Still Want One For Myself

[karl]

Each passing day makes that prospect a bit more unlikely. Makes me sad to see a great idea go unrealized for so long.

 

[raptor213]

It feels as though an ominous dark cloud has crept into the Elio arena and cast its ugly shadow, spreading doubt, instilling fear, inciting stock market panic, and destroying any faith we all had left in the project.

But I have to disagree with the premise of concern shared by so many.

Yes, the Trump administration released their 2018 budget proposal. Yes, that document recommended a removal of funding for the Department of Energy's ATVM loan guarantee program. Yes, that document is meaningless in the sense that it's just a wish list sent from the Executive branch to the Legislative branch, and requires months of committee and floor hearings, consideration of amendments, politicizing of every little detail, and a watering down to include/exclude sections that garner bipartisan support from non-Republican Senators should the minority party stage a filibuster attempt.

While everyone is somewhat freaking out under the auspicious and dire outlook that this means Elio Motors is toast, I humbly believe this is just the beginning of a new wave of significant funding news to come from Elio Motors. Allow me to explain.

There are a number of feasible funding avenues that Elio Motors could pursue to reach production-ready capability. These include: selling debt/securities on capital markets; partnering with angel investor(s) Hell-bent on seeing this project through; accepting a cash infusion from a number of venture capitalists in exchange for significant controlling stakes in the Company; or securing approval for the low-interest, low-fee, zero-risk ATVM loan guarantee.

Up to this point, Paul Elio has notoriously refused cash infusion and buyout offers because it entails knowingly and willingly giving up a significant interest in his baby to greedy capitalists who have what he needs - money. Who could blame him? As long as the golden ticket of the ATVM loan application status was "pending" or "under review" or "awaiting further substantiating documents" or what have you, then the possibility of attaining production-ready capability without sacrificing a controlling stake in his Company remained a real possibility. The other offers on the table were non-starters and dead-on-arrival in an Elio Motors board meeting.

But let's assume that the end of the ATVM program is nigh. Or even if the program remains, it is effectively rendered non-existent by being de-funded or by the Department of Energy instructing the ATVM office to halt processing of all applications until further advised. What happens for Elio Motors then?

This is where the rubber meets the road and the Directors at Elio Motors have important decisions to make.

Can they stomach relinquishing a 35%, 49%, 50.1% or greater stake in the Company to outside influence if it results in immediate financial capital influx necessary to: satisfy outstanding I.O.U.'s to suppliers; bring all financial notes and instruments up-to-date, out of default/forbearance, and armed to negotiate for lower interest expenses moving forward; reinstate the Tour Team and engage in a proactive nationwide marketing blitz; complete design, development, and testing of the remaining 18 planned engineering series vehicles; start and complete production-ready spool-up at the Shreveport factory, including assembly line configuration and programming, procurement and installation of necessary equipment, hiring and training of a skilled labor workforce; production of the 100 planned revenue-generating pre-production vehicles and delivery to fleet purchasers/lessors for monitored field testing; successful lobbying to insurance industry trade groups at the federal and local level...

... or are Paul Elio & Friends willing to hold their line in the sand in delirious anticipation of the capital markets, securities markets, lending markets, and/or generous philanthropic minds to alter course and suddenly back the project that's deprived of cash and hanging onto the fact that they continue to accept 15-30 new reservations each day for corporate sustenance?

Up to this point, I have stood by Paul's resilience in refusing to sacrifice a controlling stake in his Company in exchange for an external cash infusion. With the prospect of the ATVM loan as a hanging fruit at all times, who could possibly blame him? But the political climate has reversed course, the rules of the game have changed, and for Elio reservationists and supporters alike, everything hinges on what kind of legacy Paul Elio is seeking to cement for himself. I wholeheartedly believe that cool heads and logical minds will prevail over emotional entanglements, but it's a matter of wait-and-see to find out.

The next semi-annual SEC report for the period ending 12/31/2016 is due to be released on or before April 30, 2017. I predict great financial news will be coming in the next few weeks. Otherwise, I'd have no choice but to join in the present chorus of doom and gloom.

 

[Doug McDow]

It feels as though an ominous dark cloud has crept into the Elio arena and cast its ugly shadow, spreading doubt, instilling fear, inciting stock market panic, and destroying any faith we all had left in the project.

But I have to disagree with the premise of concern shared by so many.

