Saab Still Awaiting Funds from Chinese Savior

Swedish carmaker Saab is struggling to stay afloat under bankruptcy protection while awaiting $93 million due from a Chinese firm under a licensing agreement negotiated earlier this year, said a spokesman Wednesday.

“The money has not come in yet,” said Saab spokesman Eric Geers. ”We originally thought it would take about two weeks. The process is ongoing, and we will give information as soon as we have the money.”

He did not reveal how long Saab can survive without the funds. It has been about six months since the company stopped making cars after it was cut off by suppliers who are now owed over $230 million. In mid-September it had announced the licensing agreement with Zhejiang Youngman Lotus Automobile which would entail $93 million in bridge financing to enable Saab to resume production.

Saab received protection from bankruptcy court in September after it ran out of money to pay worker salaries in August. It is awaiting money under a long-term investment agreement with Pangda, another Chinese auto firm, as well as the funds from Zhejiang Youngman.