Print 21 comment(s) - last by Captain Awesom.. on Oct 24 at 12:33 PM

Winner hasn't been announced nor has the size of the loss for taxpayers

The Energy Department has been conducting an auction seeking bidders for the $168 million of the $528 million loan originally given to Fisker Automotive before it went belly up. While the auction has ended, the energy Department hasn't officially announced who won the auction.

The auction was conducted last Friday including opening bids from an unknown number of qualified bidders. The federal government is evaluating all of the bids in an attempt to find one that is in the best interests of the taxpayers. Once the final bidder is chosen the remaining negotiations having to do with the sale will take place.

Fisker was originally granted a $528 million loan from the $25 billion Advanced Vehicle Technology Manufacturing loan program instituted by the Obama administration. Fisker went on to lose roughly $35,000 on each Karma it sold, and when the company failed to make a $10 million payment to the Department of Energy in April of this year, the government seized the company's reserve account and recouped some of that original loan amount.

Despite the high-profile failures of automakers under the government loan plan, the Obama administration is looking to start the controversial Advanced Vehicle Technology Manufacturing loan program up again.

The executive director of the Energy Department loan program office Peter W Davidson said last month, "After exhausting any realistic possibility for a sale that might have protected our entire investment, the department announced today that we are auctioning the remainder of Fisker’s loan obligation, offering the best possible recovery for the taxpayer."

Source: Detroit News

Comments     Threshold

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

By crimson117 on 10/18/2013 11:59:14 AM , Rating: 2
Despite the high-profile failures of automakers under the government loan plan
What other high profile failures have there been?

RE: falureS
By Spuke on 10/18/13, Rating: 0
RE: falureS
By Krotchrot on 10/18/2013 12:45:01 PM , Rating: 2
Solyndra wasn't an automaker.

RE: falureS
By CZroe on 10/18/2013 12:46:16 PM , Rating: 2
Not an "automaker."

RE: falureS
By Spuke on 10/18/2013 12:54:05 PM , Rating: 2
My mistake, I only read the OP's question not his quote.

RE: falureS
By Flunk on 10/18/2013 1:17:38 PM , Rating: 3
CODA Automotive
A123 Systems (Made batteries for automobiles)

Neither is as big as the Fisker bankruptcy scandal but both are fairly high-profile.

RE: falureS
By venym76 on 10/18/2013 2:14:16 PM , Rating: 5

Evergreen Solar ($25 million)*
SpectraWatt ($500,000)*
Solyndra ($535 million)*
Beacon Power ($43 million)*
Nevada Geothermal ($98.5 million)
SunPower ($1.2 billion)
First Solar ($1.46 billion)
Babcock and Brown ($178 million)
EnerDel’s subsidiary Ener1 ($118.5 million)*
Amonix ($5.9 million)
Fisker Automotive ($529 million)
Abound Solar ($400 million)*
A123 Systems ($279 million)*
Willard and Kelsey Solar Group ($700,981)*
Johnson Controls ($299 million)
Schneider Electric ($86 million)
Brightsource ($1.6 billion)
ECOtality ($126.2 million)
Raser Technologies ($33 million)*
Energy Conversion Devices ($13.3 million)*
Mountain Plaza, Inc. ($2 million)*
Olsen’s Crop Service and Olsen’s Mills Acquisition Company ($10 million)*
Range Fuels ($80 million)*
Thompson River Power ($6.5 million)*
Stirling Energy Systems ($7 million)*
Azure Dynamics ($5.4 million)*
GreenVolts ($500,000)
Vestas ($50 million)
LG Chem’s subsidiary Compact Power ($151 million)
Nordic Windpower ($16 million)*
Navistar ($39 million)
Satcon ($3 million)*
Konarka Technologies Inc. ($20 million)*
Mascoma Corp. ($100 million)

If you want to take the time to figure out which was a car company that is up to you, but here are all the "Green" failures from this ridiculously inept administration.

RE: falureS
By mav99 on 10/18/2013 2:53:15 PM , Rating: 4
Of the major "failures" you list these, which are the top recipients of federal money that you list,

SunPower ($1.2 billion)
First Solar ($1.46 billion)
Brightsource ($1.6 billion)

are still in business and going strong. Please check your facts.

