Tesla Motors To Pay Off Government Loan 5 Years Early

fredan sends word of a post at the Tesla Motors blog detailing how the company will be paying off its $465 million government loan 5 years early. Quoting: "This is a significant announcement both for Tesla and for the DOE. It is a marker of the successful launch of the Model S and the incredible market reaction to this award-winning car. And it is a tribute to the success of the DOE's Advanced Technology Vehicle Manufacturing Program (ATVM), a program which was chartered by Congress and signed into law by President George W. Bush, to accelerate the market for a broad range of promising automotive efficiency technologies — electric vehicles (EVs) principal among them. ... Following more than a year of thorough due diligence by commercial auditors, automotive consultants and lawyers, on January 20, 2010, Tesla became the recipient of one of three initial DOE loans announced by Secretary Chu, along with Ford and Nissan – good company for a start-up automaker. Tesla’s loan of $465 million was to be paid back over ten years following the start of production of the Model S. Months later in a separate announcement, an ATVM loan was announced for Fisker. It is worth noting that in comparison with these three other recipients, Tesla had the smallest loan. Ford’s loan was for $5.9 billion, Nissan’s was for $1.4 billion, and Fisker’s was for $529 million. ... We expect to generate sufficient cash and profitability in our business over the next five years that it gives us confidence to proceed with this early repayment of the loan. Moreover, it is also consistent with Tesla’s mantra of speed that we would, as Elon announced last week, accelerate the repayment of our loan, a full five years earlier than required under the original loan terms, making our last payment in 2017."

Re:Jackpot?

[Cpt_Kirks]

If I win the Powerball Saturday, I may buy one. If I can afford it...

Reads like a press release

[ebcdic]

Oh wait, it *is* a press release.

Re:Meanwhile..

[GodInHell]

Except oil.

Re:Gee,

[phantomfive]

Didn't you read the summary, that it was George Bush? If there was anyone who knew how to pick winners, it was Bush.

Re:Bad news for Elon haters

[tippe]

Elon is suck a jerk! I hear that the batteries he uses in his cars are manufactured from ground up puppies and baby seals. This story is the last straw, and proves that he also has it in for the economy. Can you believe he's going to deny banks and the government an additional 5 years of loan interest? What a douche....