models. But BAIC does not have to win the bid, after all, the two sides are still under the cooperation."

Other companies said to be interested in the money-losing Italian design house include Canadian-Austrian parts supplier Magna International and India's Mahindra & Mahindra Ltd.

Source: Eeo via: Gasgoo , Photos: Che168

Saab Signs Deal to Return to China Market in 2011

Maintaining a presence in China is vital for any automaker these days, even more so for a company like Saab that is struggling to make a comeback after almost going down this year. The Swedish automaker signed a memorandum of understanding (MOU) with China Automobile Trading Co. LTD (CATC), which will allow the firm to re-enter the Chinese market after a three-year hiatus, as Saab's previous owner, General Motors, had pulled the brand out of China in 2008.

Under the agreement, the Beijing-based and government-owned CATC will assume responsibility for the import of Saab vehicles and spare parts for the Chinese market. Saab said that a contract sealing the deal is expected to be signed in the first quarter of 2011, with official sales starting in July 2011. The Swedish firm plans to start with a small network initially

Announcing the agreement, Saab Automobile CEO Jan Åke Jonsson said: “This agreement is vital for Saab, as it will be the foundation to develop a stronger presence in what is now the largest car market in the world. I am confident that CATC will prove to be the perfect partner for us as we revamp our sales activities in the Chinese market."

“Saab sees strong sales potential in China and we are confident that our product offering will be attractive to both existing and new customers in the market. We look forward to re-establishing the Saab brand in China next year with exciting new products like the new 9-5 Sedan and the 9-4X crossover vehicle.”

Two 2011 Saab 9-5 Sedans Reportedly Burst in Flames in Sweden

Östgöta Corren, a Swedish daily newspaper, is reporting that two new 2011MY Saab 9-5 Saloons recently caught on fire in similar circumstances, in the same area and within a short time frame. The incident with the 9-5 pictured here with the burnt engine compartment and the large hole in the hood took place in Sweden last Friday.

According to the posters over at the SaabsUnited fan site, there has been some talk on forums about an aftermarket engine heater that may have been wrongly installed by the same dealer on both cars, but this has not been confirmed. If indeed there is a problem -and we're not saying there is - Saab should definitely send some people to look into the matter and sort things out because you know what they say about rumors spreading like wildfires...

Source: Corren , Via: SaabsUnited

Saab Announces 9-5 Specification Upgrades for the UK Market

Saab UK has announced some specification upgrades for its new 9-5 saloon series and more specifically, the Vector SE models. To sweeten the deal for buyers, the Swedish automaker has equipped the Vector SE with full leather upholstery, instead of a leather and textile mix, and larger 18-inch Carve wheels, which replace the 17-inch Blade alloys, without increasing the price.

The Swedish maker also offers a revised chassis for the 160 hp 2.0-liter diesel variant equipped with a manual transmission. According to Saab, the new setup, combined with the bigger wheels, improves handling compared to the previous sport chassis.

Jonathan Nash, Saab GB Managing Director, commented: “These improvements are the result of feedback from the UK automotive media. The improved driving characteristics address issues related to ride comfort on UK roads. The fact that the engineering team have managed to make the changes without affecting the impressive CO₂ emissions of just 139g/km for the manual 2.0-litre TiD 160PS car show that the small independent Saab engineering team can respond very quickly to market requirements”.

By Csaba Daradics

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Saab Targets Chinese and Russian Markets, Unlikely to Develop a Diesel 9-4X

Saab has revealed plans to begin distribution to China and Russia. Deals for both countries will be signed before the end of the year, while Saab is also pondering the assembly of cars in the Far East. In other news, the Swedish maker also said that it's unlikely that we'll see a diesel-powered 9-4X any time soon.

In regards to China, Saab CEO Jan Ake Jonsson, told reporters on the sidelines of the Los Angeles Auto Show: "Until we launch the new 9-3 at the end of 2012, it will be just a couple of thousand units (annually), all based on imports. As we lead up to this, we have to make a decision if and when we are going to introduce local manufacturing in China."

If Saab decides to assemble cars in China, production would concern the next generation 9-3, as the 9-5 sedan and 9-4X would be imported to the country.

Until then, Saab wants to define the dealer network first, which will have 10 to 15 showrooms, spread out in five or six cities. Mr. Jonsson didn't reveal any further information about the company's plans in Russia.

Speaking about the 9-4X, the Saab CEO said that there are no current plans for the introduction of a diesel engine to the range, due to the short payoff period it would have.

"If you then look at the life cycle of the vehicle, typically five or six years, before we actually have a diesel engine, we have to find one, we have to test it, we have to install it, validate it, and you are two years into the life cycle. And then you have a very short payoff period. So I think it is unlikely" Jonsson said.

By Csaba Daradics

Source: Autonews

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Saab to Cut Workforce after Poor Sales Forecast

Sweden-based Saab Automobile plans to reduce its workforce by 200 employees or about one-eighth of its current staff, according to report from Reuters citing a union official. Hakan Skott, a union representative at Saab, told the news site that the move was expected after the company's new owner, Dutch supercar maker Spyker, cut the firm's sales target from 60,000 units in February, to 45,000 a few months later and finally to just 30,000 cars at end of October.

"I'm not exactly surprised [about the layoffs]. We reduced our sales forecast just a couple of weeks ago and there is a decline in sales every year around Christmas and at the end of the year," Skott said. "I'm sure that by February-March we will see an upward trend and people will buy cars again," he added.

Saab has said in the past that it needs to sell around 80,000 cars per year to break even.

On Friday, Swedish business daily Dagens Industri quoted Spyker's CEO Victor Muller as saying, "There is absolutely no reason to worry. Our plans for the future still stand. Next year, we will build 80,000 cars".

As for the staff being laid, Muller told the newspaper that they were temporary employees. "You take them aboard when you need them and when they are not needed, they are not on board."

Source: Reuters & Dagens Industri

LA Show 2010: All-New Saab 9-4X receives its World Premiere [with Videos]

Saab chose the city of Angeles to hold the world premiere of its second all-new model after the recent 9-5 sedan and the company's first compact crossover vehicle, the 9-4X. The Swedish automaker says the new 9-4X is aligned in looks and size between the 9-3X crossover and new 9-5 sedan.

A crucial model to Saab's recovery after the Swedish brand changed hands, the 9-4X is one of the last vehicles to be co-developed with its former owner, General Motors. It is based on the Cadillac SRX and will be built alongside its American counterpart at GM's Ramos Arizpe plant in Mexico.

Under the hood, North American buyers will have a choice of naturally-aspirated or turbocharged V6 engines. The entry-level powerplant is a 265HP 3.0-liter V6 with direct-injection that can be ordered with FWD or AWD, while at the top of the range sits a 300HP 2.8-liter V6 with twin-scroll turbocharging and standard AWD. Both engines are mated to six-speed automatic transmissions under adaptive, electronic control.

"We are now embarking on the biggest new product offensive in Saab's history," says Saab Automobile CEO Jan Åke Jonsson. "The 9-4X is the second new car we have introduced this year and it will significantly broaden the appeal of the Saab brand by giving us entry to the fast-growing crossover segment with a vehicle that is sporty and unmistakably a Saab."

The Saab 9-4X will hit U.S. dealerships in May 2011, with sales in Europe and other global markets due to begin from August of the same year.

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