A struggling Massachusetts-based company that makes batteries for electric cars and got $240 million in stimulus money is being saved from bankruptcy by a Chinese billionaire who could move operations overseas.
A123 Systems received a $241.1-million grant from the Obama administration three years ago and more than $125 million in State of Michigan tax credits in the hopes that the company would create jobs, while leading the country away from conventional gas-guzzling vehicles and toward clean energy.
But the lithium ion battery maker is now poised to hand over the reins to Wanxiang Group, a Chinese firm, which agreed in a tentative deal last August to invest up to $450 million so that it can take over as much as 80 percent of the company.
"It’s money that we’ll never get back."
- Jarrett Skorup, Mackinac Center for Public Policy
Since 2009, the Waltham, Mass.-based company has lost a reported $857 million, laid off workers and recalled its products. A123's stock price has plunged from $4.44 about a year ago to 26 cents this week.
Read more: http://www.foxnews.com/us/2012/10/11...#ixzz293Ln86x0
more Male Bovine Excrement and wasted money for Nobama..
once touted by President Obama as a great example of "what's possible in a clean energy economy."
now it is chinese..