Solyndra- Obama's new nightmare.

[Conservative]

Only the Obama adminsitration is blamng Bush.
The idea that Obama okayed it because of donor by the owners is illogical due to the early request for the loan during the Bush adminstration

Not at all.

Regardless of when the original request came though, it is not unrealistic to think that Solyndra would say 'Gee, Barry, we gave you all this money... can you help us get this loan process going again? It kinda got stuck under Dubbya, but since we're all palsy now.....'

did the donate to Bush?

no idea.

Even if they did, why does that matter?

Let's say they did donate to Bush, hypothetically. They donate... ask for money, get shot down. New President... they donate, ask for money again, and get fast tracked.

Essentially, hypothetically, they said 'let's throw some money at this guy and see what we can get out of it' regarding Bush.... got nowhere, and decided 'Hey, let's try the new guy... maybe we can get someplace with him'.

It appears they did. until the went belly up, that is.

 

[edthecynic]

and up to the final minute before they are funded, loans go under full and final scrutiny.

As a matter of fact, when you re-finance your mortgage, it does not fund for 3 days after for the reason of final scrutiny of the credit worthiness of the borrower and the viablility of the collateral.

I truly think this was cronyism to the max and will be Obamas demise.

The DOE credit committee gave provisional approval to the reworked loan in March of 2009. The loan guarantee was not issued until September 2009. That's 6 months of final scrutiny!!!

Yeah, six months of inept scrutiny apparently... but what'd ya expect? My paper boy has more experience than this bunch.

Except "this bunch" was the same group of civil servants CON$ have tried to give BUSH credit for hiring when they rejected the BUSH administration's loan request. The same bunch went from brilliant when they rejected the BUSH loan, to inept when they approved the reworked loan that protected the taxpayers' investment.

 

[edthecynic]

Not at all.

Regardless of when the original request came though, it is not unrealistic to think that Solyndra would say 'Gee, Barry, we gave you all this money... can you help us get this loan process going again? It kinda got stuck under Dubbya, but since we're all palsy now.....'

did the donate to Bush?

no idea.

Even if they did, why does that matter?

Let's say they did donate to Bush, hypothetically. They donate... ask for money, get shot down. New President... they donate, ask for money again, and get fast tracked.

Essentially, hypothetically, they said 'let's throw some money at this guy and see what we can get out of it' regarding Bush.... got nowhere, and decided 'Hey, let's try the new guy... maybe we can get someplace with him'.

It appears they did. until the went belly up, that is.

Yes the Walton family invested in Solyndra and donated to BUSH as well as the GOP House members who had oversight for the DOE when the private investors were put ahead of the taxpayers in 2011.

 

[boedicca]

It's so nice to see that Edthemoron has a healthy fantasy life. It must be such a comfort to him given his poor grasp of reality.

 

[saveliberty]

But it wasn't until last February that the government decided Solyndra was about to default, and refinanced the company's original loan with the help of $75 million from private investors. As part of the deal, the government agreed that if Solyndra ever went bankrupt, it would have to pay back the $75 million to investors first, ahead of disbursing any money back to the taxpayers.

Center for Public Integrity reporter Ronnie Greene told The Lookout that Republican members of the subcommittee suggested Wednesday that cutting such a deal was illegal, in violation of a provision of the Clean Air act.

What

Reminder: It is the cover up that gets you Mr. Obama.

 

[boedicca]

But it wasn't until last February that the government decided Solyndra was about to default, and refinanced the company's original loan with the help of $75 million from private investors. As part of the deal, the government agreed that if Solyndra ever went bankrupt, it would have to pay back the $75 million to investors first, ahead of disbursing any money back to the taxpayers.

Center for Public Integrity reporter Ronnie Greene told The Lookout that Republican members of the subcommittee suggested Wednesday that cutting such a deal was illegal, in violation of a provision of the Clean Air act.

What

Reminder: It is the cover up that gets you Mr. Obama.

And not only do the investors get the $75M back first, after that, proceeds are distributed pari passu among the government and the investors, unless the company avoids liquidation.

 

[boedicca]

And here's a great analysis from ZeroHedge (read the whole thing at the link):

In any Chapter 11 filing the senior lenders have preference. This means that if there are any liquidation proceeds Senior Creditors get their money back first. It is important to note that those same senior lenders have significant influence regarding how the company’s assets are disposed of.

In the case of Solyndra, the senior lender is also the largest equity owner, Argonaut Ventures, an investment vehicle controlled by George Kaiser. Argonaut got the preferential position when it agreed to make a $75mm term loan to Solyndra back in February of 2011.

