Tesla looking for $350 million in government loans to build electric-sedan

As announced last month, Tesla Motors had submitted an application for about $400 million in financial aid for two projects including the upcoming Model S Sedan. Tesla’s CEO Elon Musk said today that it will have to further delay the introduction of its $57,499 Model S Sedan if the company doesn’t receive at least $350 million in government loans.
Musk said that Tesla won’t be able to open the $250 million manufacturing facility in San Jose, California that will produce the new electric sedan. He said that with government funding, it can start selling 20,000 units of the sedan annually by 2011.


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E36er - 12/10/2008 12:12:06 PM

+4 Boost

What, suddenly everyone wants a hand out during hard times! Why don't the get Porsche to buy them out since they're already reverse engineering the Tesla anyway.

thstone - 12/10/2008 2:19:14 PM

+2 Boost

Let's see... they spent all of their private investment money building a $109,000 sports car for the uber-rich. Now, they want $350M of taxpayer money to build a $57,000 sedan for the regular rich?

Sure, for 51% ownership of the company (preferred stock, non-diluting, etc) and a majority on the Board.

That is the deal that the vulture capital guys would want, so its about time that the taxpayers start cutting the same deals.

sizquik - 12/10/2008 3:40:45 PM

0 Boost

Elon Musk has more money than God. No way.

veyron1001 - 12/10/2008 5:59:16 PM

0 Boost

Hmm a slow electric car or the Nissan GTR? I think its quite obvious what I am going to choose.