autoevolution
Car video reviews:
 

Battery Maker A123 Systems in Trouble?

Starting off as a Massachusetts Institute of Technology (MIT) spin-off in 2001, it took A123 System 8 years to go public, in 2009 and now the company makes automotive battery packs for Fisker and GM. The company also won contracts to make batteries for other big companies, like BMW and Tata Motors.
Chevy Volt Battery Pack 1 photo
However, after reporting $100- (€80-) million losses earlier in the year, the figure has now grown to $125- (€100-) million for Q1 2012. With revenues falling by 40%, the company only made $10.9- (€8.2-) million so far in 2012, as they had to replace faulty battery cells for Fisker and also restock their inventory.

It would appear that the company will not be able to go on much longer, and with their reported losses and uncertainty, looks like it’s nearing the end of the line for A123 Systems.

Story via greencarcongress.com

 
 
 
 
 

Would you like AUTOEVOLUTION to send you notifications?

You will only receive our top stories