(snip)

In the layer cake of creditors the highest tier is the DIP (Debtor in Possession). This loan is only granted after a chapter filing. It is approved by the court and as a result stands first in line. The DIP lender has significant sway in the timing and the manner of assets sales. Not surprisingly, the proposed provider of the DIP is Argonaut. (The deal calls for a 15% rate and an $80,000 front end fee. Not bad for a four-week loan).

This means that Argonaut is in control two ways, the senior loan and the DIP. They have both a belt and suspenders, they are wearing the pants in this deal and their pants are not going to fall down.

(snip)

The plan put forward is a four-week sale of the company. The logic behind this very rapid schedule is that Solyndra is still burning cash at the rate of $1mm a week. How long will the $4mm DIP financing last? Four weeks. The terms of the DIP makes it a sure thing that Solyndra is going to be sold ASAP. That sounds good. But not for the DOE.

The one-month period is a very short time frame. The likely result will be that no serious alternative buyer will appear. Should that happen, the senior creditor will get all of the assets of the company at the end of 30 days. That would be Argonaut. It's possible that Argonaut will end up owning a company that lists $850mm in assets for less than $100mm.

(snip)

In the next week the Court will rule on the proposal for a four week sale and the $4mm Argonaut DIP. If that plan is approved, what is left of Solyndra will go to Argonaut and the US DOE will suffer a loss of 100% of its $528mm loan.

As part of this process DOE will file a brief. That brief has to be a smoking gun that forces the judge to deny the company’s/Argonauts plan. That brief HAS to have some teeth in it. The only teeth that has merit is that the people who ran the company were crooks and lied to the DOE. The problem with that contention is that there is so much evidence to the contrary.

It should be interesting to see what the DOE has to say. It will be very interesting to see how the judge rules. I’ll be watching/writing.

More on Solyndra

 

[saveliberty]

Mr. Chu is going to "resign". Got to throw someone out as a deflection from Obama.

 

[francoHFW]

Yup, let the Chinese and others who subsidize the industries of the future eclipse us- pubs want the BIGmoney from big oil, health, and pharma, and have to stop Obama from ANYTHING he wants . A-holes and dupes!! Pfffft! LOL!

 

[boedicca]

More from ZeroHedge, prediction on how the Con will go down:

A bankruptcy attorney who is knowledgeable about the Solyndra case has contacted me. I thought I’d share his thoughts with you. His words describe the situation much better than I:

Two things that jump out at me from the Affidavit - the Tranche A lenders (Argonaut) are offering to be the DIP lender. The terms contained in the DIP agreement usually are the vehicle by which assets are stolen via seemingly innocuous terms that when taken as a whole, serve to control the bk process.


The secured lender will seek to bid for the assets via a credit bid, where they don't have to put new money on the table - their existing secured loan becomes their bid.


The second item that pops out is the dual track marketing - where they will market Solyndra as a whole and as pieces. The affidavit talks about a 4 week marketing runway - that's crazy short even for a podunk company with 1/10th the size. No one can do Due Diligence in 4 weeks. It leaves the DIP lender in a great spot.


The company will claim they don't have the cash to survive a longer marketing runway, and then they will throw their hands up 4 weeks later and say that the horrible deal on the table is the best and only option (and usually for good measure they throw in that it will preserve jobs, they always throw that in) - and at that point the shitty contrived deal is the only option.


Judge bangs his gavel down and the deal is done, and all legit, sanctioned by the bk process itself - everyone was given an opportunity to object in court, provided you can afford 700 dollar an hour bk attys.

 

[francoHFW]

You dupes have no evidence of graft...Foxmorons!!

 

[saveliberty]

You dupes have no evidence of graft...Foxmorons!!

The investigating Congressional committee has emails idiot.

 

[Conservative]

You dupes have no evidence of graft...Foxmorons!!

You dims have no evidence of anything...MSNBCmorons!!

 

[edjax1952]

I chuckle when I think about all the people investing five or ten years ahead of themselves (it will take that long to recoop your initial investment into solar energy) and then, after that, not being able to get maintenance on the system because no-one is in the business anymore and they cant find parts. Kinda like the Edsil.

At his point in time, with current knowledge, solar is not, economically, a viable source of energy. Only the wealthy can afford to absorb the investing capital and wait it out until they it pays for itself. Let the inventive minds of the world make a practical working model before we go whole hog into it. Same with the electric car. Too expensive to build and not practical for more than short trip use.

