Financing Elio Motors Development And Production

[Rickb]

Are you being serious ? A success ? Solyndra aside , the program has cost tax payers 16 BILLION dollars . After donating to the Democrat party , several recipients went bankrupt and many more laid off workers . There are estimates that each "green " job created cost American tax payers
over 6 million dollars each. I guess each of us defines success differently .
Below is a partial list of DOE 1705 loan recipients that filed for bankruptcy shortly after receiving loans .

Evergreen Solar ($25 million)*
SpectraWatt ($500,000)*
Solyndra ($535 million)*
Beacon Power ($43 million)*
EnerDel’s subsidiary Ener1 ($118.5 million)*
Abound Solar ($400 million)*
A123 Systems ($279 million)*
Willard and Kelsey Solar Group ($700,981)*
Raser Technologies ($33 million)*
Nordic Windpower ($16 million)*

Most of the money went to large and established companies rather than startups. These include established utility firms, large multinational manufacturers, and a global real estate investment fund. In addition, 90 million was granted to Cogentrix, a subsidiary of Goldman Sachs.

Sounds political. NPR and other non-political Fact Check sources I've found say this:

The agency has loaned $32.2 Billion to a variety of businesses designed to speed up development of clean-energy tech.. New start ups or established businesses were eligible. Companies have defaulted on $780 Million of that, at a loss rate of 2.28%. The agency also has collected $810 Million in interest payments, putting the program $30 million in the black. I have not audited their books.

I could give a rats butt who they loaned the money to, but hope Elio Motors is one of the approved applicants non-politically speaking.

 

[goofyone]

The failure of start-ups should not be surprising at all as the fact is that 75% of private venture capitalist funded start-ups also fail with about half of those failing without even breaking even.

The Venture Capital Secret: 3 Out of 4 Start-Ups Fail:

http://www.wsj.com/news/articles/SB10000872396390443720204578004980476429190


So what ultimately matters is not the failure rate but instead adding up the losses vs the profit made in the program. This is how venture capitalists make money even when 3 out of 4 of their investments either lose money or simply break even.

 

[cortsdad2]

The problem is Elio not telling the truth to the ones who have money invested until they were forced to by Caddo PJ.

You're NOT an investor in Elio, nor am I!

 

[karl]

Investor, no. Troll ...

 

[cortsdad2]

It's not that I'm Polly Anna (or Apollo Andrew, I'm not quite sure of the male equivilant) or being mindlessly positive, it's just a much better avenue to pursue, don't you think? What in the Sam Hill is the use of all the negativity anyway? We have our money in and not only do we want our car, we want to enjoy the trip to it!!

Some people are "glass half empty" and some people are "glass half full..."

 

[cortsdad2]

Investor, no. Troll ...

Some people are invested in their "Troll-hood!"

 

[Double D in Ohio]

Seeing the production date pushed back for a 4th time is disappointing. Glad I'm only all in for $100 bucks. I needed the car at the end of this year. Guess it might be time to go shopping for something else. Really disappointed it was going to be my gas saver and toy. Guess I'll hang onto the scooter I have and shop for a real car toward the end of the year. Who knows maybe there will be some Good news by then. Double D

The reason for the delay being announced now was the fact that Elio Motors needed an extension from RACER Trust and IRG as the goal of production this year was getting tight and this extension would be contractually required if production were to slip to 2016.

We already knew that even if the development continues on track that the September deadline was not realistically going to happen so the logical goal was towards the end of this year. When EM did not receive the expected equipment sales funding within the time frame they were expecting this made the end of the year goal tighter for them even if they do receive additional funding in the next 90 days. So EM was beginning to bump up against the need for an extension from RACER Trust if they were not going to be in production this year and had to request it which they also had to disclose to Caddo Parish so it was going to become public knowledge.

