"It profits me but little that a vigilant authority always protects the tranquillity of my pleasures and constantly averts all dangers from my path, without my care or concern, if this same authority is the absolute master of my liberty and my life."

--Alexis de Tocqueville, Democracy in America

Friday, September 2, 2011

More on Solyndra

I wrote yesterday about the Solyndra scandal -- the bankrupcty of a "solar panel" company backed by $535 million in federal loan guarantees that just happened to be connected to a big cbundler for the Obama 2008 Presidential campaign.   It also turns out that the loans were at a ridiculously low interest rate, which further supports the inference of a fraudulent, insider deal.   Here's the key chart:

Anyway, I took a look at Solyndra's web-page, which hasn't shut down yet (the miracle of the Internet).   They have a timeline for the company that reads as follows:


2005Founded by Dr. Christian Gronet

2006Established headquarters in Fremont, California

2007Began production in Fab 1

2008Commenced commercial solar panel shipments
Opened office in Germany

2009Largest single Solyndra installation in U.S. 529kW
Received $535 million DOE loan guarantee for construction of Fab 2
Groundbreaking for Fab 2 with Vice President Biden, Energy Secretary Chu, and Governor Arnold Schwarzenegger
Reached $100 million in annual revenues

2010Shipped 65MW as of July, 16 million modules produced.
Largest Solyndra project in Europe, 3 megawatts in Belgium
Exceeded 1000 installations around the world
Visit of President Barack Obama, May

Brian Harrison joins as President and CEO
Largest U.S. installation 1MW, Frito Lay
Approximately $140 million in revenues

2011Fab 2 in production, ramping to 300MW
3MW Belgium installation
Launched greenhouse product
Shipped 100th megawatt

Now, it seems weird to me that a company that was only founded in 2005, that only established offices in 2006, that only started production in 2007, and that only began shipping product in 2008, should suddenly get a $500 million + federal loan guarantee in 2009.  

But here's what really made me crazy:  apparently they received a $535 million DOE loan guarantee either the same year (2009) or maybe even before they reached $100 million in annual revenues.    Imagine this is a 30 year loan.   Even at a ridiculously low rate of interest (read: fraudulently low), Solyndra would still have something like $10 million just in interest payments per year.   On $100 million in revenue?   Really?

So, like everything else the federal government touches, this is a situation where (wink, wink) no one really ever expected that the money would be paid back.
An alternative theory is even more cynical:  this was never a real "business" to begin with.   It was just, on one side of the transaction, a front for fraud; on the other side of the transaction, a Potemkin village/Hollywood sound stage for the permanent campaign of Barack Hussein Obama.  

Speaking of which, here is Obama, just over a year ago, at the Solyndra plant:

Does this stuttering clusterf*** of a miserable failure ever go anywhere without his f***ing teleprompter?

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