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Henrik Fiskeronce envision a burgeoning EV imperium at the startup he named after himself , which was to be lead by the Ocean SUV . But cracks start showing in that visual sensation almost as presently as the Ocean hit the road in 2023 .
Fiskercutproduction targets multiple times , failed to fill sales goalsandlaid off staff . What ’s more , its Ocean SUV wasbeset with computer software and mechanical issues , render it inoperable for some . bestow troublesome brakes , sudden power loss and doors that would n’t open to the tilt of issue that lead tomultiple safety investigationsand ultimately apause in productionin order to raise new Das Kapital .
All of this and more has forced Fisker to file away for Chapter 11 bankruptcy protection , marking the rootage of an ominous period for the eponymic startup . Below is a timeline of the result that led the automaker to this breaker point .
2023
Fisker fell short of its Q2 production target
July 7 — The automaker produced 1,022 Ocean SUVs in the 2nd fourth of 2023,several hundred vehicles shortof its prospect of produce between 1,400 and 1,700 EVs .
Fisker sold convertible notes to fund operations
July 10 — Fisker announcedplans to sell $ 340 million in transmutable debt , expecting the net proceeds to be $ 296.7 million . The automaker said it planned to use the funds to support its oecumenical corporate operations and add an additional assault and battery pack line to “ support growth ” in 2024 and beyond . The company said funds will also be used for capital expenditures and the development of future products .
Production target cut
December 1 — Fiskercut its yearly production guidancein an endeavor to discharge up $ 300 million in working working capital . The company said it expected to produce about 10,000 vehicles in 2023 . The output direction is just a quarter of Fisker ’s bullish prognosis from a class ago .
2024
Fisker struggled to meet internal sales goals
January 1 — Fisker remained far from meeting its publicly express goal ofdelivering 300 electric sport utility vehicle per day globally . The EV startup spend much of December aim to meet an internal sales goal of between 100 and 200 vehicles a day in North America , where the bulk of its inventorying and sales effort are . Fisker fell well below that target , often betray just one to two dozen of its Ocean SUVs a day here .
Ocean SUV investigated over braking loss complaints
January 15 — Federal safety governor haveopened an investigationinto Fisker ’s first galvanic vehicle over braking problems . Owners had charge 19 complaint with the National Highway Traffic Safety Administration ( NHTSA ) on issues ranging from pasture brake loss to problems with the gear shifter to a equipment driver door fail to open from the interior and two instances of the fomite ’s hood on the spur of the moment flying up on the main road .
Owners had flagged sudden power loss and brake problems for months
February 9 — Since the initial fleet of Fisker Ocean SUV were delivered , customershave reported more than 100 separate release - of - force incidents . The company told TechCrunch it believes these problems are rare and that it has resolved “ almost all the issues ” with software update . Customers have also report sudden loss of braking power , problematic key fobs causing them to get lock inside or exterior of the fomite , seat sensors that do n’t detect the driver ’s presence and the SUV ’s front cowling suddenly flying up at in high spirits speeds .
Feds opened second probe into the Ocean SUV after rollaway complaints
February 16 — The NHTSAopened a 2nd investigationinto Fisker ’s Ocean SUV after the agency receivedfour complaintsabout the vehicle roll away unexpectedly , resulting in one injury . The fellowship severalize TechCrunch it is “ to the full cooperating ” with the safety agency .
Fisker laid off 15% of staff
February 29 — Fisker declare itsplan to put off 15 % of its workforceandsaysit belike does not have enough cash on manus to live the next 12 months . The company says it is trying to find a means to raise that money as it works through a pivot man from direct sales to a franchise model .
Pause in production with just $121 million in the bank
March 18 — Fiskerannounced it would pause production of its electric Ocean SUV for six weeksas it scrambles for a cash infusion . The troupe said in a regulative filing that it had just $ 121 million in hard cash and immediate payment equivalents as of March 15 , $ 32 million of which is restricted or not immediately accessible . Fisker also said that its invoice collectible balance is up to $ 182 million and that there is “ substantial doubt ” that it can continue cognitive process without raise new capital .
Fisker lost Nissan deal, putting rescue funds at risk
March 25 — The negotiations between Fisker and a large automaker — reported to be Nissan — over a likely investment and collaborationwere terminated , a development that puts a separate dear - terminus rescue backing effort in risk . Fisker unveil in a regulative filing that the automaker terminated the negotiations March 22 . It did not explicate why . But the party had to keep the negotiations going as part of one of the shutdown consideration for apotential $ 150 million transformable note .
Trading suspended by NYSE
March 25 — The New York Stock Exchangesuspended trading sharesof Fisker and moved to take the party off its stock rally , because it is “ no longer suitable for list ” because of “ abnormally low ” cost degree .
Fisker lost track of millions of dollars in customer payments for months
March 27 — Fisker temporarilylost track of millions of dollar in customer paymentsas it scale up bringing , leading to an intragroup audit that part in December and took calendar month to complete . Fisker shinny to keep tablet on these transactions , which included down payment and in some cases , the full price of the fomite , because of lax internal procedures for keeping trail of them , according to three people familiar with the internal payment crisis . In a few cases , it bear vehicles without collecting any material body of payment at all , they said .
