Elio Tells Sec It Has Lost $53m So Far

[floydv]

Yeah! What he said!

I lied. It really is clear to me what Aprilia is implying, which is why I'm calling it out. It's not a fair characterization of what EM has done to secure funding, which is no easy thing post-2008 recession, especially for a startup vehicle manufacturer.

 

[3wheelin]

Yes...the ATVM might be a possible source of funding...

But IMO... it's very unlikely the Fed's will ever approve Elio's funding request...

It appears that Elio Motors has bean working to obtain government funding for the last 7 years...

Please refer to the date posted on the original Blackswan LLC registration & filing report...it's dated March 31,2009

Here's the link... http://lobbyist395.rssing.com/browser.php?indx=36992234&item=1

It is also VERY LIKELY, the Feds will approve Elio's funding request! IMO. Regardless of the fact that EM has been working to obtain government funding for the last 7 years, what's important is what's happening NOW where they are at this stage of the game where E-series are being built and tested! Can you deny the possibility that the government has been WAITING too for EM to submit their E-series report so they can have the final decision to approve the funding??? In the past 7 years, EM has nothing to show for it but their prototypes so the government has been hesitant. You see, everyone can assume the outcome, good or bad...but it's just that, assumptions! When confused, go back on your post (#11) "EM has become a coin flip...but I'm still hoping". That is a classic and a more SANE assumption even I can agree on. Don't even bother yourself with their financial situations or their SEC filings, we all know where they stand...we took the risk, they've got my non refundable 1K and that's that. If they fail, then at least I enjoyed the journey, if they succeed, then everybody's happy...hopefully you too! End of the year is still ways off so do yourself a favor, relax and do something else constructive because right now you're the one flip flopping...being negative and positive at the same time ( it's a coin flip....but I'm hoping). You've got to know where you really stand..it's either your for it, or against it! The clock's ticking!

 

[Aprilia]

Aprilia,

It really isn't clear to me what you're implying. On its face, your post seems to imply that Elio has been seeking an ATVM loan since 2009, and seven years later in 2016 there's still no word of fed action on the application, therefore it's unlikely the Feds will ever approve it.

This is, to put it bluntly, patently misleading. Blackswan was retained in 2009 by Elio to help secure funding. But as you know,the ATVM program only applied to four wheeled cars back then, so the lobbying services first had to secure statutory changes to enable the ATVM program to apply to three wheeled vehicles. This was done via amendments by Rep. Bilbray and others, but their focus at that time was to get funding for Aptera, not Elio, since Elio was barely a mere twinkle in Paul's eyes at the time.

You also know, or should know, that even though the ATVM amendments were passed in 2009, DOE didn't actually amend their program to include three wheeled vehicles until 2011. And then it took them until April 2014 to actually restart their revamped loan program. Elio submitted their application soon after and EM announced their application had passed the Phase 1 (completeness) review and went to Phase 2 (due diligence) in October 2014. You know this as well.

So your implication that EM likely won't get a loan because it's been seeking one for a long time seems disingenuous to me. Their application has been with DOE for less than two years, which doesn't seem overly long for the Feds under current circumstances.

I'm not implying any conclusion...

I have the same info with with regards to the ATVM process as everyone else... assuming they've done their homework on the subject...

But... I have a different thought process with regards to the outcome of the ATVM process for Elio... that's why I believe private capitol is the only way for Elio to raise further funding...

As always... it's just my opinion...I could be right...I could be wrong...flip a coin!

 

[Marshall]

All we are familiar with is personal finance. Business finance is probably very different. I doubt if any of us are qualified to accurately evaluate Elio Motor's financial situation.

Well then let's make a comparison.

How many of you get paid in advance? I'm sure a few do, but usually it's a contract, either oral or written which is sufficient to begin work with a promise of future payment. Your personal bank account would look pretty bad if you audited it immediately after shopping for work clothes and paying travel and moving expenses, but before you drew your first check.

 

[Marshall]

It is also VERY LIKELY, the Feds will approve Elio's funding request! IMO. Regardless of the fact that EM has been working to obtain government funding for the last 7 years, what's important is what's happening NOW where they are at this stage of the game where E-series are being built and tested! Can you deny the possibility that the government has been WAITING too for EM to submit their E-series report so they can have the final decision to approve the funding??? In the past 7 years, EM has nothing to show for it but their prototypes so the government has been hesitant. You see, everyone can assume the outcome, good or bad...but it's just that, assumptions! When confused, go back on your post (#11) "EM has become a coin flip...but I'm still hoping". That is a classic and a more SANE assumption even I can agree on. Don't even bother yourself with their financial situations or their SEC filings, we all know where they stand...we took the risk, they've got my non refundable 1K and that's that. If they fail, then at least I enjoyed the journey, if they succeed, then everybody's happy...hopefully you too! End of the year is still ways off so do yourself a favor, relax and do something else constructive because right now you're the one flip flopping...being negative and positive at the same time ( it's a coin flip....but I'm hoping). You've got to know where you really stand..it's either your for it, or against it! The clock's ticking!

