Posted on 06/18/2024 5:11:09 AM PDT by T.B. Yoits
Fisker Group Inc., the EV startup founded by famed designer Henrik Fisker, filed for Chapter 11 bankruptcy protection — a capstone to months of problems with its Ocean SUV that included recalls and dozens of lemon law lawsuits.
The California-based company, which filed for bankruptcy in Delaware District Court, had been seeking a deal with another automaker in a last-ditch effort to rescue the enterprise. The company estimated assets of $500 to $1 billion and liabilities of between $100 million and $500 million, according to the filing.
Fisker reported between 200 and 999 creditors, including SAP, Adobe, Salesforce and Ansys, according to the court document that was filed late Monday. The filing comes just a year after Fisker delivered its all-electric vehicle, the Ocean SUV, to customers.
The much-hyped EV was troubled from the start, with customers reporting an array of software and mechanical problems shortly after taking delivery. Internally, the company struggled to stand up sufficient customer service and maintenance efforts, and even had trouble keeping track of its money, according TechCrunch’s previous reporting.
Fisker attempted to preserve cash in the last few months through several rounds of layoffs and other cost-cutting measures. It also changed its business model. Earlier this year, Fisker shifted away from selling directly to customers — a system Tesla has popularized — and instead tried to partner with established dealers. Ultimately, the efforts weren’t enough to save the company from bankruptcy.
This is the second vehicle company Henrik Fisker named after himself that has wound up in bankruptcy. His first effort, Fisker Automotive, was started in 2007 and filed for bankruptcy protection in 2013. That company similarly got its vehicle — a hybrid electric sports car — into production on the road before running into quality problems and other external factors that proved fatal.
(Excerpt) Read more at techcrunch.com ...
Well, as they say, Karma sucks...
“Fisker Automotive, a luxury plug-in hybrid electric vehicle manufacturer, received significant government subsidies during its existence. One of the most notable subsidies was a $529 million loan from the United States Department of Energy (DOE) in 2009.”
We been ROBBED!
As expected from any startup using government funding.
These high tech green companies only exist as long as the government subsidizes them. Guaranteed no one on the inside was hurt as they planned this from the beginning.
Solyndra on wheels.....................
2009?, hmmmm,.....who was POTUS and VPOTUS then?......................
2009?, hmmmm,.....who was POTUS and VPOTUS then?......................
At least he is spending a lot money for others to get.
EVs are a long way from being a household auto. jmo
Money laundering for leftists?
“In the case of Fisker specifically, conservatives should recognize the importance of California venture-capital firm Kleiner Perkins Caufield & Byers — which is one of Fisker’s larger investors, having contributed mightily to its initial $1.1 billion capital infusion. The company is teeming with political connections.
Al Gore joined Kleiner Perkins as a senior partner in 2007 — to save the planet, CNN reported. Top Kleiner Perkins executives have given more than a million dollars to federal candidates and parties since 1991, most of it going to Democrats. Obama himself has received $19,000 from the company’s employees.
While Gore is the most famous Kleiner Perkins executive, John Doerr, another senior partner, has also been very active in liberal politics. He currently sits on the president’s Economic Recovery Advisory Board, and hosted President Obama at his home for a dinner with top Silicon Valley executives in February. Doerr was also very active in pushing the Global Warming Solutions Act, California’s punitive 2006 carbon-emissions law.
According to the Center for Responsive Politics, Brook Byers, also a major partner, has made $391,110 in political contributions since 1990, $148,500 of which went directly to the Democratic party (most of the rest went to individual Democratic candidates). Kleiner Perkins co-founder Frank Caufield’s $394,950 in political contributions since 1990 have gone almost entirely to Democrats. Another top partner, David Blood, helped organize a $2,300-a-head fundraiser for Candidate Obama in 2008.
Vice President Joe Biden’s October 2009 visit to Fisker’s Delaware production facility has fueled criticism of the $529 million in taxpayer financing for the company. But Fisker was not the only Kleiner Perkins–backed company to enjoy a visit from a top administration official.
Electric-vehicle manufacturer Proterra hosted Transportation Secretary Ray LaHood at its Greenville, S.C., production facility in January. LaHood touted the visit on his blog under the headline “Winning the future, Proterra style.” Energy Secretary Steven Chu toured the Las Vegas production facilities of solar-panel manufacturer Amonix in June “to see first-hand how the Obama Administration’s renewable energy policies are turning into economic activity and energy independence.” Amonix and Proterra both received financing through Obama’s stimulus package — $5.9 million for the former, and $6.6 million for the latter.
Amonix, Proterra, and Fisker are three of at least nine companies financed by Kleiner Perkins that have received taxpayer backing in the form of direct payments, contracts, or preferable tax treatment. The others include EdeniQ, FloDesign, MiaSole, Primus Power, QuantumScape, and TAS Energy. Kleiner Perkins did not respond to a request for comment on this story.
With vocal protest movements on the left and right speaking out against crony capitalism and a congressional supercommittee searching for savings, the realization that stimulus spending privileges the connected could lend some popularity to a fiscal policy that rewards economic merit rather than political muscle.”
https://www.heritage.org/budget-and-spending/commentary/fiskers-political-connections
Henrik baby, cars are just not your thing, and least under your leadership. Stick to design.
CC
They filed for 11, not 7.
Bad news for taxpayers.
“...received significant government subsidies during its existence.”
There’s one of the gems. My first question when reading the headline was, how did the investors and founders do?
Something tells me they aren’t sleeping in allys eating out of dumpsters.
It took them longer than Solyndra to crater, I’ll give them that.
Note this bit...
...Vice President Joseph Biden heralded the Energy Department's $529 million loan to the start-up electric car company called Fisker as a bright new path to thousands of American manufacturing jobs. But two years after the loan was announced, the company's manufacturing jobs are still limited to the assembly of the flashy electric Fisker Karma sports car in Finland...
Talk about SSDD.
Assets > Liabilities? How are they bankrupt?
Oh my more unrecyclable waste created
That was fast.
Boom. Excellent info, thank you.
One of the most notable Fisker subsidies was a $529 million tax-subsidized government
loan from the United States Department of Energy (DOE) in 2009, facilitated by Biden.
Fisker went belly-up shortly after getting the govt money .......and giving Hunter Biden a free car.
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