Financial regulators need to develop stricter rules for dealing with failed banks to assure that shareholders and creditors rather than taxpayers bear the loss, Sweden's Financial Supervisory Authority said Tuesday in its yearly Supervision Report for 2011, Dow Jones Daily Bankruptcy Review reported.
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Suppliers to Saab Automobile remained reserved Monday after owner Spyker Cars NV said it has found a new partner in China that will provide funds for the troubled Swedish car maker, Dow Jones Daily Bankruptcy Review reported. "On paper it looks like a positive first step," said Svenake Berglie, chief executive of the Swedish supplier organization FGK. "From the supplier side, we'll wait and see what happens next." Spyker said Monday it had signed a deal Pang Da Automobile Trade Co.
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Saab Finds New Chinese Partner

Saab Automobile owner Spyker Cars NV Monday said it has found a new partner in China that will provide fresh funds for the troubled Swedish car maker, giving investors hope the company can survive after a previous deal collapsed last week, The Wall Street Journal reported. The deal, with Pang Da Automobile Trade Co., will give Saab enough money to restart production and survive for about a year, according to Spyker Chief Executive Victor Muller, but Spyker still needs to find other investors to give it a long-term future.
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Saab Automobile's future was again cast in doubt Thursday after owner Spyker Cars NV said a EUR150 million ($212.2 million) investment agreement with a Chinese auto maker had fallen apart, Dow Jones Daily Bankruptcy Review reported. The announcement puts Saab Chairman and Spyker Chief Executive Victor Muller under intense pressure to come up with another deal fast. Saab's plant in Trollhattan, Sweden, has been idle since production was halted six weeks ago after suppliers stopped delivering parts because they hadn't been paid.
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Saab's new partner Hawtai defended itself against claims reportedly made by a top Swedish diplomat that raised doubts about the Chinese automaker's ability to salvage the Swedish car brand, Agence France-Presse reported. In a deal unveiled on Tuesday, Hawtai is set to inject 150 million euros ($223 million) into cash-strapped Saab through a partnership including joint ventures in manufacturing, technology and distribution.
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Saab Automobile AB said Monday it has agreed to a strategic partnership with China's Hawtai Motor Group, just hours after Saab owner Spyker Cars NV secured EUR30 million ($44.6 million) in short-term funding that will enable the Swedish company to restart production, Dow Jones Daily Bankruptcy Review reported.
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Saab Automobile Thursday said that talks with Chinese auto makers and the European Investment Bank over financing continued, but the head of a parts-supplier organization said the Swedish car maker's predicament was critical, Dow Jones Daily Bankruptcy Review reported. "The situation is extremely serious," said Lars Holmqvist, chief executive of European Association of Automotive Suppliers, known by the French-language acronym Clepa.
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Saab Automobile Thursday moved a step closer to resolving the short-term financing problems that have brought production to a halt after the Swedish National Debt Office said the car maker's funding plan meets the terms outlined by the Swedish government and the Debt Office, Dow Jones Daily Bankruptcy Review reported. Saab, owned by Dutch car maker Spyker Cars NV, urgently needs fresh funds to pay its suppliers and resume production. Production came to a halt in recent weeks because of parts shortages after some suppliers stopped deliveries.
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The Swedish National Debt Office said Monday that Saab Automobile has reached an agreement in principle with financiers regarding a solution to the company's acute liquidity crisis, Dow Jones Daily Bankruptcy Review reported. "The information that Saab has presented to us looks good and they will now have to present us a contract that is signed," said Unni Jerndal, a spokeswoman for Sweden's NDO. She said all conditions set by the Swedish government to reach an agreement have been met, and Saab is now working on the last details to secure the deal.
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Saab Automobile's attempts to solve its acute liquidity crisis so that it can pay suppliers and restart production now lie in the hands of the Swedish government, Dow Jones Daily Bankruptcy Review reported. Sweden's National Debt Office Thursday received Saab's proposal to fix its immediate and mid-term financial issues and forwarded it--along with a recommendation--to the government to make a final decision.
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