Statement regarding Saab
- May 5, 2011
Saab Automobile AB contacted the European Investment Bank in early 2009 regarding the possible financing of Saab’s research and development programme for greener and safer cars. Since early 2010, when the sale of Saab was finalised, the EIB has part-financed the research and development (R&D) programme at Saab. We are not a liquidity provider. Liquidity financing must come from the company’s cash flow, commercial banks or other sources. The reason for the EIB’s financing of the R&D programme is our concern for the thousands of jobs that Saab provides in Sweden. Indeed, Saab’s R&D programme also contributes to the future competitiveness of the company.
This is why, when Saab presented its package of liquidity measures, in order to solve the liquidity squeeze due to low sales of cars, the EIB actively engaged with the other three parties involved (Saab, the Swedish National Debt Office (NDO) and General Motors) to try to resolve the situation.The EIB is ready to do its part to facilitate a solution regarding the financing of Saab in line with its role as provider of financing of the R&D programme, while adhering to its established banking principles. In the medium term, Saab may need a more flexible credit structure overall, as the company is undergoing major changes.