Friday's The Big Day ... Or Is It?

[CompTrex]

It's interesting that your ID showed up on Feb 9 and you immediately started questioning the financial viability of EM.
And it's only your 8th post.
Is the moss under your bridge drying up from the drought?

Give him a break. He's an over-achiever!

 

[Mike W]

I feel the same way about weekends when I can't be following every single thread. I hate missing stuff. Actually, if you guys would just tag me in every post that you think I may find interesting or funny, I'd sure appreciate it. (I'm KIDDING! Don't do this!)
My wife has threatened to make my phone - how I access elioowners.com on the weekends - a permanent part of my anatomy if I don't put it down every once in a while.

Are you suggesting a surgical implanting process without physician assistance? Hmm, I think I would go with your wife's suggestion and practise abstinence, that sounds like the best course of action!

 

[NSTG8R]

Are you suggesting a surgical implanting process without physician assistance? Hmm, I think I would go with your wife's suggestion and practise abstinence, that sounds like the best course of action!

Good thing Comp's not using a tablet!!

 

[CompTrex]

Good thing Comp's not using a tablet!!

Amen to THAT!

 

[JEBar]

Good thing Comp's not using a tablet!!

outstanding ...

 

[Rickb]

I heard that Elio had paid for all the testing up front, so funding was NOT the issue. Hmm...o_O

I assume the cost of developing and testing a totally new engine design runs in the millions. EM had funding to pre-pay? EM still owes money for the equipment that sets idle in the plant that was going to be paid for by proceeds from the sale of the excess equipment.

 

[WilliamH]

I assume the cost of developing and testing a totally new engine design runs in the millions. EM had funding to pre-pay? EM still owes money for the equipment that sets idle in the plant that was going to be paid for by proceeds from the sale of the excess equipment.

assume = ass--u--me
And you have personally done an audit of their books?
Or perhaps one by well known firm of Price, Watercloset, and Saniflush?

 

[JEBar]

I assume the cost of developing and testing a totally new engine design runs in the millions. EM had funding to pre-pay? EM still owes money for the equipment that sets idle in the plant that was going to be paid for by proceeds from the sale of the excess equipment.

that's my understanding as well

 

[Rickb]

assume = ass--u--me
And you have personally done an audit of their books?
Or perhaps one by well known firm of Price, Watercloset, and Saniflush?

EM said they lack funding. No audit needed. You don't make assumption based on speculation? Every post you and I make is based on assumption. Hell, EM is making assumptions along the way causing delays after delay and I hope in the end it doesn't = ass-u-me.

Note: My assumption was engine cost. My question was did EM have the funds to pre-pay for it's development.

 

[goofyone]

I assume the cost of developing and testing a totally new engine design runs in the millions. EM had funding to pre-pay? EM still owes money for the equipment that sets idle in the plant that was going to be paid for by proceeds from the sale of the excess equipment.

The pre-payment information came out of the last town hall meeting straight from Paul Elio. PE was asked how the funding shortfall would affect the engine development timeline and he answered that the current engine testing would not be affected at all as EM pays IAV in advance for each stage of the process. What could be affected is the next step where additional engines need to be built with any revisions the engineers recommend and then those tested both in the lab and in the field.

We know that EM has raised, and mostly used, $60+ million dollars on this project so far so they could have easily spent several million out of that paying IAV.

The, I believe roughly $15 million, cost of the plant equipment would have likely been a bit much for EM to pay at once so they did take out a loan for this amount which they hope to pay off with part of the proceeds from the equipment sales. The proceeds from the equipment sale are also supposed to net EM $40+ million after paying off the loan and paying Comau for their services which is supposed to be enough to finance the rest of the vehicle development process. Unfortunately as the refurbishment and sale process has taken longer than expected EM has had to look to raise money via other sources to complete the development process they were hoping to fund with the equipment sales alone.