Wednesday 23rd September 2009

Fisker Gets 529 Million USD Loan

US Government pumps more cash into green car future

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US hybrid car startup Fisker Automotive has been awarded a 529 million USD loan from the US Department of Energy. The loan is conditional, and will be used by Fisker to develop the two lines of plug-in hybrids currently on the company's drawing board.

Initially, the much-publicised Karma project will receive 169.3 million USD of the loan to help with final pre-manufacture development ahead of the luxury car's scheduled launch next summer. This part of the loan is also earmarked for developing the tools and equipment needed for future production and models.

Indeed, in the second stage of the loan the other 359.4 million will be pumped into the first of those future models, currently known as 'Project Nina'. Conceived as a more affordable family saloon, 'Nina' should cost somewhere in the region of 40,000 USD (£24,351) when it goes on sale in late 2012, and Fisker hopes to produce an ambitious 75,000 - 100,000 of them every year.

It remains a sensitive time to talk about large-scale government loans in a recession-hit US, but in a press release Energy Secretary Steven Chu highlighted the welcome creation and maintenance of jobs in both production and parts supply that the Fisker cars will secure, as well as a range of other social and political justifications for the significant loan.

"Plug-in hybrid electric vehicles could revolutionize personal transportation and cut our dependence on foreign oil, not to mention give us cleaner air and less carbon pollution", he said.

The money for the loan comes from the Department of Energy's $25 billion Advanced Technology Vehicles Manufacturing loans program, which earlier in the year also awarded 465 million USD to Tesla. But all this is small beans compared with the 5.9 billion going to Ford and 1.6 billion to Nissan, as the US attempts to position itself as a significant player in the 'green' automotive future.

[Staffy1984]

If 'green' cars look like this then I want one.....but not in Green!!!

[A911DOM]

and what if the development process doesnt go well?

The word LOAN implies that this is only being lent to the company, or am I missing something with the government / money / loan thing?

[ivanj]

Why does the car have a tash?

[GranTurismoMan]

Christ, don't let Gordon Brown know or he'll be throwing our cash at G-Wizz! That Fisker looks pretty good but price wise it ain't exactly transport for the masses!

[GTRene]

the looks are very good for a 4 seater, the price seems fair too.



GTRene

[Mr Gear]

I'd rather they throw money at Fisker to develop something for the future than at the old dinosaurs who can only piss it away for so long before it starts to look like a bad joke.

[toohuge]

That is an awful lot of money to loan an emerging car company. How long will it take to pay back etc?

i presume the US government has done this to claim this as an investment to the environment.

[[AJ]]

That 'tash' grill really spoils the look of what's generally an ok looking car.

[Staffy1984]

GranTurismoMan said:

Christ, don't let Gordon Brown know or he'll be throwing our cash at G-Wizz! That Fisker looks pretty good but price wise it ain't exactly transport for the masses!

but it's the same price as a well specced golf GTI, is that not transport for the masses?

[johno_VR6]

[AJ] said:

That 'tash' grill really spoils the look of what's generally an ok looking car.

Have to agree, something very "Pontiac-esque" about it...

[Mr Gear]

Staffy1984 said:

GranTurismoMan said:

Christ, don't let Gordon Brown know or he'll be throwing our cash at G-Wizz! That Fisker looks pretty good but price wise it ain't exactly transport for the masses!

but it's the same price as a well specced golf GTI, is that not transport for the masses?

That's the projected price "project Nina" saloon car. Project Karma will be closer to £100,000 I think.

[Quattronaut]

What happened in the end with the spat between Fisker & Tesla?

I thought Tesla were suing them for stealing intellectual property rights - via a supplier IIRC

[GranTurismoMan]

Mr Gear said:

Staffy1984 said:

GranTurismoMan said:

Christ, don't let Gordon Brown know or he'll be throwing our cash at G-Wizz! That Fisker looks pretty good but price wise it ain't exactly transport for the masses!

but it's the same price as a well specced golf GTI, is that not transport for the masses?

That's the projected price "project Nina" saloon car. Project Karma will be closer to £100,000 I think.

Thanx chap, saved me having to correct him! Pistonheads: reading the whole article DOESN'T matter! Lol

[Mr Gear]

Quattronaut said:

What happened in the end with the spat between Fisker & Tesla?

I thought Tesla were suing them for stealing intellectual property rights - via a supplier IIRC

It's been resolved. Tesla had to pay $1,000,000 legal costs to Fisker.

[Quattronaut]

Mr Gear said:

Quattronaut said:

What happened in the end with the spat between Fisker & Tesla?

I thought Tesla were suing them for stealing intellectual property rights - via a supplier IIRC

It's been resolved. Tesla had to pay $1,000,000 legal costs to Fisker.

Ooops.

Still, I imagine Elon's wallet can stretch to that. I notice on Tesla's site he's described as 'Chairman, Product Architect and CEO'. Busy boy.

[lemuff]

The Fisker Karma will be priced around 75,000GBP from what i hear, maybe less. They have announced and EU selling price of 75,000 Euro, which would be a left hand drive version, right hand drive will no doubt be much later and differently priced.

[ctallchris]

toohuge said:

That is an awful lot of money to loan an emerging car company. How long will it take to pay back etc?

i presume the US government has done this to claim this as an investment to the environment.

They lent a lot to Tesla too.

Given that these companies need to set up large scale manufacturing facilities to enable these electric / series hybrids to become competitive with the mainstream. To be honest they are probably trying to fill some of the rotting car manufacturing facilities around Detroit where entire towns have become abandoned because the car industry is dieing.

Personally i think it looks awesome and for that price with its level of performance it'll certainly appeal to a large segment of the luxury car industry. The only real marker of whether they will be successful in the uk is the job they do on the inside and handling. Waiting on the first set of reviews...

Also they have quite a good website so you can actually look up the price

Edited by ctallchris on Wednesday 23 September 14:57

[Mr Gear]

Slightly irritating presenting going on here, but this video is useful for showing you the detail on the Karma. It really does look good to go in 2010 as promised: http://www.youtube.com/watch?v=vu1JqSXgQS8

[Staffy1984]

GranTurismoMan said:

Mr Gear said:

Staffy1984 said:

GranTurismoMan said:

Christ, don't let Gordon Brown know or he'll be throwing our cash at G-Wizz! That Fisker looks pretty good but price wise it ain't exactly transport for the masses!

but it's the same price as a well specced golf GTI, is that not transport for the masses?

That's the projected price "project Nina" saloon car. Project Karma will be closer to £100,000 I think.

Thanx chap, saved me having to correct him! Pistonheads: reading the whole article DOESN'T matter! Lol

Fair play, I clearly skim read the whole thing, not something I would normally do, and I paid the price..... oh the shame

[Bucket O Frogs]

Looks great, but I don't think I'd buy one because the name Fisker makes it sound like a food blender

Thinks - hmm might start my own eco car company, if governments are handing out cash. I'll call it........Arse Whisk!