Oz Saab Distributor Closes Doors

The importer and distributor of Saab cars in Australia closes its doors and enters into administration following the bankruptcy in December of its Swedish parent company.

The end came after the company that now owns the collapsed Saab's parts division pulled out of a deal to buy the Australian operation.

The Australian Broadcasting Corp. reports Saab Australia owes about A$2 million ($2.09 million) to its creditors.

Saab Australia had six staff operating out of Port Melbourne.

The administrator Ferrier Hodgson says a creditors meeting will be held by the end of this week.

“This is as a result of the bankruptcy of the Saab Car’s parent in Sweden, following the global financial crisis in 2008 and specifically the collapse of Lehman Brothers that led to a large shock in the global car industry including for Saab,” partner Stuart McCallum tells the ABC.

McCallum tells The Age newspaper in Melbourne there is unlikely to be any immediate impact on current Saab owners, as replacement parts will continue to be available.

“Saab drivers can be confident their vehicles will be kept on the road and they should have no problems accessing parts over the short to medium term,” he is quoted as saying.

But there is no guarantee on the long-term supply of parts.

“With regard to warranties, we are working with the dealers around Australia to minimize any potential impact for Saab owners.”

The company offered only 12-month warranties.

McCallum says the administrators will now focus on selling remaining vehicles and a warehouse full of parts, which it is trying to sell as a single package to a new distributor.