The time has come: Fisker has filed for bankruptcy
After many signals suggesting that it would happen, Fisker has officially filed for bankruptcy.
The chapter 11 filing came late Monday night in Delaware, where Fisker is incorporated. Soon after, Fisker posted a statement on its website.
In the statement, Fisker blamed “market and macroeconomic headwinds that have impacted our ability to operate efficiently.” It is seeking to sell its assets under bankruptcy, which number somewhere between $500 million and $1 billion in value.
The statement continues with some details that may be of interest to customers, including the mention of “preserving certain customer programs” while the company continues “reduced operations.”
The announcement doesn’t come as a surprise, as Fisker reportedly hired bankruptcy consultants in March, and missed a loan payment earlier this month. It had sought investment from a “large automaker,” thought to be Nissan, but those talks fell through. And last month, Fisker filed for the equivalent of bankruptcy in Austria, where its contract manufacturer Magna Steyr is located.
LOS ANGELES (June 17, 2024) – Fisker Group Inc. (“Fisker”), the operating subsidiary of Fisker Inc., today announced that it filed for Chapter 11 protection in the District of Delaware on June 17,2024. It is in advanced discussions with financial stakeholders regarding debtor-in-possession financing and the sale of its assets.
“Fisker has made incredible progress since our founding, bringing the Ocean SUV to market twice as fast as expected in the auto industry and making good on our promises to deliver the most sustainable vehicle in the world,” said a Fisker spokesperson. “We are proud of our achievements, and we have put thousands of Fisker Ocean SUVs in customers’ hands in both North American and Europe. But like other companies in the electric vehicle industry, we have faced various market and macroeconomic headwinds that have impacted our ability to operate efficiently. After evaluating all options for our business, we determined that proceeding with a sale of our assets under Chapter 11 is the most viable path forward for the company.”
Fisker’s previously announced manufacturing pause will remain in place. Fisker intends to file certain customary motions with the Bankruptcy Court to ensure its reduced operations are able to continue, including paying employee wages and benefits, preserving certain customer programs, and compensating needed vendors on a go-forward basis. Fisker Inc. and other U.S. subsidiaries, as well as subsidiaries outside the U.S., are not included in the Chapter 11 filing at this time.
Fisker statement on its bankruptcy filing
So, Fisker has been on the ropes for some tim, showing significant financial difficulties for most of the past year.
The company was able to start delivering its Ocean SUV just about a year ago, reportedly even with positive gross margins due to its contract manufacturing structure.
However, it ended up having sales and inventory problems over the past several months. While Fisker has produced around 10,000 vehicles, it had only delivered about half of those at the close of last year (which is the most recent information we have – Fisker didn’t file a quarterly report in Q1 of this year). Fisker recently cut prices on its inventory vehicles after pausing production and trying new sales methods to try to draw down inventory.
We were some of the first media to get an Ocean for an overnight review back in November, and we found it an attractive vehicle with some neat features, but that all parts of the vehicle’s software were simply not ready for prime time. Reviews by other media mostly echoed these same points. Software updates eventually fixed some of these problems, while leaving many others intact.
During its rocky Ocean launch, Fisker still introduced some hot new concept vehicles last year – the Ronin supercar, Alaska truck, and Pear utilitarian economy vehicle. We were particularly looking forward to the Pear, but today’s announcement suggests we might be waiting forever.
FTC: We use income earning auto affiliate links. More.
A fascinating new test highlights the impressive difference EV-specific tires can make on the efficiency of a Tesla Model 3 – though it would also apply to other vehicles.
Electric vehicles have had an interesting impact on the tire industry. Like many other aspects of cars, electric vehicles have pushed tires toward efficiency optimizations.
Several tire manufacturers have been releasing tires optimized for the weight and efficiency needs of electric cars.
Tire Rack, an online tire retailer, has decided to put those tires to the test in a Tesla Model 3 on a 100-mile loop.
The results were really interesting as they highlight how big of a difference on efficiency tires can make.
Here are the results:
- Hankook iON evo AS: 263 Wh/mile
- Goodyear EcoReady: 269 Wh/mile
- Continental ProContact RX (T1): 272 Wh/mile
- Goodyear ElectricDrive 2: 274 Wh/mile
- Yokohama ADVAN Sport EV A/S: 274 Wh/mile
- Pirelli P Zero (PZ4): 274 Wh/mile
- Bridgestone Turanza EV: 276 Wh/mile
- Michelin Pilot Sports 4S: 290 Wh/mile
- Michelin Pilot Sports All Season 4: 292 Wh/mile
They were all tested on the Model 3 with 18″ wheels except for the EcoReady, which was tested on 19″ and certainly negatively affected the results.
Regardless, this shows a 29 Wh per mile difference in efficiency between the most efficient and less efficient EV-optimised tires. That’s very interesting.
However, efficiency is not everything. Tires are also about performance, safety and longevity.
Tire Rack also tested them on the track, both dry and wet, and did some stopping tests.
Here our the rankings based on the track results (score out of 10):
- Michelin Pilot Sports 4S: 7.84
- Pirelli P Zero (PZ4): 7.74
- Continental ProContact RX (T1): 7.62
- Goodyear ElectricDrive 2: 7.32
- Michelin Pilot Sports All Season 4: 7.11
- Goodyear EcoReady: 7.10
- Hankook iON evo AS: 7.09
- Yokohama ADVAN Sport EV A/S: 6.96
- Bridgestone Turanza EV: 6.92
As you can see the second to least efficient tire scored the best on the track. You have to make compromises.
FTC: We use income earning auto affiliate links. More.
Environment
The UIM E1 World Championship adds Lake Como GP to its 2024 electric boat racing calendar
Nascent electric boat racing series E1 recently completed its third Grand Prix of its inaugural season. As the nine initial teams, led by a mix of celebrities and professional athletes, compete around the globe en route to the championship in Hong Kong this fall, E1 has added another gorgeous location for a summer GP – Lake Como.
