Jalopnik Claims Elio Has Only $100k In Bank, $123 Million In Debt

[Sailor Dog]

Sounds like

This would be like betting on the Browns when they get a different QB. Something always happens. Lol.

This bet means that one of us has to make a post saying. "X was right about the funding. I was wrong. I will take him more seriously even when I disagree. "

MODS - this is a civil gentleman's bet.

Also, the bet has to mean that either the ATVM loan is approved or a dark horse comes in with a boat load of money due to the 65k.
I'm not talking about an extension on the application or someone giving them 1million. I'm talking game changing.

Sounds good....just had to verify a few things so I am making a Good Bet

 

[Officespaced]

You miss-interpreted that sentence. And that's OK. Simple mistake. Quite a few members had miss-read it as well.
But I'm not even going to waste the energy to look up the many posts (including mine) that describe it's meaning.
Life is too short and honestly, you seem like the truth won't fit your agenda anyway. My question is...
Where were you when that very sentence was discussed over the last year and a half?
My suggestion is that you go back and do your homework with a few searches.

There seem to be quite a few reasons for a person to be objectively negative at this point.
However, the two items you mentioned are not justification for that because they just aren't true.

What is not true specifically? Are you indicating the numbers in the SEC filing are false? That Elio lied?

 

[Officespaced]

The lock-ins? Yes they did. Very plainly and very specifically. In writing. Evidently you never got the email.

It's not a requirement, very specifically in writing and any communication from Elio does it state the DOE requires this number. Elio is using this metric as a means to show interest, but it's not a requirement. To wit:

"As part of the final steps of the evaluation of our application for the ATVM loan, the U.S. DOE requires that Elio Motors demonstrate market acceptance for our project in order to provide a level of certainty about our long-term viability. Although we have received overwhelming market support from our fans, with more than 56,000 total reservations and over 85% of those “non-refundable,” according to the ATVM’s new guidelines published June 2016, that is not enough to demonstrate market acceptance:

“Where a start-up company that has not generated revenue seeks to commence or progress operations, … in all but the most extraordinary circumstances, market studies and non-binding customer reservations to purchase vehicles will not be sufficient…” [Emphasis added].

We believe we have created an “extraordinary” circumstance in the demand for our vehicle, between our crowdfunding and sales of shares through Regulation A+; however, we will take the necessary additional steps to strengthen our qualifications for this loan program. Because of these requirements, we must ask for binding commitments to purchase from our “non-refundable” reservation holders to further validate our market acceptance. And to obtain these binding commitments, we must lock in a price for the vehicle for “non-refundable” reservations.

Locking in the Price for Non-Refundable Reservation Holders, $7,300*

Based on our current engineering models and materials calculations at this juncture, we will lock in the base price for “non-refundable” reservation holders at $7,300* until we reach 65,000 total reservations (all reservations, both non-refundable and refundable). Given the current expectations, this price supports our vision and provides the most affordable vehicle option on the market."

Note that the DOE states no number that equates to "market acceptance", the 65K figure is a number Elio themselves conjured up to indicate "market acceptance". Even with 65K, how many of those digitally signed the binding agreement vs. non-binding? Elio has not broken that out. Binding is not the same as non-refundable.

 

[Coss]

It's not a requirement, very specifically in writing and any communication from Elio does it state the EPA requires this number. Elio is using this metric as a means to show interest, but it's not a requirement.

Just an FYI; the EPA had nothing to do with the ATVM loan, that would be the DOE.

 

[Officespaced]

Just an FYI; the EPA had nothing to do with the ATVM loan, that would be the DOE.

correct, my bad

 

[slinches]

Spaced, how does that not read as the DOE requiring some number of binding commitments? The DOE didn't recognize the existing reservations because they were non-binding, so EM requested binding commitments from reservation holders to show market acceptance. I don't think it could get much clearer without having access to the communications between EM and the DOE.

 

[Officespaced]

Spaced, how does that not read as the DOE requiring some number of binding commitments? The DOE didn't recognize the existing reservations because they were non-binding, so EM requested binding commitments from reservation holders to show market acceptance.

Correct, that can be inferred, but there is no stated number. As such, the DOE is not bound by any binding number Elio decides to present. There just seems to be a thought in here that hitting the 65K number means the ATVM loan is a done deal. It's not. Again, within that 65K number, Elio has not broken out binding vs. non-binding. Even with such info, the DOE is not beholden to grant the loan based on that number, as none has been indicated as "market acceptance". It's politics.

 

[Horn]

Sounds like

Sounds good....just had to verify a few things so I am making a Good Bet

Here's another bet that you should jump on. 2 months after the 65k number is reached, if EM hasn't secured the DOE loan or had a private investor put $100M towards EM, you leave the forum.

If they have, I will leave the forum until I buy one.

I am not talking about having another public offering of stock or selling equipment. I mean $100Million plus actually getting into their account.

 

[slinches]

Correct, that can be inferred, but there is no stated number. As such, the DOE is not bound by any binding number Elio decides to present. There just seems to be a thought in here that hitting the 65K number means the ATVM loan is a done deal. It's not. Again, within that 65K number, Elio has not broken out binding vs. non-binding. Even with such info, the DOE is not beholden to grant the loan based on that number, as none has been indicated as "market acceptance". It's politics.

The DOE is bound by what they've agreed to with EM, but we don't know the specifics of that agreement. What we do know is that EM's statements strongly imply that there is some number that would meet the criteria and they set the 65k total reservations mark knowing that. It is reasonable to assume that EM would set it at a point that will meet any agreed upon criteria.

Taking that to mean that reaching the 65k mark will guarantee that the loan will go through is definitely a stretch, but it does seem like it's a clear step in the right direction. For anyone watching EM's progress, the reservation number is more likely to be a trigger point for further action by the DOE than any other piece of public information currently available.

 

[Elio Amazed]

Congrats Officespaced. You now have this thread to yourself.
Even when you're wrong, you're right.
I'm out.