Report: Each Karma Hybrid Sedan Built Cost Fisker $660,000
April 22, 2013 10:51 AM
comment(s) - last by
Fisker burned through $1.3B in private and government funding
The latest massive failure in the automotive industry to take a huge chunk of taxpayer money with it is Fisker. The automaker has been struggling and earlier this month
laid off 75% of its workers
. The company is also expected to
, seeking protection from its creditors.
Through all of its troubles, Fisker has only produced 2,500 of its Karma plug-in hybrid sedans (it hasn’t even begun production of the
smaller Atlantic plug-in hybrid sedan
). When you consider the amount of investor and U.S. taxpayer money given to Fisker in the form of government-backed loans, each of those 2,500 Karma electric vehicles cost $660,000 to produce compared to a retail price of $103,000.
Fisker had planned to spend part of the $529 million loan from the U.S. government to reopen an
old General Motors manufacturing factory in Delaware
. Despite the fact that Fisker had violated loan terms for the use of government-backed funds from being Energy Department, it was allowed to continue using the money according to a report released last week by a company called PrivCo.
“They made a mistake” in awarding the loan, PrivCo Chief Executive Officer Sam Hamadeh said of the Energy Department in an interview yesterday with Bloomberg. “Should they have fought this sooner? Obviously -- as soon as it became evident that they had begun to default.”
However, the Energy Department takes issue with the PrivCo report stating that the report contained errors. The Energy Department says that it halted Fisker's funding in late June of 2011 after the company had used about $193 million from the government loan.
Overall, Fisker spent $1.3 billion in venture capital and taxpayer money according to the report. Fisker is supposed to make the first repayment of $20.2 million on the loan granted from the Energy Department today. It remains unclear whether or not that will happen.
This article is over a month old, voting and posting comments is disabled
4/22/2013 12:23:07 PM
Did you even read my comment? I was pointing out how the article was really just pageview grabbing with a statistic that really doesn't point to what was implied. I suppose trying to get DT to use valid statistics is a losing battle. I was also commenting on the fact that there wasn't really anything newsworthy in this article, other than the fact that someone decided to divide the number of cars Fiskar built by the total number of loans/investment they received. Really the point of the article was to post a big number to get people to click the link, and then feed them the same story we've been reading for a while. You'd think that I would have learned by now not to expect anything better from DT.
4/22/2013 6:17:20 PM
Did you even read my comment?
Unfortunately. Are you proud of your apathy?
4/23/2013 10:46:06 AM
Apathy happens to be the symbol of my generation.
"We are going to continue to work with them to make sure they understand the reality of the Internet. A lot of these people don't have Ph.Ds, and they don't have a degree in computer science." -- RIM co-CEO Michael Lazaridis
Fisker Automotive Expected to File Chapter 11 Bankruptcy This Week
April 10, 2013, 8:52 AM
Fisker Automotive Lays Off 75 Percent of Staff, Catches a Federal Lawsuit
April 8, 2013, 12:17 PM
Fisker's Atlantic Plug-in Hybrid Sedan Leaked Ahead of This Week's Official Unveil
April 1, 2012, 6:16 PM
Fisker Buys Closed GM Plant to Produce New EV, Keeps Plant Unionized
October 27, 2009, 5:00 PM
Study Predicts Self-Driving Vehicles Could Rake in Billions
March 6, 2015, 8:34 AM
Dual-Motor Tesla Model S P85D's "Insane Mode" Shocks Passengers
January 28, 2015, 11:18 PM
2016 Cadillac CTS-V Packs 640 hp Punch with 200 mph Reach
January 23, 2015, 3:25 PM
BMW Testing Tech to Allow Users to Auto-Park, Summon Cars Via Smartwatch
December 16, 2014, 9:30 AM
Lamborghini Offers Up $6,000 Leather-Bound Android Smartphone
December 12, 2014, 3:12 PM
Quick Note: GM Teases Next Generation Chevrolet Volt
November 20, 2014, 3:26 PM
Most Popular Articles
WSJ Report Implies That Google Leveraged Lobbying to Kill Antitrust Abuse Probe
March 25, 2015, 5:37 PM
Food Chemists at Italy's Barilla Claim to Have Perfect Instant Noodles w/out Frying
March 26, 2015, 4:25 PM
Apple CEO's Pledge to Give Away His Fortune is Worth More Than Face Value
March 27, 2015, 5:08 PM
Church of Scientology Buys Twitter, Facebook Space to Attack HBO Documentary
March 30, 2015, 4:27 PM
Google Readies Gmail "Pony Express" to Combat Facebook's Messenger Payments
March 25, 2015, 11:43 AM
Latest Blog Posts
Sceptre Airs 27", 120 Hz. 1080p Monitor/HDTV w/ 5 ms Response Time for $220
Dec 3, 2014, 10:32 PM
Costco Gives Employees Thanksgiving Off; Wal-Mart Leads "Black Thursday" Charge
Oct 29, 2014, 9:57 PM
"Bear Selfies" Fad Could Turn Deadly, Warn Nevada Wildlife Officials
Oct 28, 2014, 12:00 PM
The Surface Mini That Was Never Released Gets "Hands On" Treatment
Sep 26, 2014, 8:22 AM
ISIS Imposes Ban on Teaching Evolution in Iraq
Sep 17, 2014, 5:22 PM
More Blog Posts
Copyright 2015 DailyTech LLC. -
Terms, Conditions & Privacy Information