Resuscitated Saab Makes Cars Again

Bertel Schmitt
by Bertel Schmitt

Saab is in full re-start mode. A few days ago, we reported that Saab is re-starting incentives. Now, they are re-starting production. Germany’s Automobilwoche [sub] reports that “after a one and a half month pause, Saab is building cars again.” Now under the ownership of the Dutch boutique maker Spyker. They even hired a new sales chief, Adrian Hallmark, formerly Executive Director Asia at Volkswagen AG and Executive Vice President at Volkswagen of America. According to Automobilwoche, Hallmark faces “a formidable task.”

Last year, while Saab was still under GM’s wings, worldwide sales had dropped to 40,000 cars. Even the Swedish government has removed Saab from its list of cars approved for government us. Reason: “Dubious resale value.” This year, Saab wants to build and sell 50,000 to 60,000 cars. Next year, twice as many.

Lycka till!

Bertel Schmitt
Bertel Schmitt

Bertel Schmitt comes back to journalism after taking a 35 year break in advertising and marketing. He ran and owned advertising agencies in Duesseldorf, Germany, and New York City. Volkswagen A.G. was Bertel's most important corporate account. Schmitt's advertising and marketing career touched many corners of the industry with a special focus on automotive products and services. Since 2004, he lives in Japan and China with his wife <a href="http://www.tomokoandbertel.com"> Tomoko </a>. Bertel Schmitt is a founding board member of the <a href="http://www.offshoresuperseries.com"> Offshore Super Series </a>, an American offshore powerboat racing organization. He is co-owner of the racing team Typhoon.

More by Bertel Schmitt

Comments
Join the conversation
7 of 15 comments
  • Mr Carpenter Mr Carpenter on Mar 22, 2010

    Josh, go look at the new 2010 Outback if you like station wagons, or Legacy if you like sedans. If you want POWER (GOTTA HAVE A LOTTA POWER!) then you won't want the 2.5 with CVT automatic - it's 170hp as I purchased, but go with either the turbo boxer four (manual shift) or boxer six (automatic, non-CVT). The styling is far nicer than previously. In fact, I'm getting complements from absolute strangers on the looks of my car, and also complements from friends who've never noticed anything I've driven before, with mine. Check it out.

    • See 1 previous
    • JeremyR JeremyR on Mar 22, 2010

      I'm afraid I don't share your enthusiasm about the 2010 Outback. It's grown to the point of resembling a lowered Tribeca. I'm happy with our 2005 Outback 2.5XT (actually I would have preferred the Legacy wagon, but my wife wanted the additional ground clearance). While we're not planning to replace it anytime soon, when that time comes, it won't be followed by a larger Outback. But maybe the Impreza will have grown to previous-generation-Outback size by then...

  • C1josh C1josh on Mar 22, 2010

    Robert S. “Are they able to use the GM IP?” What GM IP? Pushrod engines? Drum brakes? 4 speed automatics? …" While that's kind of amusing, it does ignore quite a bit of fact. First on the list would be, well... How about the GM Ecotec (second gen.) line of engines? Designed by Lotus.

    • Krhodes1 Krhodes1 on Mar 22, 2010

      Ecotec designed by Lotus?? I think not. Try designed mostly by Saab (or at least ex-Saab guys at Opel)... But to answer the question, yes, Saab-Spyker gets all the IP that they are currently using. The new 9-5 goes forward, as does the 9-4x, and the 9-3 stays in production. Frankly, given the fact that they A. all but stopped building cars midway through '09, and B. GM was crowing to the rafters that Saab was being shut, it is amazing that they sold 40K cars. They certainly had no trouble selling 120K cars a year a few years back, and that was with the moldy old 9-5! And I know this is heretical, but how important is a "nationwide" dealer network anyway? The overwhelming majority of Saabs sales have always been on the coasts, particularly the RIGHT one. I certainly see them taking a step in the right direction with cutting prices, though I think they should have moved the HQ OUT of Detroit.

  • Mpresley Mpresley on Mar 22, 2010

    You know, I want to like Saab, and I want them to do well. But, some kids want a pony too, and reality can be tough on folks when they live in fantasy land.

  • Snabster Snabster on Mar 22, 2010

    SAAB has a lot of challenges ahead. However, as laid out in this piece, they have about two years to get their act together. Target sale of 50K cars is not unreasonable this year. If they moved 40K last year -- and that was a really bad year -- doing that again with an all new 9-5 on sale as well is very doable. The problem there is in the US, the biggest market, that level of sales won't support a nationwide dealer network. Good news is GMAC will continue to provide financing for US sales. The new 9-4 crossover looks very good as well, but GM now has even less incentive to get it out in a timely fashion. The dates keep slipping (2010, 2011) and by the time it gets here it will be badly dated. SAAB doesn't need a crossover, but those dealers do. And of course the real acid test is whether they can get a new 9-3 developed. Given how stupid GM has been, just cleaning up the interior a bit more and making a hatchback might buy them a pass.

Next