Elio Now Getting Serious About Manufacturing ...

[Ekh]

They hired a top guy, and it looks as if things are starting to move ahead:

http://us6.campaign-archive2.com/?u=24b371802c83d81776b06aa68&id=294e36db4d&e=3cd107a1b4

 

[Craig]

They hired a top guy, and it looks as if things are starting to move ahead:

http://us6.campaign-archive2.com/?u=24b371802c83d81776b06aa68&id=294e36db4d&e=3cd107a1b4

I think Gino has been with EM since the beginning.

 

[goofyone]

I think Gino has been with EM since the beginning.

I believe he has been involved for a while now also but it is good to see them let everyone know about him as he does bring a lot of expertise to the manufacturing side of this equation.

 

[goofyone]

The video itself is not so great but this is great audio of Gino discussing Elio in May 2013. He definitely sound like he knows what he is talking about.

 

[ecdriver711]

That has been actually one of the more informative videos. Gino sounds like smart guy,

 

[Ekh]

But ... $100 million in tooling just to produce the short block? Where is that kind of capital coming from? Sure hope the Chinese guy with the motorcycle background MEANT his order for 125,000 Elios. As someone says in the video above, 100 million is an awful lot of 6800's (14,785 cars, or thereabouts) and that ONLY covers the tooling for the engine block. So to reach break-even, Elio has to sell a boatload of cars -- and my guess is that there will be a ton of highly profitable after-market options for the car. You get a fair deal for your $6800, but to make the car really nice -- add another 3,000 to your 6800.

 

[Ty]

But ... $100 million in tooling just to produce the short block? Where is that kind of capital coming from? Sure hope the Chinese guy with the motorcycle background MEANT his order for 125,000 Elios. As someone says in the video above, 100 million is an awful lot of 6800's (14,785 cars, or thereabouts) and that ONLY covers the tooling for the engine block. So to reach break-even, Elio has to sell a boatload of cars -- and my guess is that there will be a ton of highly profitable after-market options for the car. You get a fair deal for your $6800, but to make the car really nice -- add another 3,000 to your 6800.

That $100M would be IAV's cost of tooling, right? They could produce the engine block for more than just Elio I would think. You are right that $100M is a LOT of Elios!

 

[Craig]

That $100M would be IAV's cost of tooling, right? They could produce the engine block for more than just Elio I would think. You are right that $100M is a LOT of Elios!

Wouldn't the $100M be IAV's cost of doing business and figure into the price of the motor?

 

[Kuda]

Wouldn't the $100M be IAV's cost of doing business and figure into the price of the motor?

Gino didn't mention Comau. IAV is doing the design work. Comau is doing the mfg.
As Jerome stated, Comau did the engine machining at the Shreveport plant. Comau
has surveyed the plant & their tooling is still there & up to the tasks at hand. All of
this cuts the cost curve. With the Chinese order in Paul's back pocket (sure hope he
has it in writing) it makes things really interesing around the Private Placement table.....

 

[Brian1362]

I think Gino has been with EM since the beginning.

Funny, as my two uncles who retired from Chrysler actually used to work at the minivan plant in St. Louis.

If you want real information on this guy, I will ask my uncles who used to work at that plant.