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SAAB BANKRUPT

SAAB

Saab administrator: ‘the patient is dead’

Saab's bankruptcy administrator said at a press conference on Saturday that the company is dead but continues to bleed, while retaining hope that a buyer can be found.

Saab administrator: 'the patient is dead'

“Saab is a patient who has long bled to death and the brutal truth is that the patient is dead.”

“But the patient has not stopped bleeding,” Hans Bergqvist, one of Saab’s bankruptcy administrators, said on Saturday in a first public statement following the long-embattled firm’s bankruptcy in December.

Bergqvist continued to underline the importance of maintaining the residual value within the firm in order to increase the chances of staying afloat.

He also said that the administrators had chosen to bide their time to wait for the right moment to approach former owner US firm General Motors to discuss Saab’s future.

Although GM beat them to it with a new statement in which they underlined that they were unwilling to release licences for their technology to any new buyers.

“GM got there before us and we now have to take this into consideration before we continue.”

Bergqvist underlined that the administrators are conducting an ongoing dialogue with stakeholders.

“Over the next two to three weeks it will emerge which are serious.”

He noted that interest has been shown in both the business as a whole and in part.

The inventory of Saab’s bankruptcy has not yet been completed and according to Hans Bergqvist, the delay is understandable.

“There is an enormous task,” he said, expressing hope that it would be completed by March.

Bergqvist’s colleague Anne-Marie Pouteaux revealed that there are several interested parties keen on taking over the Saab museum but no decision has been taken.

“We have received a large number of bids and we shall now evaluate them,” she said.

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BANKRUPTCY

Half of Swiss hotels, restaurants risk bankruptcy: employer group

Nearly half of Switzerland's restaurants and hotels risk bankruptcy within months failing financial support to weather devastating Covid-19 measures, the sector's employer group warned Sunday.

Half of Swiss hotels, restaurants risk bankruptcy: employer group
Closed restaurants face bankruptcy in Switzerland. Photo by AFP

The Swiss government is expected this week to extend the closure of bars, restaurants and leisure facilities across the country until the end of February to control stubbornly high coronavirus case and death numbers.

But industry federation GastroSuisse warned in a statement that if done  without providing significant financial support, around half of businesses in the restauration and hospitality sector could go belly-up by the end of March.

The group polled around 4,000 restaurant and hotel owners, and determined that 98 percent of them already are in urgent need of financial support.

“The very existence of many of them is threatened,” GastroSuisse president Casimir Platzer said in the statement.

While restaurants and other businesses quickly received financial support when Switzerland went into partial lockdown during the initial wave of infections, GastroSuisse has complained that support during subsequent sporadic closures has lagged.

Before the crisis, more than 80 percent of Swiss restaurants and hotels were in a good or very good position of liquidity, the study showed.

But that situation quickly deteriorated.

In October, as a second wave of infections picked up steam, the organisation cautioned that 100,000 jobs were at risk.

And during the final two months of 2020, nearly 60 percent of restaurant and hotel establishments were forced to conduct layoffs for a second time, it said.

Without government intervention, a third wave of layoffs is looming, Platzer warned.

The latest closures were to be lifted on January 22, but the government said last week it wanted to extend the deadline for a further five weeks.

GastroSuisse said the final announcement, due Wednesday, needed to be
accompanied by “immediate and uncomplicated” financial support to the sector
to avoid “disaster”.

USAM, a union that represents small and medium-sized businesses in Switzerland, called Sunday for the government not to prolong or tighten measures, warning it was an “existential question” for many of its members.

Switzerland, a country of 8.6 million people, is currently registering around 4,000 Covid-19 cases a day and had by Friday seen nearly 476,000 cases and 7,545 deaths since the start of the pandemic. 

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