A Swedish suppliers body is estimating Saab might have to pay "cash on delivery" in order to satisfy its members following today's (3 May) deal with Hawtai Motor of China that has thrown a lifeline to the troubled automaker, whose factory remains idle.

The Scandinavian automotive suppliers association (FKG) raised the cash payment possibility as Saab revealed the EUR150m (US$222m) injection from Shangong-based Hawtai that could see production restart possibly next week.

"Many suppliers are reluctant," FKG managing director Sven-Ake Berglie told just-auto from Sweden. "The amount of trust between Saab and its suppliers is not immense right now. It has to be built up again.

"Reasonable term[s] right now may be cash-on-delivery. There are many nice words, but let's talk about facts and then we can go over to the visions."

Berglie added that Saab would now have to restart discussions with "each and every one" of its many suppliers in order to negotiate how to pay existing debts following the automaker's shutdown which has run into several weeks.

Insisting Saab would have to be "much more open" with its business plan, the FKG chief also highlighted the Swedish manufacturer's reference to "mid-term financing" raised by Saab owner Spyker chairman Victor Muller today.

"There is this agreement with this Chinese OEM [Hawtai] - we don't know much about that," said Berglie. What mid-term funding really means...about when we get paid...and when we can start production with some kind of security."

The Hawtai deal remains subject to agreement from Chinese governmental agencies, the European Investment Bank (EIB) and the Swedish National Debt Office (SNDO).

Last week, Russian businessman Vladimir Antonov was given the green light by the SNDO to underwrite EUR30m that would give him up to 29.9% of Saab.