GM Shutters Saab
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General Motors Co. announced Friday that it will phase out its Saab division after talks to sell the brand to Dutch automaker Spyker Cars fall apart.
GM was not able to work around issues that rose up during sales talks for Saab as the company tries to trim its lineup.
"Despite the best efforts of all involved, it has become very clear that the due diligence required to complete this complex transaction could not be executed in a reasonable time," GM Europe President Nick Reilly said in a statement. "We regret that we were not able to complete this transaction with Spyker Cars."
The company said that it will wind down the production of its Saab unit in a responsible and orderly manner, and iterated that this move is not related to bankruptcy or force liquidation processes.
GM and Saab will continue to honor its warranties, providing service and repair to current owners of the soon to be contracted automobiles.
The company said that as it reinvents itself it will continue to focus on its four core brands – Buick, Cadillac, Chevrolet and GMC – in an effort to devote more to engineering and marketing for each brand and model.
China's Beijing Automotive Industry Holdings agreed to purchase some of Saab's powertrain technology. No details of the purchase have been released.
GM was not able to work around issues that rose up during sales talks for Saab as the company tries to trim its lineup.
"Despite the best efforts of all involved, it has become very clear that the due diligence required to complete this complex transaction could not be executed in a reasonable time," GM Europe President Nick Reilly said in a statement. "We regret that we were not able to complete this transaction with Spyker Cars."
The company said that it will wind down the production of its Saab unit in a responsible and orderly manner, and iterated that this move is not related to bankruptcy or force liquidation processes.
GM and Saab will continue to honor its warranties, providing service and repair to current owners of the soon to be contracted automobiles.
The company said that as it reinvents itself it will continue to focus on its four core brands – Buick, Cadillac, Chevrolet and GMC – in an effort to devote more to engineering and marketing for each brand and model.
China's Beijing Automotive Industry Holdings agreed to purchase some of Saab's powertrain technology. No details of the purchase have been released.
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