Fisker: How To Light $529 Million On Fire

by Derek Kreindler

Published: April 5th, 2013

Fisker has laid off nearly all of its rank and file employees. Reuters reports that 160 people were out of a job as of today, while 53 senior employees will stay on, apparently to help find a buyer for Fisker’s assets. Fisker is also hoping to re-negotiate a loan payment to the Department of Energy, due on April 22nd.

#Bankruptcy #DepartmentOfEnergy #Fisker #FiskerAtlantic #FiskerKarma

Derek Kreindler

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Big Al from Oz on Apr 06, 2013

I'm not anti EV. But I'm anti any goverement handout for any industry. The product obviously wasn't be sold at a high enough profit or the company would still be around. The most fundamental concept of business is you need a greater return than your loss. Even countries have to realise this.

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- CV Neuves on Apr 06, 2013
  
  "But I’m anti any goverement handout for any industry." Tell that to your government. In no time you will have no automotive industry anymore. Maybe, some geezer will come up with a new version of the Australian automotive masterpiece, the Goggomobil "Dart." I no time your country will be reduced yo a quarry with some fields, that depending on draughts and floods will provide some food. In no time, Australia can dispose of unnecessary government employees, here eg., the Immigration Department. Also, it will make housing in Australia affordable again. I like these armchair wannabee economists.
  
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- Kevin Jaeger on Apr 06, 2013
  
  @CV Neuves An entire industry will disappear if the government isn't constantly dumping cash into it to keep it alive? I think it is you who should take a refresher course in basic economics. But I guess that's the sort of thing taught in government schools these days so we shouldn't be surprised people have come to believe it.
  
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- CV Neuves on Apr 06, 2013
  
  @Kevin Jaeger Kevin, I trust you have not a basic clue what economics is concerned. The equivalent in the US is the defence industry - without that the US would have completely collapsed by now. I also understand, it is also the only acknowledged means of social policy left there. It is also serving as an instrument to distribute means from fiscally stronger states to weaker ones. This is the only real purpose of the US forking out 400 bn annually for "defence" - not because anybody would want to attack the US. Any idea, why anybody potentially would want to? Australia maintains a modest automotive industry instead - I suggest this is thoroughly ok. Your demand on me to take a "refresher course in basic (NB) economics" is just revolting. It is utmost arrogant!
  
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- Ttacgreg on Apr 07, 2013
  
  @CV Neuves Thank you for your posts. It is good when someone outside of the USA's "liberal" vs "conservative" mud wrestling propaganda mind control pit that exists in our culture, can contribute some outside perspective.
  
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- JD23 on Apr 07, 2013
  
  @CV Neuves "Kevin, I trust you have not a basic clue what economics is concerned. The equivalent in the US is the defence industry – without that the US would have completely collapsed by now." What? I don't earn my living as an economist, but I do have a degree in economics, and your contention that some industries deserve "most favored status" in the eyes of the government is an argument favored by fascists and crony capitalists. Wealth is destroyed, not generated, when the government directs capital to inefficient industries based on a notion that certain industries are critical to the well-being of the country, regardless of their competitiveness. Do the people of North Korea prosper because their government has decided to devote a larger portion of its resources to the military than any other country?
  
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- Inside Looking Out on Apr 07, 2013
  
  @CV Neuves Where money come from in US? In other countries it is traceable to real goods. E.g. in Russia any money is eventually tracked down to exporting oil, gas and other natural resources. In Germany, Japan, Korea and China - to manufacturing and export of goods. In US most manufacturing companies went bankrupt or on the way to bankruptcy. GM, Chrysler, AMC, Packard (and list gores on). Then Polaroid (now Chinese brand), Kodak (now cameras are made by Chinese company under Kodak brand), Xerox (now Fuji-Xerox based in Yokohama), Westinghouse (now Toshiba) and so on. So where money really come from? From my laymen perspective they come from printing press. Basically what happens - America prints money and exchanges it with the manufacturing countries like Germany, Japan, Korea, China to the real goods - something useful and enjoyable. These poor countries in return get some depreciating numbers in their bank accounts which have any value only if US agrees to take them back - no gold standard sorry. Of course it is a simplistic picture because some companies in US still innovate and get cash for that, but the ability and know-how to make useful good is lost some time ago and Universities making money by transferring knowledge to other countries and so on. Knowledge transfer happens in many areas. Dell transferred knowledge to Asus and now Asus is beating Dell in its own game. Further e.g. the Dell tablet - Dell only have architects and outsource all engineering to the Chinese company and tablets made by Chinese company China also. The knowledge regarding laser printers had been transferred from Xerox to Fuji and it is only the matter of time when Xerox will go bankrupt if it does not become the service company very quick. There are still some knowledgeable people in Xerox but they get older and retire and engineers were laid off long time ago and everything was outsourced to India and other countries.
  
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Lorenzo on Apr 07, 2013

I have a solution! Fisker ought to send one to Ferdinand Piech as a gift. If he likes it, he may want to buy the company!

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Pebble on Apr 08, 2013

Beautiful cars--the local Jaguar dealer is selling Fiskers here. Probably seen 3 or 4 on the road, plus another handful @ dealer. Still, this seems to be another Solyndra?

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Holydonut on Apr 08, 2013

Go here if you want to see a cut-away of what the Unibody and drivetrain structure of the Karma. http://boronextrication.com/2013/02/2012-fisker-karma-body-structure-and-battery/ It'll be tough to package any premium motor into the available space. I guess you could do a V6 up front and a flat four in back? Don't know how you'd fit a transmission anywhere though.

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