I didn't bother to check every single company on your list, but yes, some have actually failed.

Please check your facts.

RE: falureS
By GulWestfale on 10/18/2013 5:42:01 PM , Rating: 2
i think your government wanting to push new energies and making sure that american companies are at the forefront of this and are globally competitive is a great thing; but how the government did this is not. they apparently didn't really check into whether their money was being spent on actual engineering by qualified and dedicated people, or whether they just handed it to some guy who wanted to get rich(er).

it's sad for your taxpayers. i wonder how many politicians received "campaign contributions" to encourage them to fund these companies.

RE: falureS
By Reclaimer77 on 10/19/2013 8:58:34 AM , Rating: 4
Notice how those three companies were given billions, while most received a few million? Gee I wonder why they're still in business?

Failure, success, who cares? The point is every single dollar put into these companies is a waste. Regardless of the results.

RE: falureS
By Solandri on 10/19/2013 2:47:48 PM , Rating: 5
Those dollar amounts are loan guarantees, aren't they?

A loan guarantee is not money received from the federal government. It's the government telling the bank it'll pay back the loan if the company fails to pay it back. In other words, the "company" only received federal money if it goes bankrupt (the money they used up from the loan came from the fed's coffers instead of the bank's).

If the company manages to stay in business long enough to pay back the loans, then it won't have received any federal money. It's actually one of the more common-sense type of subsidies - it costs the government less if they provide loan guarantees to companies which don't go bankrupt.

RE: falureS
By conq on 10/21/2013 1:53:24 PM , Rating: 2
A loan guarantee is not money received from the federal government.

Not going to nit pick over verbiage since they all "received" money in the form of loans. But I'm sure a macro economist would agree with you since you're looking at the big picture. But I would emphatically disagree that we couldn't have done better. So my concern with it is that it seems they hand out these loans with too few strings attached. Minimal liability and protection for tax dollars - remember this isn't just the government spending their money, it's the government spending *our* money. Seeing the failure rates, I am not surprised anyone could confuse these loan guarantees with VC funding, because to me it looks like a guise.

I would personally find different ways to kick start alternative energies, or at least significantly modified.

And yes, absolutely eliminate the subsidies for big oil while you're at it to even the playing field.

RE: falureS
By BladeVenom on 10/21/2013 4:05:11 PM , Rating: 2
SunPower and First Solar lost money last year. While Brightsource is private, so you don't really know how they are doing.

RE: falureS
By docinct on 10/19/2013 12:22:42 PM , Rating: 2
Why is First Solar a "failure"?
Other than scaling back some of their expansion plans, they are still in business, still working on new projects and generating $3.5 Billion in revenue.

RE: falureS
By MadMan007 on 10/19/2013 3:19:11 PM , Rating: 2
If Obama promotes it, it's a failure. Didn't you get the neo-memo?

RE: falureS
By bigi on 10/18/2013 2:26:22 PM , Rating: 2
By looking at posted picture, I can see how he stole Tesla's design and tried to incorporate a little of BMW design into one.

Besides those pathetic styling choices, the engineering of this was a total disaster.

Good they went under.

RE: falureS
By Spuke on 10/18/2013 3:48:23 PM , Rating: 2
Stole Tesla's design? LOL! This car has been around LONG before Tesla was in business. But nevermind that, this car looks NOTHING like the Tesla.

RE: falureS
By bigi on 10/19/2013 10:31:13 AM , Rating: 3
Apprently you have no clue.

Fisker did the initial design of Model S. He kept doing terrible on purpose and then he suddenly left Tesla and created his company.

"This is about the Internet.  Everything on the Internet is encrypted. This is not a BlackBerry-only issue. If they can't deal with the Internet, they should shut it off." -- RIM co-CEO Michael Lazaridis

Copyright 2016 DailyTech LLC. - RSS Feed | Advertise | About Us | Ethics | FAQ | Terms, Conditions & Privacy Information | Kristopher Kubicki