Saab has announced its withdrawal from the 2011 Frankfurt Motor Show in September, due to a lack of resources.
The Swedish firm will skip the motor show, one of the largest and most important in the world, in order to focus resources (namely, cash) on restarting car production at its Trollhattan plant.
“Whilst it would be desirable to be at the show to help further Saab’s global presence,” said a Saab statement, “it is not considered an appropriate use of resources at this time.”
Ironically, Saab did have new cars ready to show at Frankfurt. The Saab 9-5 estate was to be shown in production form as the first cars hit the market, while the firm also hoped to gain attention for the new Saab 9-3 Sportwagon diesel – the only junior executive estate to break the 120g/km CO2 barrier.
Another showing of the Saab PhoeniX concept was expected too.
Saab’s current troubles show little signs of concluding. The deal with Chinese brands Youngman and Pang Da is dragging on, while car production remains halted which means no cash is being generated to run the business.
Last month, it issued shares to raise short-term cash in order to pay employees. As wages are due soon for August, it appears to be doing the same this month, as it waits for further news on the Chinese joint venture deal.
Car production was meant to restart in early August: the latest date for recommencing manufacture of Saabs is now 29 August.
