Secretary Chu Announces Closing of $465 Million Loan to Tesla Motors

[and-justice-for-all]

January 21, 2010

Secretary Chu Announces Closing of $465 Million Loan to Tesla Motors
Projects Supported by DOE Expected to Create Over 1600 Jobs in California

Washington, DC – Today, Secretary of Energy Steven Chu announced the Department of Energy has closed its $465 million loan with Tesla Motors, Inc. for construction of a manufacturing facility in southern California on the Model S electric sedan and a power-train manufacturing facility in Palo Alto, California. The Palo Alto facility will assemble electric vehicle battery packs, electric motors, and related electric vehicle control equipment, both for Tesla’s own electric vehicles and for sale to other automobile manufacturers.

The agreement was negotiated and signed by the Department’s Loan Programs Office, which supports the development of innovative, advanced vehicle technologies to create thousands of clean energy jobs while helping reduce the nation’s dependence on foreign oil.

“This is an investment in our clean energy future that will create jobs and reduce our dependence on foreign oil,” said Secretary Chu. “It will help build a customer base and begin laying the foundation for American leadership in the growing electric vehicles industry. This is part of a sustained effort to develop and commercialize technologies that will be broadly deployed throughout the American auto industry.”

More: http://energy.gov/news2009/8538.htm

[Ozymanithrax]

1. I want one of those...

http://www.teslamotors.com/models/

Very sweat ride. Now, if I can just find the casth.

[high density]

5. $7500 federal tax credit?

The car looks great, I just wonder if it's prudent to be giving tax breaks on $50k+ cars, electric or not.

[Ozymanithrax]

9. If you build a market, the price will come down over time.

But, it is the part of the care that isn't covered by $7,500.00 that is worrisome.

[HiFructosePronSyrup]

2. Closing meaning that they've finalized the agreement.

Not to be misconstrued as canceling the loan.

[nemo137]

7. Thanks, I did a double take there.

[LynneSin]

3. This is great stuff and will not only create jobs but help the environment too

http://karma.fiskerautomotive.com/

Thanks to these programs, we're getting a Fisker plant here in Delaware (it'll be the competition to Tesla). In the past 5 years we saw 2 of our plants, a GM and a Chrysler(which btw back in the 60's, Reggae legend Bob Marley use to work at that plant) shut down - putting 1000s of union employees out of work.

The Chryler plant was sold to the University of Delaware but the Fisker plant will help provide jobs to many of those Union members who want to stay in the area and get back to work. It's the perfect location for an automotive plant too. The GM plant has railroad tracks running right thru it - so new cars can be loaded and shipped up north to states that not only have the income to buy these cars (they'll be priced to complete with Lexus/Acura/BMW/Mercedes) but more likely to find the mentality of people who want environmentally friendly cars!

[gateley]

4. I've been a fan and big supporter (in spirit, not $$$) since day one. Three of Tesla's

staff were killed in a small plane crash the other day, I'm sorry to report.

I wish Tesla all the success in the world!

[Romulox]

6. This is basic operating capital for a company that is otherwise insolvent.

I wonder if any powerful and connected people sit on their board?

[boppers]

8. Ever heard of PayPal?

Some serious money is in this:
http://www.teslamotors.com/media/company_board.php

[Change Happens]

10. Love this President and his policies so far...Well done!