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POURING A 40 FOR SAAB PDF Print E-mail

Image In mid-December General Motors announced that it would wind down its Saab business, making a near-certain death of one of Sweden's most storied companies and a car brand with a loyal following.  GM had given itself until the end of 2009 to sell the quirky 62-year-old luxury auto maker.  According to GM, unsolvable issues arose in late stage negotiations to sell Saab to Spyker Cars NV, a Dutch maker of ultraluxury sports cars.  This failure of Saab comes amidst the wind down of Saturn by GM, in addition to other US brands.  However, the news of Saab's demise stirred passions amongst Saab enthusiasts around the world.  Twitter was abuzz with Saab owners worldwide, begging for another buyer to step up.  GM bought 50% of Saab 20 years ago and took full ownership in 2000.  For the full article from the Wall Street Journal go here:  http://bit.ly/7VKLIY .

 

Demise of Saab no Surprise 

A Saab owner myself, I first saw a Saab around the age of 10 in my hometown.  I noticed the egg-shaped car and walked over to take a look.  The owner had sort of a "professorial" look to him and I peppered him with questions about the name of the car and where it was made.  I have been intrigued by Saab ever since and swore I would own one someday.  The car's quirky design --- oversized rear hatches and the ignition between the two front seats attracted loyal followers.  Its practically, such as the front wheel drive which handled well in inclimate weather, extentive trunk space, and enviable safety record made it practical, only adding to its appeal.  Over the past decade, competitors have chipped away at Saab's competitive advantage.  Audi introduced an all-wheel drive vehicle at an affordable price, trumping Saab's front wheel drive advantage.  And everyone from Mercedes Benz to Lexus have imitated Saab's aerodymanic shape, making Saab look like an ordinary vehicle.  Couple that with the fact that Saab's flagship car, the 9-5, hasn't had a facelift in two decades and its operations haven't turned a profit since 2001, it was only a matter of time before Saab would either be sold or mothballed.  Pouring a 40 for Saab, one most original and imilated brands ever created.

 

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