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Fisker Karma  (Source: jalopnik.com)
It's waiting on troubled battery maker A123

Fisker Automotive has been waiting on its lithium-ion battery supplier in order to resume Karma production, and while there's no word yet on when that'll happen, Fisker predicts "fairly soon."

Fisker's battery maker for the plug-in Karma is A123 Systems, which filed for bankruptcy in October 2012. In December, the company was acquired by Chinese firm Wanxiang Group for about $260 million.

Fisker has been waiting on A123 to come out of this bankruptcy situation before restarting Karma production, but an exact date is unclear at this point.

Fisker has been having money issues of its own, though, and is currently looking for an investor. Some analysts say the company could be acquired.

Fisker
received $529 million in DOE loans in April 2010. The loans were part of a program to progress development of high-tech vehicles, where Fisker received $169 million for Karma plug-in engineering and $359 million for Nina production. The loans were also meant to revamp a closed General Motors plant in Wilmington, Delaware for Fisker EV production. 
 
However, Fisker fell a little behind on its production schedule, and in May 2011, DOE froze the loans due to "unmet milestones." Fisker had only drawn $193 million of it at that point.
In October 2012, the House Oversight and Government Reform Committee decided to look into the original terms of its loan to Fisker Automotive, questioning whether DOE will step in to help the electric vehicle (EV) automaker if it goes bankrupt and investors are allowed to retrieve their money.

On top of money issues, Fisker had a few recalls throughout 2012. In March, A123 said it would replace nearly 600 Karma batteries for $55 million when issues occurred. Later, in August, Fisker recalled 2,400 Karmas after a cooling fan issue led to a fire in California.

Source: The Detroit News



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This article is over a month old, voting and posting comments is disabled

By Samus on 2/8/2013 4:06:05 PM , Rating: 2
Yeah, business is usually pretty good when there is no competition. That all changed in the 70's.


"So, I think the same thing of the music industry. They can't say that they're losing money, you know what I'm saying. They just probably don't have the same surplus that they had." -- Wu-Tang Clan founder RZA














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