If you've dealt with the government much and are not a large campaign contributor, 7 years is really not that long.

 

[Rickb]

Not sure what your link proves other than Elio Motors got serious about becoming a legitimate company back in 2009. Blackswan LLC is just a consulting firm that helps start-ups navigate the seemingly endless Gov't "red tape". Other than possibly making sure all the "T's" are crossed and "I's" are dotted in the ATVM loan application, which apparently EM passed muster on according to a quick Google search (personally, all the ATVM info bores the cr*p out of me...can't even pretend to be interested), your statement about the likelihood of the Feds approving EM's ATVM loan being "very unlikely" is baseless...IMO.

All aspects of EM's current funding status bores me too. Based on the current progress reporting on the E builds/testing and given EM's financial status it seems unlikely that the ATVM loan will be approved before production needs to start. The ATVM loan shouldn't be required to start production, with 50,000 + pre sold Elios, but rather would more likely be approved after production starts (with private funding) providing EM with working capital to drive the business and scale production. EM shouldn't require the ATVM Loan to be successful. PE said he has a Plan B so I believe he has the ability to initially start production without the ATVM loan. I ass.u.me a positive outcome.

 

[pistonboy]

All we are familiar with is personal finance. Business finance is probably very different. I doubt if any of us are qualified to accurately evaluate Elio Motor's financial situation.

Well then let's make a comparison.

How many of you get paid in advance? I'm sure a few do, but usually it's a contract, either oral or written which is sufficient to begin work with a promise of future payment. Your personal bank account would look pretty bad if you audited it immediately after shopping for work clothes and paying travel and moving expenses, but before you drew your first check.

Again, these are personal finances. I suspect big business finance has differences. I saw the head of Fiat, which purchased Chrysler, comment they were done no favors by the US government because their loan to buy Chrysler, came from the US government at 19% interest. Someone could probably make the argument that the rules of personal finance would preclude such a loan, but it was not.

I am not saying anyone is correct or incorrect. I am saying the world of big business finance (especially when the government is involved) is very different from personal finance, which is all we are familiar with.

 

[Rickb]

It is also VERY LIKELY, the Feds will approve Elio's funding request! IMO. Regardless of the fact that EM has been working to obtain government funding for the last 7 years, what's important is what's happening NOW where they are at this stage of the game where E-series are being built and tested! Can you deny the possibility that the government has been WAITING too for EM to submit their E-series report so they can have the final decision to approve the funding??? In the past 7 years, EM has nothing to show for it but their prototypes so the government has been hesitant. You see, everyone can assume the outcome, good or bad...but it's just that, assumptions! When confused, go back on your post (#11) "EM has become a coin flip...but I'm still hoping". That is a classic and a more SANE assumption even I can agree on. Don't even bother yourself with their financial situations or their SEC filings, we all know where they stand...we took the risk, they've got my non refundable 1K and that's that. If they fail, then at least I enjoyed the journey, if they succeed, then everybody's happy...hopefully you too! End of the year is still ways off so do yourself a favor, relax and do something else constructive because right now you're the one flip flopping...being negative and positive at the same time ( it's a coin flip....but I'm hoping). You've got to know where you really stand..it's either your for it, or against it! The clock's ticking!

The coin has been flipped and landed on it's edge. I'm waiting to see which direction it falls in the next few short weeks. I find myself flip flopping from week to week based on EM's Friday Blog. The coin will be pushed over soon.

 

[Marshall]

Again, these are personal finances. I suspect big business finance has differences. I saw the head of Fiat, which purchased Chrysler, comment they were done no favors by the US government because their loan to buy Chrysler, came from the US government at 19% interest. Someone could probably make the argument that the rules of personal finance would preclude such a loan, but it was not.

I am not saying anyone is correct or incorrect. I am saying the world of big business finance (especially when the government is involved) is very different from personal finance, which is all we are familiar with.

Well lets see, 19% on a loan for a dime on the dollar of value really isn't too onerous. It works out to less than 2% of value.

 

[pistonboy]

I am under the impression the DOE has made much larger loans then the EM amount, which would be "small potatoes" to the ATVM loan program. perhaps someone knows of larger mounts. If this is true, then I would think the DOE would want to risk a small amount of money to fund what might be the next "ford model T; or the next "VW bug", which influenced history. It has been proposed by some in government to get rid of the DOE because they "do nothing". I am sure the DOE wants something good they can point to in order to justify their existence.