I am pleased to report that today sees another significant step in the reinvention of GM and its European operations, with General Motors Corp. and Koenigsegg Group AB, a consortium led by Koenigsegg Automotive AB, confirming details of a memorandum of understanding for the purchase of Saab Automobile AB that secures Saabs future.
Closing this deal represents the best chance for Saab to emerge as a stronger company and Koenigseggs proven ability to create world-class performance cars in a highly efficient manner makes it the perfect choice for Saab with both companies epitomizing style, innovation and entrepreneurial spirit.
We expect to conclude the deal by the end of the third quarter and are grateful for the expected $600 million funding commitment from the European Investment Bank, guaranteed by the Swedish government. GM and Koenigsegg will also provide support for Saabs operations and product programs, including the launch plans for several of the new products nearing their final development stages.
As part of the proposed deal, Saab will continue to receive support from GM for a certain period of time, in terms of architecture and powertrain technology. Most pleasingly for Saab employees in Sweden, production of the next-generation 9-5 is planned in Trollhättan.
Carl-Peter Forster (GM Group Vice President & President GME)