Auto News

AutoGuide News Blog


The AutoGuide News Blog is your source for breaking stories from the auto industry. Delivering news immediately, the AutoGuide Blog is constantly updated with the latest information, photos and video from manufacturers, auto shows, the aftermarket and professional racing.
 |  Mar 13 2012, 1:31 PM

images\Fisker_203_1_1.jpg

UPDATE: The Fisker employee in question was revealed to be a Fisker retailer employee and not someone who would have inside knowledge of the company. Fisker addressed the claim, saying the information divulged by that individual is untrue. The former employee now works with EV maker Coda.

The Fisker Karma suffered a struggle-ridden launch, including a fire risk recall and a dismal Consumer Reports test. Now a former Fisker employee says the car went to market before it was production ready.

The company apparently pushed the Karma to market faster than it should have because of Department of Energy stipulations that set a timeline release on vehicles using DOE subsidies. Pending a failed timely release, the company would have lost its $529 million loan.

Another factor in the equation is Fisker’s poor financial state, which seems to have spurred the company toward rash decisions meant to keep loan money intact.

Further suggesting that the company is in dire straights, Fisker just announced a new CEO, and internal re-working of the company. Nevertheless, the company said in a recent press conference that it expected to be profitable in 2013. That statement, however, came before the most recent news that could prove to be a significant drain on sales.

[Source: Gigaom]