The good news is that this extension gives EM some breathing room to work on the funding as they now have about a year to complete the vehicle development and likely until about the end of the 1st quarter 2016 to secure the needed production funding. The equipment sales throughout this year, and some additional private funding to make up any gaps, should allow EM to get the vehicle development program back on track relatively quickly. I would be surprised if we do not see full vehicle testing proceeding as early as possible in the second half of this year as to my thinking having pre-production vehicles in live testing is the key to securing production money from the private sector. The private sector will be much more willing to fund EM if there is a fleet of pre-production vehicles undergoing testing, 10's of thousands of reservations waiting to be filled, a secured plant site, and a supply chain all ready to go with the only missing link being the funding needed to produce the vehicle.

 

[ehwatt]

Some people are "glass half empty" and some people are "glass half full..."

Some people are just glad to have a glass.

 

[ecdriver711]

This is one NPR news article about the fund in general discussing the success of the fund inspite of the couple of high profile failures like Fisker and Solyndra. There was one link that listed the top ten companies receiving the largest loans which I hope to find back. The other nine companies made Solydra's $545 Million loan look small by comparison.

I usually look at the source of the article to be reaonably certain it's not politically biased and then fact check. The article below is NPR which is a source of news I trust to be accurate. There is way to much generalized negative one side only political BS out there.......and sometimes here too! LOL


http://www.npr.org/2014/11/13/363572151/after-solyndra-loss-u-s-energy-loan-program-turning-a-profit

Are you being serious ? A success ? Solyndra aside , the program has cost tax payers 16 BILLION dollars . After donating to the Democrat party , several recipients went bankrupt and many more laid off workers . There are estimates that each "green " job created cost American tax payers
over 6 million dollars each. I guess each of us defines success differently .
Below is a partial list of DOE 1705 loan recipients that filed for bankruptcy shortly after receiving loans .

Evergreen Solar ($25 million)*
SpectraWatt ($500,000)*
Solyndra ($535 million)*
Beacon Power ($43 million)*
EnerDel’s subsidiary Ener1 ($118.5 million)*
Abound Solar ($400 million)*
A123 Systems ($279 million)*
Willard and Kelsey Solar Group ($700,981)*
Raser Technologies ($33 million)*
Nordic Windpower ($16 million)*

Most of the money went to large and established companies rather than startups. These include established utility firms, large multinational manufacturers, and a global real estate investment fund. In addition, 90 million was granted to Cogentrix, a subsidiary of Goldman Sachs.

NPR, not politicly biased, hardly. NPR, tax funded left leaning news. The article fails to mention the really important fact that Solyndra was known to be failing and was political payback with tax payer money. That payoff is outlined here. NPR - not a news source to trust

http://in-other-news.com/2011/Short-Summary-of-Solyndra-scandal

 

[AriLea]

NPR, not politicly biased, hardly. NPR, tax funded left leaning news. The article fails to mention the really important fact that Solyndra was known to be failing and was political payback with tax payer money. That payoff is outlined here. NPR - not a news source to trust
http://in-other-news.com/2011/Short-Summary-of-Solyndra-scandal

I'd fall on the side of more trustable than most other news sources. Certainly more than anything under the Murdoch news outlets.
The debate over NPR mostly pops out for me because I think Republicans don't like the fact that NPR is NOT republican biased.
I haven't decided if NPR is biased toward the Democrats, I agree I may be too biased myself to know.
Yes, duh, I like watching the Daily Show, who's main issue with the Republicans as well as FOX news is the divisive nature of their tactics.
I absolutely never hear anything negative toward NPR from the Daily show, and it's probably my bias that I think it's for an upstanding reason and not a divisive one.
The real questions is, is the critique driving the conclusion or is the conclusion driving the critique? It does take lots of effort and self examination to guarantee that one-self does not fall to the later. Too far into that and you are in danger of living the insanity of the idealogue, I mean a person where the self-imposed world view is more important than true reality.

This is all very hard to fact check, so did I start a food fight?