The UIM E1 World Championship is a young but exciting new electric racing boat series announced in 2022. Since then, co-founders Rodi Basso and Alejandro Agag have assembled an impressive roster of team owners, including Tom Brady, Rafael Nadal, Steve Aoki, Sergio Perez, and, most recently, Will Smith.
E1 kicked off its inaugural season in February with the Jeddah GP in Saudi Arabia, in which Team Brady took 1st place, followed by Team Rafa. Brady’s team would score a second win during the series’ Venice GP in May, leading in points heading into the Puerto Banús GP in Spain, which took place earlier this month.
Team Miami, led by Marc Anthony, took first and now leads in overall points as we approach GP #4, which will take place in Monaco next month. Today, E1 announced Lake Como as a new addition to the 2024 race calendar alongside some slight changes to the number of total GPs this year.
E1 will race on beautiful Lake Como this August
Per a release by E1 earlier today, it has added the Lake Como GP to the 2024 race calendar, scheduled for late August.
The race across the waters of gorgeous Northern Italy will depart from the world-renowned Grand Hotel Villa d’Este in a nine-team bout that hopes to promote electric motorsports and draw awareness to sustainability across the world’s precious marine-centric regions. Per E1 CEO and co-founder Rodi Basso:
A destination that’s synonymous with luxury and elegance, Lake Como and the iconic Villa d’Este are the perfect fit for E1. The Lake provides ideal racing conditions that will amplify the jeopardy and competitiveness that has quickly become a hallmark of the Championship. Together with Villa d’Este, we will work to deliver a memorable and world-class race weekend experience unlike any other.
Like all E1 events, the UIM Championship will work alongside local partners, like Hotel Villa d’Este, to protect blue habitats like Lake Como. The addition of the Lake Como GP is a welcomed one but alters the original 2024 race calendar announced by E1 last December.
The race on Lake Como will replace a previous GP scheduled in Rotterdam, Netherlands, this September. We also noticed E1 nixed a separate GP in Geneva, which was originally scheduled for this coming weekend. Here’s how the revised race schedule now looks:
- Monaco – July 27-28
- Lake Como – August 23-24
- Hong Kong (Championship) – November 9-10
With only three Grand Prix remaining this season, the title as the first-ever UIM E1 World Champion is still up for grabs. We will be following this exciting new electric boat racing league throughout the rest of 2024 and are working on attending a race event to share the experience with you.
FTC: We use income earning auto affiliate links. More.
With another low-cost (under $35K) electric car launching next year, Kia is setting an ambitious goal. Kia will launch EV4 production in early 2025, aiming to build 70,000 models a year to meet the demand for affordable EVs.
A new affordable EV is coming next year
Kia unveiled the EV4 last October as part of its new lineup of mass-market electric vehicles. According to Kia, the EV4 “redefines the electric sedan.”
The EV4 will join the EV3, which launched in Korea earlier this month. Kia opened EV3 orders in its home market, starting at $30,700 (KRW 42.08 million). With incentives, Kia expects EV3 prices will fall to as low as $29,200 (KRW 39.95 million).
Kia aims to sell 18,0000 EV3 models by the end of 2024. Next year, the EV3 will launch in Europe and the US.
The EV3 is expected to start at around $30K to $35K as one of the most affordable EVs. With Kia reportedly planning to build the EV3 in Mexico, federal incentives like the EV tax credit could drive prices even lower.
Kia to launch new EV4 in 2025
Kia previously revealed plans to “sequentially” launch its new affordable EV lineup. Following the EV3 debut this year, Kia’s EV4 will follow in 2025.
According to local news outlet ETNews, Kia will launch EV4 production in March 2025. Kia produced its first prototype last month and is already testing the production model in various markets.
Kia will finish EV4 development by February, while production is slated to begin at its Gwangmyeong Plant 2 in March.
With its unique design and low starting price, Kia expects the EV4 to fill a void in the market. It aims to build 70,000 EV4 models a year.
Including 100,000 EV3s, Kia expects production to reach 170,000 annually. The report also notes Kia could build the EV4 in overseas markets.
Ahead of its official debut, the EV4 was spotted out in the wild last week (Check out the video here). You can see the EV4’s distinct rear end as it passes by.
Kia’s EV4 represents its “determination to push boundaries and accelerate the EV Revolution.” It will include Kia’s latest software and connectivity tech (including its new ccNC infotainment).
The EV4 is expected to start at about the same price ($30K) as the EV3, if not slightly more. Kia will launch the EV4 in Korea first, followed by Europe, the US, and other global markets.
Kia’s EV4 will compete against the Tesla Model 3 and Hyundai IONIQ 6 in the electric sedan segment.
Kia is aiming to sell 307,000 EVs this year. By 2027, Kia expects to sell 1.6 million as it builds a full lineup of 15 electric cars.
Source: TheKoreanCarBlog, ETNews
FTC: We use income earning auto affiliate links. More.
-
Sports2 years ago‘Storybook stuff’: Inside the night Bryce Harper sent the Phillies to the World Series
-
Sports3 months agoStory injured on diving stop, exits Red Sox game
-
Sports1 year agoMLB Rank 2023: Ranking baseball’s top 100 players
-
Environment1 year agoJapan and South Korea have a lot at stake in a free and open South China Sea
-
Sports8 months agoGame 1 of WS least-watched in recorded history
-
Sports3 years ago
Team Europe easily wins 4th straight Laver Cup
-
Environment1 year agoGame-changing Lectric XPedition launched as affordable electric cargo bike
-
Environment1 year agoTesla advances Powerwall pilot project with German electric company