Corporate News: Electric-Car Designer Cuts 150 More Staffers
Fisker Automotive Inc., the electric-car maker, has dismissed 25% of its workforce, about 150 of its 200 employees. Fisker has been struggling to attract investors that would help resume vehicle production. It was discussing an acquisition or partnership with at least two interested parties, but those discussions fell through last month. The company has even hired lawyers at Kirkland & Ellis LLP to restructure and consider a bankruptcy-protection filing. The U.S. government has special interest in Fisker’s performance because the company is one of thirty projects involved in the Department of Energy’s Advanced Technology Vehicles Manufacturing Loan Program. Fisker is due to make a payment on April 22, but a DOE spokeswoman expressed that the DOE “is committed to the best outcome for taxpayers.”
This invested interest of the U.S. government in Fisker is reminiscent of the Chinese government’s involvement in solar panel manufacturers. Both countries are exploring environmentally friendly investment options, but both have seen disappointing performances from their chosen companies.
Written by: Constantine Kostikas
Source: The Wall Street Journal