 

[edjax1952]

I chuckle when I think about all the people investing five or ten years ahead of themselves (it will take that long to recoop your initial investment into solar energy) and then, after that, not being able to get maintenance on the system because no-one is in the business anymore and they cant find parts. Kinda like the Edsil.

At his point in time, with current knowledge, solar is not, economically, a viable source of energy. Only the wealthy can afford to absorb the investing capital and wait it out until they it pays for itself. Let the inventive minds of the world make a practical working model before we go whole hog into it. Same with the electric car. Too expensive to build and not practical for more than short trip use.

Besides that, Federal govenment has no business tweaking the market on any level. They are not our bankers, they are not even very good as governors of the land.

 

[The T]

if that were true, why is china going full steam on green energy projects?

Even more evidence that the Green movement is a total scam....

Ask Jeffie Immelt...

 

[oreo]

Sorry bout that,


1. Thats a lot of money.
2. Where is it?
3. Lost in less than a year?
4. Does anyone else wonder, *where is the money*?
5. A million dollars is a huge amount, 528,000,000.00 is a helluva lot more folks.
6. Obama has some of it, just goes without saying, really.



Regards,
SirJamesofTexas

WHERE THERE IS ONE SOLAR COMPANY GOING BANKRUPT WE FIND 4 OTHERS DOING THE SAME--THAT RECEIVED TAXPAYER DOLLARS FOR FUNDING

Solyndra, the solar panel company whose highly publicized failure and consequent investigation by federal authorities has flashed across headlines recently, isn't the only business to go belly up after benefiting from a piece of the $800 billion economic stimulus package passed in 2009.

At least four other companies have received stimulus funding only to later file for bankruptcy, and two of those were working on alternative energy.

Evergreen Solar Inc., indirectly received $5.3 million through a state grant to open a $450 million facility in 2007 that employed roughly 800 people. The company, once a rock star in the solar industry, filed for bankruptcy protection last month, saying it couldn't compete with Chinese rivals without reorganizing. The company intends to focus on building up its manufacturing facility in China.
Related Video

Lawmakers Question White House Role in Solyndra Scandal
Did administration know about troubles of green energy firm before $535M loan was given?

SpectraWatt, based in Hopewell Junction, N.Y., is also a solar cell company that was spun out of Intel in 2008. In June 2009, SpectraWatt received a $500,000 grant from the National Renewable Energy Laboratory as part of the stimulus package. SpectraWatt was one of 13 companies to receive the money to help develop ways to improve solar cells without changing current manufacturing processes.

The company filed for bankruptcy last month, saying it could not compete with its Chinese competitors, which receive "considerable government and financial support."

more:
Solyndra Not Sole Firm To Hit Rock Bottom Despite Stimulus Funding | Fox News

 

[The T]

SITE

Fremont, CA, March 20, 2009 – Solyndra, Inc. announced today that it is the first company to receive an offer for a U.S. Department of Energy (DOE) loan guarantee under Title XVII of the Energy Policy Act of 2005. Solyndra, a Fremont, California-based manufacturer of innovative cylindrical photovoltaic systems, will use the proceeds of a $535 million loan from the U.S. Treasury’s Federal Financing Bank to expand its solar panel manufacturing capacity in California.

“The leadership and actions of President Barack Obama, Energy Secretary Steven Chu and the U.S. Congress were instrumental in concluding this offer for a loan guarantee,” said Solyndra CEO and founder, Dr. Chris Gronet. “The DOE Loan Guarantee Program funding will enable Solyndra to achieve the economies of scale needed to deliver solar electricity at prices that are competitive with utility rates. This expansion is really about creating new jobs while meaningfully impacting global warming.”

Whole Story

 

[francoHFW]

You dupes have no evidence of graft...Foxmorons!!

The investigating Congressional committee has emails idiot.

The E-mails don't show any graft, except to bought off a-hole talking heads and Foxbots.
The disfunction and paralysis caused by Un-American (TIME) no compromise Pubs are ruining the economy, AND handing the alternative energy industry of the future to the Chinese. Brilliant!
Enjoy Hell...

 

[The T]

You dupes have no evidence of graft...Foxmorons!!

The investigating Congressional committee has emails idiot.

The E-mails don't show any graft, except to bought off a-hole talking heads and Foxbots.
The disfunction and paralysis caused by Un-American (TIME) no compromise Pubs are ruining the economy, AND handing the alternative energy industry of the future to the Chinese. Brilliant!
Enjoy Hell...

Dipstick. Even The company trumpeted Obama's 'instrumental help' in securing the loan that Bush said NO to.

LINK

The jig is up.