Saab made $300 Million loss in 2005.

Andaluz · 01-17-2006, 02:01 PM

GM's Saab brand made $300 mln loss in 2005
Source: - ONLY REGISTERED AND ACTIVATED USERS CAN SEE ALL LINKS - CLICK HERE TO REGISTER

FRANKFURT (Reuters) - General Motors Corp's premium brand Saab lost more than $300 million in 2005, a German newspaper reported on Tuesday, heaping pressure on GM given calls from investor Tracinda to sell Saab and other loss-making units.

The Handelsblatt daily cited company sources saying Saab's loss widened from nearly $200 million in 2004, but a GM (NYSE:GM - News) Europe spokesman said the company does not break out earnings for individual brands and would not comment further on earnings before its quarterly report on January 26.

The spokesman said Saab had its best ever fourth-quarter sales at the close of last year and its highest annual sales in Europe in 2005.

"Having its best year ever from a volume standpoint, having the 9.3 Sport Combi (estate car) for a full year, having the new 9.5 (sedan) and the 20th anniversary of convertibles for the 9.3 in 2006 should bode well for the Saab brand and we expect that we will continue to gain momentum," the spokesman said.

"There is no question that the company has got a commitment to Saab," he added, citing its progress in cutting costs and in launching a new model offensive at the brand.

GM Europe President Carl-Peter Forster said at the Detroit car show last week that if orders continued at the pace of late last year, Saab could boost volume by between 10,000 and 15,000 units. It sold 82,100 in Europe plus more than 38,000 in the United States in 2005.

"I think (for) Saab there is potential for a step up in the cycle of performance," Forster said.

GM Europe is in the process of cutting its workforce by around one fifth in a drive to restore profits. It last made an annual profit in Europe in 1999.

In a separate interview, Forster said he wants productivity at core brand Opel to rise by 3-5 percent a year.

"That means 3 to 5 percent more cars with the same number of workers or 3 to 5 percent fewer workers for the same car production," he told German magazine Auto Motor und Sport.

When its main Ruesselsheim plant in Germany is properly utilized, it will be able to turn out mid-sized cars in 19-20 hours versus 26 hours now for an Opel Vectra, he said.

The ultimate offense to the Saab name: "The Saab 9-7x. The state of mediocricy!"

Centurion · 01-17-2006, 02:18 PM

I guess it's just a matter of time before the Saab brand is gone..

R.I.P

MikeJ · 01-17-2006, 03:09 PM

The 9-5 is positively ancient now and no facelift is going to change that. Calling it "new" is just ridiculous.
GM never knew what to do with Saab in the first place. I think they should sell it, to the French preferably. They know a thing or two about what makes a brand distinctive.

siko · 01-17-2006, 03:50 PM

Quote:

Originally Posted by Luwalira

I guess it's just a matter of time before the Saab brand is gone..

R.I.P

Agree... I've given up on Saab many years ago.

The Artist · 01-17-2006, 04:38 PM

lol its about time i cant stand SAAB´s

Andaluz · 01-17-2006, 05:16 PM

I'm for the one who will deeply miss Saab.

God I hate General Motors!

GM should have left Saab well alone, like Ford did with Jaguar, until they came up with that Mondeo in a fancy drag, which they call it as the Jaguar X-Type and as far as I can tel: It have been a sales flop.

A Saab has to be something Prestigious, Unique and not an Opel/Vauxhall Vectra under a fancy drag, regardless if the new Vectra is a competent car.

I'd rather see BMW or even Renault to buy Saab, than watch the WORST car company in the whole world, to kill an once cool (GM Saabs are not cool) Swedish (European) brand, that was starved by a malefic American corporation.

Even Toyota would be a good buyer for Saab. Specially, when they do realize that Lexus isn't exactly the sales hit as they were expecting, in the European market.

Now wonder, they are now introducing Turbo-Diesel engines in the new Lexus IS and soon the Lexus GS.

Being a global brand established in 60 countries, and with a respectable heritage, Saab would help Toyota to expand its Upscale share in Europe and around the world.

Hopefully GM will be out of business really soon.

Yannis · 01-18-2006, 01:33 AM

I used to like SAAB in the past but right now only the 9-3 is worth something. The other models are either rebadged GM models (9-2x,9-7x) or very old and dated (9-5).
I also heard that next 9-3 will be build in an Opel factory in Germany so under GM management , SAAB is dying slowly.

Giannis · 01-18-2006, 06:35 AM

Even though i feel sorry for Saab, right now (the 9-3 looks really good), i can say that these results make me happy. I hope that GM officers will sit down in their offices and make up a plan on how to save Saab, or at least, sell some more cars...

BTW, what does exactly RIP mean?

The Emperor · 01-18-2006, 06:59 AM

Quote:

Originally Posted by Giannis

BTW, what does exactly RIP mean?

Rest In Peace...

Audi4Life · 01-18-2006, 03:00 PM

Quote:

Originally Posted by TycoonGTR

Rest In Peace...

