General Motors’ Saab brand received a bit of good news earlier on Monday as a Swedish court granted the ailing automaker an extension on its protection from creditors. The ruling will give Saab until May 20th to complete its restructure. Saab gained protection from its creditors on February 20th.
Saab was granted the extension after no creditors objected to its restructuring plan. Under the proposed plan, Saab would write off about 75 percent of its non-prioritized debt, according to Automotive News.
Additionally, the Swedish court revealed about 20 parties are “actively interested” in the Saab brand. That list of 20 includes several Chinese car makers – such as Dongfeng Motor Corp. – as well as Swedish industrial groups.
Saab’s restructuring plan reportedly calls for a 130,000 unit breakeven point, with a positive cash flow expected in 2011. Saab produced just 93,000 vehicles last year, but is planning to ramp that figure up to 150,000 units by early next decade.
