Abound Solar Inc, Another DOE Company Awarded a $400 Million US Loan Guarantee Ceases Operations & Files Bankruptcy
Green energy solar company bankruptcies abound …
Add Abound Solar Inc, a Colorado based company, to the long list of so-called “green” company that made solar panels and had received Department of Energy loans has ceased operations and is filing bankruptcy. As President Barack Obama criticizes Mitt Romney for his work with Bain Capital, one might also want to ask Obama about his job creation skills with “belly up” companies like Abound Solar.
Abound Solar Inc., a U.S. solar manufacturer that was awarded a $400 million U.S. loan guarantee, will suspend operations and file for bankruptcy because its panels were too expensive to compete.
Abound borrowed about $70 million against the guarantee, the Loveland, Colorado-based company said today in a statement. It plans to file for bankruptcy protection in Wilmington, Delaware, next week.
The failure will follow that of Solyndra LLC, which shut down in August after receiving a $535 million loan guarantee from the same U.S. Energy Department program. Abound stopped production in February to focus on reducing costs after a global oversupply and increasing competition from China drove down the price of solar panels by half last year.
Great point made by the American Thinker with regards to these failed American solar panel companies.
I really wish these companies – and the government – would stop blaming China for their failures. China may be subsidizing their solar companies but in case you didn’t notice, so are we. The fact that we gave this loan guarantee to a sure fire loser of a company keeps proving the point about this idiotic energy department program; trying to pick winners in the alternative energy business is too risky for taxpayers to foot the bill if the bureaucrats are wrong.
Just more wasted tax payer money down the Obama “green” rabbit hole.
Posted June 29, 2012 by Scared Monkeys
Barack Obama, Business, Economy, Energy, Green Jobs, Obamanation, Obamanomics, Solar/Wind, Solyndra | one comment
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One Response to “Abound Solar Inc, Another DOE Company Awarded a $400 Million US Loan Guarantee Ceases Operations & Files Bankruptcy”
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Government venture capitalism does not work. Lawyers do not know enough about business unless they have operated a business away from the legal profession.
We need to follow the money with a quality audit of these government backed companies. There is just too much opportunity to play payola in this kind of situation.