Feds Estimate It Will Lose $42 Million From Shuttered EV Van Maker

Vehicle Production Group, or VPG, suspended operations in February and laid off 100 workers. The company had paid back $5 million of a $50 million federal loan this spring, and the remainder of its debt was sold at auction this week to Humvee manufacturer AM General, which paid $3 million to buy the Energy Department loan.

VPG, of Allen Park, Mich., received a federal loan in 2011 under the same clean-energy program that provided a $529 million loan to electric car maker Fisker Automotive Inc. Fisker had received $192 million before a series of problems led U.S. officials to freeze the loan in 2011. The Obama administration has seized about $28 million from California-based Fisker, which has laid off three-fourths of its workers.

TheSteve - 9/13/2013 1:16:40 AM

+2 Boost

Chump change compared to what they lost on the Giga-dollar-bailout to GM and Chrysler. I think that $42M would even be less than the interest they'd earn if they put the bail-out money in a consumer bank account for a year.