The Department of Energy (DOE) guaranteed a $529 Million loan for Fisker Auto to manufacture the Fisker Karma in FINLAND, by a Finnish firm! Fisker would buy A123 System electric batteries. Ship them from the U.S. to Finland. Great planning. The orders for the Karma aren’t exactly piling up, maybe because the ridiculous vehicle gets only 20 miles per gallon when using the gasoline option. So…Fisker, reduced its battery orders (only two Karmas have actually been delivered), forcing A123, a huge Obama stimulus stash recipient, to layoff 125 employees in Michigan.
A123 was one of Michigan’s biggest winners of federal economic stimulus funding and also won major battery tax credits from the state government. In 2009, A123 received a $249 million grant from the U.S. Department of Energy and more than $125 million in tax credits from the Michigan Economic Development Corp.
In August, A123 announced they would be adding employees after signing a deal with Government Motors (GM). In that announcement, the spokeswoman explained what A123 does:
The Ann Arbor operation conducts advanced research and “government solutions.”
The government is offering solutions with taxpayer monies, given to companies who create “government solutions.” Bizarre. One of the important things to remember about the 2012 elections is that cabinet members and unelected bureaucrats will be out the door, and none too soon. Read more about Fisker here. I’ll let you know when Fisker announces bankruptcy, and your $529 Million loan guarantee kicks in.