Yes, the Trump administration released their 2018 budget proposal. Yes, that document recommended a removal of funding for the Department of Energy's ATVM loan guarantee program. Yes, that document is meaningless in the sense that it's just a wish list sent from the Executive branch to the Legislative branch, and requires months of committee and floor hearings, consideration of amendments, politicizing of every little detail, and a watering down to include/exclude sections that garner bipartisan support from non-Republican Senators should the minority party stage a filibuster attempt.

While everyone is somewhat freaking out under the auspicious and dire outlook that this means Elio Motors is toast, I humbly believe this is just the beginning of a new wave of significant funding news to come from Elio Motors. Allow me to explain.

There are a number of feasible funding avenues that Elio Motors could pursue to reach production-ready capability. These include: selling debt/securities on capital markets; partnering with angel investor(s) Hell-bent on seeing this project through; accepting a cash infusion from a number of venture capitalists in exchange for significant controlling stakes in the Company; or securing approval for the low-interest, low-fee, zero-risk ATVM loan guarantee.

Up to this point, Paul Elio has notoriously refused cash infusion and buyout offers because it entails knowingly and willingly giving up a significant interest in his baby to greedy capitalists who have what he needs - money. Who could blame him? As long as the golden ticket of the ATVM loan application status was "pending" or "under review" or "awaiting further substantiating documents" or what have you, then the possibility of attaining production-ready capability without sacrificing a controlling stake in his Company remained a real possibility. The other offers on the table were non-starters and dead-on-arrival in an Elio Motors board meeting.

But let's assume that the end of the ATVM program is nigh. Or even if the program remains, it is effectively rendered non-existent by being de-funded or by the Department of Energy instructing the ATVM office to halt processing of all applications until further advised. What happens for Elio Motors then?

This is where the rubber meets the road and the Directors at Elio Motors have important decisions to make.

Can they stomach relinquishing a 35%, 49%, 50.1% or greater stake in the Company to outside influence if it results in immediate financial capital influx necessary to: satisfy outstanding I.O.U.'s to suppliers; bring all financial notes and instruments up-to-date, out of default/forbearance, and armed to negotiate for lower interest expenses moving forward; reinstate the Tour Team and engage in a proactive nationwide marketing blitz; complete design, development, and testing of the remaining 18 planned engineering series vehicles; start and complete production-ready spool-up at the Shreveport factory, including assembly line configuration and programming, procurement and installation of necessary equipment, hiring and training of a skilled labor workforce; production of the 100 planned revenue-generating pre-production vehicles and delivery to fleet purchasers/lessors for monitored field testing; successful lobbying to insurance industry trade groups at the federal and local level...

... or are Paul Elio & Friends willing to hold their line in the sand in delirious anticipation of the capital markets, securities markets, lending markets, and/or generous philanthropic minds to alter course and suddenly back the project that's deprived of cash and hanging onto the fact that they continue to accept 15-30 new reservations each day for corporate sustenance?

Up to this point, I have stood by Paul's resilience in refusing to sacrifice a controlling stake in his Company in exchange for an external cash infusion. With the prospect of the ATVM loan as a hanging fruit at all times, who could possibly blame him? But the political climate has reversed course, the rules of the game have changed, and for Elio reservationists and supporters alike, everything hinges on what kind of legacy Paul Elio is seeking to cement for himself. I wholeheartedly believe that cool heads and logical minds will prevail over emotional entanglements, but it's a matter of wait-and-see to find out.

The next semi-annual SEC report for the period ending 12/31/2016 is due to be released on or before April 30, 2017. I predict great financial news will be coming in the next few weeks. Otherwise, I'd have no choice but to join in the present chorus of doom and gloom.

I agree with everything that you said, except the last sentence!

 

[Sailor Dog]

I think it could be a little more than two weeks of waiting... I'm giving it a bit more time and breathing room. I really appreciate the evolutionary process that has been applied to the fairings and curious about other changes to improve aerodynamics, ergonomics, handling that will manifest from the expenses free or low cost CAD work during this long gestation period. I believe the 18-20 E series to be built will be subtly but significantly different from what is currently seen in E1 series so far. I believe that Kettering University magna cum laude alumnus Paul Elio was doing the cost free, but, priceless work in collaboration with some of the other best people in the automotive industry. As far as I can tell, Michigan USA is still automotive capital of the world, not Vancouver or Oregon or anywhere else. But what do I know way out West. GO ELIO!!!

 

[Elf]

I'm not giving up and I believe that if Elio is viable some smart people will pick it up .
Stock is up

 

[CrimsonEclipse]

What happens.... happens.

I have no control over any of it.

Oh well.

 

[booboo]

Jolly Rancher Candy Bus.
http://www.bargainbusnews.com/Buses/8620-1967GeneralMotors4107/