Fisker woes deepen
In what seems like the final straw in Fisker saga, the US Department of Energy has decided to auction off the loan that it provided to the American hybrid car maker.
Back in 2009, the United States Department of Energy had extended a loan guarantee of US$529 million to Fisker under its Advance Technology Vehicles Manufacturing loan program. The troubled luxury hybrid car maker has drawn US$192 million from the agreed credit line, of which less than UD$21 million has been repaid.
Following missed deadlines, non compliance with the agreed terms of the loan and repayment defaults, the Energy Department was compelled to freeze credit lines in May 2011. This further magnified the financial troubles of the car maker.
According to Reuters, Fisker lost nearly US$35000 on each of the 2450 Karma luxury hybrid car that it has built till date. The company’s founder Henrik Fisker resigned earlier this year sighting differences with the management.
Despite the car makers troubled financial performance, a German investor group as well as a Chinese automaker have expressed their interest in Fisker. The US Energy Department will accept bids in a few weeks from now and has clearly stated that promoting manufacturing and engineering within United States is high on its priority list.
AutoMiddleEast.com expects a change of guards at Fisker and hopes the car makers comes out of troubled waters soon for one simple reasons – Fisker makes beautiful cars.