NEVS "Not Insolvent," Will Pay When Possible

Cameron Aubernon
by Cameron Aubernon

Remember when Saab’s new parent company was close to being taken to court and forced to declare bankruptcy by one of its suppliers? New information may have helped changed course.

Autoblog reports National Electric Vehicle Sweden issued a brief statement proclaiming that while “the company does not have enough liquid cash as today to pay all outstanding debt,” it is “not insolvent” thanks to having assets larger than its obligations.

The statement also states the supplier — Lado Labs — withdrew its petition to force bankruptcy upon NEVS next month due to not having been paid for testing procedures in February. That said, it doesn’t know when it will be able to pay all of its suppliers.

The funding issues came about when one of NEVS’ shareholders failed to deliver its investment to the company, bringing a halt to manufacturing of the 9-3. NEVS is holding ongoing conversations with two unnamed manufacturers with the aim to restart the line once funding is secured.

Cameron Aubernon
Cameron Aubernon

Seattle-based writer, blogger, and photographer for many a publication. Born in Louisville. Raised in Kansas. Where I lay my head is home.

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  • Pig_Iron Pig_Iron on Aug 19, 2014

    Good luck SAAB. My hope of ever having a new SAAB combi-coupe fades with each passing day. I hope SAAB lives on, at least as an engineering services firm.

  • Seth1065 Seth1065 on Aug 19, 2014

    They will not die, the saab zombie lives at least a little longer.

  • SCE to AUX SCE to AUX on Aug 19, 2014

    1. So they have some car-making equipment whose value is higher than their outstanding bills. 2. Yet, they haven't produced and sold enough cars to generate cash to pay the bills. 3. The production line is stopped; therefore, the cash flow is stopped. Seems like only another gift will get all these parts moving again. Where are the Saab faithful - couldn't they raise $22k to solve this? Didn't think so. The "we're not insolvent; we just can't pay our bills" claim may be a legal technicality, but the movie will end the same way.

  • Seanx37 Seanx37 on Aug 19, 2014

    This may sound dumb, but what does GM have to say about all of this? The 9-3 is just a Malibu. All the parts have to be coming from GM. They were ok about selling parts and technology to a rather sketchy company?