Battery Manufacturer A123 Systems Reports €100 million Q1 Losses

Lithium-ion battery manufacturer A123 Systems has officially posted a loss of €100 ($125) million and a revenue figure of €8.5 ($10.9) million for the first quarter of 2012.
A123 Batteries 1 photo
Photo: A123 Systems
The total loss figure also includes €40.1 ($51.6) million spent replacing the battery packs produced in their Michigan facility, some of which allegedly may have been manufactured using defective cells. Costs will rise with an additional €11.8 ($ 15.2) million if inventory reserves at the Lavonia plant in Michigan are found to be defective. A123 Systems provides lithium-ion battery packs for Fisker, battery packs that may have caused the recent garage fire, however no culprit has yet been surely identified.

As A123 System is pegged to be one of the market leaders by 2015, as detailed in this recent report, we’re sure that this hitch will soon be passed and the company will continue to supply batteries to the automotive industry for many years to come.

Story via Detroitnews
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