Saab Runs Out of Cash to Pay Wages

Saab
Saab

By LOUISE NORDSTROM

STOCKHOLM (AP) -- Saab's owner said Thursday it doesn't have the money to pay employees' wages, deepening the financial crisis that is pushing the struggling Swedish brand ever closer to ruin.

Dutch owner Swedish Automobile, previously known as Spyker Cars, has courted Chinese and Russian investors and put the Saab factory up for sale in its attempts to revive the brand it took over from General Motors Co. last year. But after months of production stoppages and problems with paying suppliers, Saab said the situation is so dire that it won't be able to pay its 3,700 employees, adding to doubts over how long the brand can survive.