If Fisker looked like it had troubles while it was still making cars, its present state of affairs makes the former times of unexpected price increases, delays, recalls, bad reviews, and lost DOE loans look like the good old days.
This month the company was hit with three lawsuits, laid off 80 percent of its workers, was awarded but a pittance of the amount it sought from A123 Systems, and must make its first installment on a $193 million Energy Department loan in a few days.
One suit as reported by GIGAOM was from its landlord which said five days ago Fisker has five days to pay $174,000 in rent for April or it will be evicted.
Another is a class-action suit by the employees it let go without being given 60-days notice under the WARN act.
Another suit also reported by GIGAOM is from its Web designer alleging Fisker owes $535,000 in unpaid bills.
The company has no real revenues coming in, is estimated to have $20 million cash on hand, and was waiting for the outcome of a suit of its own against the former A123 Systems now re-named B456.
(As a side note, no word was given as to whether the battery maker might later be re-named C789, or D101112, or E131415, or … )
Coming back on topic, Fisker had sought $139.9 million from its former battery supplier in Delaware bankruptcy court. Of this, $48.7 million was for breach of warranty, and $91.2 million was to compensate Fisker for A123’s failure to fulfill its contract.
The judge threw out the $91.2 million claim, and awarded but $15 million out of the primary claim to poor Fisker.
On Monday, Earth Day, Fisker is due to pay $20.2 million as its first installment on the $193 million it borrowed through an Energy Department loan, according to the Wall Street Journal.
And last week, the Wall Street Journal reported House Republicans are asking for a day of reckoning – formally known as a hearing – scheduled April 24.
This meeting of the minds will see Darrell Issa (R-CA) inquire of Fisker officials, including now-departed Henrik Fisker, CEO Tony Posawatz and COO Bernhard Koehler.
Issa told Automotive News that Fisker “is a design company, not a manufacturing company. It was destined to fail from the beginning. The greater concern is, does this affect more viable companies, whether they received loans or not?”
Does anyone think Fisker will not soon file the bankruptcy documents it has already had drawn up?
The rhetoric has been flying, and will continue no doubt. In our observation, Fisker has NOT often been fairly represented, and has often been painted from bad-to-the-worst possible light. No doubt as things have been, so shall they continue.
Now faced with several leaks in its proverbial ship we expect Fisker to be held up as an example by anyone and everyone who wants to make a point, be it well founded or not.
Some of you here at GM-Volt.com may already be pretty positive the world will be a better place with Fisker gone too.
But could it have gone down differently? What would it have taken for Fisker to still be up and running, even giving Tesla a run for its money?
Where did it all go wrong? Was it nothing but a fiasco to begin with? Is Issa right?
Or does somewhere in the middle, the truth lie?
This entry was posted on Thursday, April 18th, 2013 at 5:55 am and is filed under General. You can follow any responses to this entry through the RSS 2.0 feed. Both comments and pings are currently closed.