Saab Automobile AB, General Motors Corp.'s (GM) loss-making Swedish unit, said Friday it is applying for reorganization with a Swedish court.

Saab said it hopes the court process will permit it to reorganize itself "into a fully independent business."

"Pending court approval, the reorganization will be executed over a three-month period and will require independent funding to succeed," it said.

It said it will seek funding from both private and public sources, and that it will present its reorganization proposal to creditors within three weeks.

Company Web site: http://www.saab.com, www.gm.com

-By Ola Kinnander, Dow Jones Newswires; +46-8-5451-3097; ola.kinnander@dowjones.com