Rest in PAIN

01-17-2006, 02:01 PM	#1 (permalink)
Andaluz Banned Join Date: Dec 2005 Posts: 335 Thanks: 0 Thanked 1 Time in 1 Post	Saab made $300 Million loss in 2005. GM's Saab brand made $300 mln loss in 2005 Source: - ONLY REGISTERED AND ACTIVATED USERS CAN SEE ALL LINKS - CLICK HERE TO REGISTER FRANKFURT (Reuters) - General Motors Corp's premium brand Saab lost more than $300 million in 2005, a German newspaper reported on Tuesday, heaping pressure on GM given calls from investor Tracinda to sell Saab and other loss-making units. The Handelsblatt daily cited company sources saying Saab's loss widened from nearly $200 million in 2004, but a GM (NYSE:GM - News) Europe spokesman said the company does not break out earnings for individual brands and would not comment further on earnings before its quarterly report on January 26. The spokesman said Saab had its best ever fourth-quarter sales at the close of last year and its highest annual sales in Europe in 2005. "Having its best year ever from a volume standpoint, having the 9.3 Sport Combi (estate car) for a full year, having the new 9.5 (sedan) and the 20th anniversary of convertibles for the 9.3 in 2006 should bode well for the Saab brand and we expect that we will continue to gain momentum," the spokesman said. "There is no question that the company has got a commitment to Saab," he added, citing its progress in cutting costs and in launching a new model offensive at the brand. GM Europe President Carl-Peter Forster said at the Detroit car show last week that if orders continued at the pace of late last year, Saab could boost volume by between 10,000 and 15,000 units. It sold 82,100 in Europe plus more than 38,000 in the United States in 2005. "I think (for) Saab there is potential for a step up in the cycle of performance," Forster said. GM Europe is in the process of cutting its workforce by around one fifth in a drive to restore profits. It last made an annual profit in Europe in 1999. In a separate interview, Forster said he wants productivity at core brand Opel to rise by 3-5 percent a year. "That means 3 to 5 percent more cars with the same number of workers or 3 to 5 percent fewer workers for the same car production," he told German magazine Auto Motor und Sport. When its main Ruesselsheim plant in Germany is properly utilized, it will be able to turn out mid-sized cars in 19-20 hours versus 26 hours now for an Opel Vectra, he said. The ultimate offense to the Saab name: "The Saab 9-7x. The state of mediocricy!"

01-17-2006, 02:18 PM	#2 (permalink)
Centurion Trendsetter Join Date: Sep 2005 Location: Sweden Posts: 7,069 Thanks: 587 Thanked 717 Times in 416 Posts	Re: Saab made $300 Million loss in 2005. I guess it's just a matter of time before the Saab brand is gone.. R.I.P

01-17-2006, 03:09 PM	#3 (permalink)
MikeJ Fanatic Join Date: Sep 2005 Location: Oulu Posts: 2,026 My Mood: Thanks: 154 Thanked 501 Times in 291 Posts	Re: Saab made $300 Million loss in 2005. The 9-5 is positively ancient now and no facelift is going to change that. Calling it "new" is just ridiculous. GM never knew what to do with Saab in the first place. I think they should sell it, to the French preferably. They know a thing or two about what makes a brand distinctive.

01-17-2006, 04:38 PM	#5 (permalink)
The Artist Shaolin Shadow Boxer Join Date: Sep 2005 Location: Sweden Gothenburg Posts: 11,414 My Mood: Thanks: 122 Thanked 712 Times in 444 Posts	Re: Saab made $300 Million loss in 2005. lol its about time i cant stand SAAB´s

01-17-2006, 05:16 PM	#6 (permalink)
Andaluz Banned Join Date: Dec 2005 Posts: 335 Thanks: 0 Thanked 1 Time in 1 Post	Re: Saab made $300 Million loss in 2005. I'm for the one who will deeply miss Saab. God I hate General Motors! GM should have left Saab well alone, like Ford did with Jaguar, until they came up with that Mondeo in a fancy drag, which they call it as the Jaguar X-Type and as far as I can tel: It have been a sales flop. A Saab has to be something Prestigious, Unique and not an Opel/Vauxhall Vectra under a fancy drag, regardless if the new Vectra is a competent car. I'd rather see BMW or even Renault to buy Saab, than watch the WORST car company in the whole world, to kill an once cool (GM Saabs are not cool) Swedish (European) brand, that was starved by a malefic American corporation. Even Toyota would be a good buyer for Saab. Specially, when they do realize that Lexus isn't exactly the sales hit as they were expecting, in the European market. Now wonder, they are now introducing Turbo-Diesel engines in the new Lexus IS and soon the Lexus GS. Being a global brand established in 60 countries, and with a respectable heritage, Saab would help Toyota to expand its Upscale share in Europe and around the world. Hopefully GM will be out of business really soon.

01-18-2006, 01:33 AM	#7 (permalink)
Yannis Philosopher Join Date: Sep 2005 Posts: 7,198 My Mood: Thanks: 1,243 Thanked 1,229 Times in 701 Posts	Re: Saab made $300 Million loss in 2005. I used to like SAAB in the past but right now only the 9-3 is worth something. The other models are either rebadged GM models (9-2x,9-7x) or very old and dated (9-5). I also heard that next 9-3 will be build in an Opel factory in Germany so under GM management , SAAB is dying slowly.

01-18-2006, 06:35 AM	#8 (permalink)
Giannis Devotee Join Date: Oct 2005 Location: Patra, Greece Posts: 3,487 Thanks: 139 Thanked 212 Times in 163 Posts	Re: Saab made $300 Million loss in 2005. Even though i feel sorry for Saab, right now (the 9-3 looks really good), i can say that these results make me happy. I hope that GM officers will sit down in their offices and make up a plan on how to save Saab, or at least, sell some more cars... BTW, what does exactly RIP mean?

Thread Tools
Show Printable Version Email this Page
Display Modes
Linear Mode Switch to Hybrid Mode Switch to Threaded Mode