Tesla Death Watch 38: Tesla Applies for $400m DOE Loan

Robert Farago
by Robert Farago
tesla death watch 38 tesla applies for 400m doe loan

Whilst reporting that U.S. Treasure Secretary Henry “Hank” Paulson is telling the automakers “keep your hands off my $700b stack, Jack,” Fox News reveals that Ford, GM and Chrysler aren’t the only automakers looking to tap into the $25b Department of Energy “retooling” loan program. Tiny Tesla Motors has sent in its application for $400m worth of no to low-interest loans, so it can build more $109k lithium-ion-powered two-seaters with less luggage space than a diva’s jewel-encrusted clutch bag. I kid. I kid. I think. “General Motors, Chrysler and Tesla Motors Inc. have applied for loans and Ford CEO Alan Mulally said the automaker plans to apply on Tuesday. GM, Chrysler and Ford have not disclosed the amount of funding they’re seeking from the Energy Department or for what purposes. Tesla said it was seeking about $400 million in loans for two projects.” Let’s see.. they make one car (the aforementioned Tesla Roadster) and want to make another (WhiteElephant). Is it me, or is there some sort ofinternational conspiracy to keep TTAC in mill grist? [thanks to MgoBlue for the link]

Robert Farago
Robert Farago

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4 of 11 comments
  • Bertel Schmitt Bertel Schmitt on Nov 18, 2008

    Typo in the headline, Dear Leader. Must read "DOA Loan."

  • HarveyBirdman HarveyBirdman on Nov 19, 2008

    I thought these loans were limited to companies running 20-year-old factories. Perhaps Tesla just figures it's going to end up a free-for-all shortly, and thought they might as well save their place in line.

  • Stein X Leikanger Stein X Leikanger on Nov 19, 2008

    The perception in Congress is that Tesla is doing things right ... Big talking point among Dem leaders. Which means that Tesla are reaching for the bowl - with political support. Kind of makes you fear for what kind of intelligence apparatus the politicians actually use when making decisions.

  • Rolosrevenge Rolosrevenge on Nov 21, 2008

    At least Tesla is making a car people want to buy, which is more than we can say for Detroit.