New Saab Cars North America CEO Tim Colbeck.
Saab Cars North America has wooed Tim Colbeck away from his job as the top sales executive at Subaru’s as Saab’s top executive in North America.
Colbeck will report directly to Saab Automobile AB vice president and head of global sales & aftersales, Matthias Seidl and the Saab Cars North America Board of Directors. Seidl had been serving as interim chief executive since January, when the Swedish maker ousted former Saab North American boss Mike Colleran.
Colbeck joins SCNA with 25 years of automobile industry experience in the United States with Subaru of America. But his hiring could bring more than just an experienced hand to Saab. The Swedish company has been struggling to get its house in order since it was acquired by the Dutch Spyker Cars, in early 2010. But financial problems forced a month-long closure of Saab’s headquarters’ assembly plant, a crisis only resolved by its tie-up, earlier this month, with Chinese automaker Hawtai. (Chinese deal saves cash-starved Saab. Click Here for that story.)
Colbeck has an enviable track record as Subaru’s senior vice president sales. Under his direction, the Japanese maker achieved record sales and market share in the last two years and was the only brand to achieve sales increases in each of the last three years.
“Tim’s impressive accomplishments during his automotive career in rebuilding the Subaru brand are invaluable to the Saab team and represent his ability to further Saab’s vision for success,” Seidl said.
“We are pleased to have Tim join our North American team during such an exciting time for Saab Cars North America and we are confident Tim will help increase our brand image and sales.”
The announcement comes as Saab is embarking on a major product offensive, including the launch of its first crossover – the 9-4X, as well as several variants of its other products, such as the wagon-styled 9-3 SportCombi. A more immediate issue for the maker, however, is refilling its product pipeline.
A shortfall in sales, last year, left Saab in a cash crunch. That triggered a March 29th boycott by some of its key suppliers which, in turn, halted production at the maker’s Trollhattan assembly plant. That factory produces both the 9-5 and 9-3 models.
Last week, Saab shored up its finances by agreeing to sell a 29.9% stake to Hawtai Automotive Group, a Chinese automaker, while also securing some much-needed cash from the Gemini Investment Fund. Hawtai matched the Gemini Fund’s 30 million Euro loan while adding another 120 million Euros to Saab’s coffers for its acquisition of a minority stake.
The cash, worth $266 million, allowed Saab to pay its supplier bills and reopen its main factory. Meanwhile, an existing line of credit from the European Investment Bank is going towards future product development, notably a new version of the 9-3 due out next year.
Saab, or Svenska Aeroplan Aktiebolaget (Swedish Aircraft Company), was founded in 1937 as an aircraft manufacturer and revealed its first prototype passenger car 10 years later after the formation of the Saab Car Division.
In 1990, Saab Automobile AB was created as a separate company, jointly owned by the Saab Scania Group and General Motors, and became a wholly-owned GM subsidiary in 2000. In February 2010, Spyker Cars N.V. of the Netherlands, acquired the company from GM – but before the deal was completed, the U.S. maker halted production at the Trollhattan plant. Starting the factory back up took seven weeks – and led to the recent Saab cash crisis.