Saab fails to pay wages

* Funds fail to arrive in time to pay salaries * Production at factory stopped * UK buyers kept informed of increased waiting times...

Saab fails to pay wages

Saab has announced it will delay paying wages to what it calls its 'white-collar staff' after funds promised by investors failed to be paid in time.

The company said it was 'taking all necessary actions to collect these funds' and is continuing discussions with various parties to obtain short-term funding so the salaries can be paid.

It's estimated that 1600 of Saab's 3600 workers in Sweden are affected.

The news follows yet more delays in re-starting production at its Trollhattan factory.

Saab's future looked to be on the up just three weeks ago when it announced that, following a deal with Chinese car makers Pang Da and Zhejiang Youngman Lotus Automobile, it was going to build a Saab 9-1 a rival to the Mini and the 9-6X 4x4.

What about Saab buyers in the UK?
Before Saab ran into difficulties, customers could expect around a 12-week wait for a new car.

However, with the factory currently no longer building cars, Saab UK says it can't give a definite date for when customers' cars will be delivered.

'We hope the situation will be resolved,' said a spokesman. 'The main thing now is to make sure that customers are being kept up to date with the situation. We have cars in stock from which we are able to fulfill most orders. People are still ordering Saabs and not that many have cancelled [in the light of the delays].'