New round of layoffs to ‘preserve cash’
April 29 — Fiskerlaid off more employeesto “ preserve cash,”making estimable on a architectural plan announced one week before , according to an internal electronic mail viewed by TechCrunch . Fisker anticipate to assay bankruptcy protection within the next 30 days if it ca n’t add up up with that money , according to a U.S. Securities and Exchange Commission regulatory filing .
Fisker stiffed engineering firm
May 3 — Fiskerstopped paying the engineering firmthat serve develop the Pear , a dispirited - toll EV entail for the Mass , and the Alaska , Fisker ’s entry into the red - red-hot getaway truck market place . The firm also accuses Fisker of wrongfully holding on to IP associated with those vehicles .
Fisker Ocean faced fourth federal safety probe
May 10 — The NHTSA open afourth investigationinto the Fisker Ocean SUV to examine multiple claim of “ inadvertent Automatic Emergency Braking . ” The eight charge allege that owner experienced sudden activation of the Automatic Emergency Braking system in here and now where there were no other vehicles or obstructer in the way of their car .
Hundreds of workers cut to keep EV startup alive
May 29 — 100 more employee werelaid off during the final week of Mayin a command to stay active , as the automaker continues to seek for financial backing , a buyout or organise for bankruptcy . One current and one position off employee estimated that only about 150 people remained at the company .
Inside Fisker’s collapse
May 31 — Theroad to Fisker ’s ultimate ruinmay have started and terminate with its flawed Ocean SUV , which was riddled with mechanical and package problems . But it was paved with hubris , big businessman struggle , and the repeat failure to fructify up basic processes that are foundational for any auto maker .
Ocean SUV issued first recall
June 12 — Fisker issue the first recall for the Ocean SUV because of problems with the warning lights , accord to newfangled data published by the NHTSA . The instrument panel displays the bracken , parking lot and antilock brake system warn lights in the ill-timed baptistry sizing and , at time , in the ill-timed coloring material , making them noncompliant with Federal Motor Vehicle Safety Standards . The agency also says “ multiple admonition lights fail to illuminate during the ignition cycle . ”
Fisker filed for bankruptcy
June 18 — After a class of struggling to stay afloat , Fiskerfiled for Chapter 11 bankruptcy protective covering . The California - free-base company had been seeking a deal with another automaker in a last - ditch effort to rescue the endeavour . The company gauge assets of $ 500 million to $ 1 billion and liabilities of between $ 100 million and $ 500 million , according to the filing .
Fisker failed because it wasn’t ready to be a car company
June 18 — In the wake of its failure , Fisker enounce it will continue “ cut down operation , ” include “ preserving customer programs , and compensating needed vendors on a go - forward basis . ” In other words , it will continue to deal a bare - bones procedure in case there is a willing buyer of the assets it ’s putting up for sale in the Chapter 11 eccentric .
Fisker faced financial distress as early as August 2023
June 21 — accord to a newfangled filing in its Chapter 11 failure legal proceeding , Fisker was facing “ potential financial distress”as early as August 2023 . That looming financial distress drive Fisker to solicit a partnership or investment from another automaker , consort to the filing .
The fight over Fisker’s assets is already heating up
June 21 — The conflict over Fisker ’s assetsis already chargedjust days into its failure filing , with one attorney claiming the inauguration has been neutralise assets “ outside the court ’s supervising . ” At issue is the relationship between Fisker and its largest secured lender , which loaned Fisker more than $ 500 million in 2023 at a fourth dimension when the companionship ’s financial distraint was looming behind the scenes .
Fisker asks bankruptcy court to sell EVs for about $14K each
July 3 — If a evaluator in the Delaware Bankruptcy Courtapproves Fisker ’s requestto betray its remaining inventory to a New York - establish fomite leasing company , the automaker would be able to offload 3,231 finished EVs for $ 46.25 million , or around $ 14,000 per vehicle .
Henrik Fisker, Geeta Gupta-Fisker drop salaries to $1
July 9 — Henrik Fisker and his married woman , Fisker co - founder Geeta Gupta - Fisker , arelowering their salaries to $ 1 so as to keep their failed EV startup ’s failure proceeding fund . In addition to the salary decrease , Fisker ’s restructuring officer , John DiDonato , said in Tuesday ’s filing that Fisker will defer “ certain rupture requital , certain employee health care benefit , and vehicle sale incentive bonuses ” that have not yet been paid .
Fisker has one major objector to its Ocean SUV firesale
July 15 — The office of the U.S. Trustee , an weapon system of the Department of Justice that manage the governing body of bankruptcy , isobjecting to a dealthat would keep Fisker ’s failure legal proceeding active and pave the way for pay back creditors some of what they ’re owed .
Fisker cleared to sell North American EVs for $46.25 million
July 16 — A failure judge gave Fisker the green light tosell more than 3,000 of its Ocean SUVsto a vehicle leasing company , which will net the defunct EV startup a maximum of $ 46.25 million . The approval of the sales event exculpate the mode for the rest of Fisker ’s failure process to meet out as it continues to liquidate what ’s left of its fail business .
The question haunting Fisker’s bankruptcy
July 29 — The question folks are ask : does the automaker ’s loanword procure loaner Heights Capital Management deserve to be at the front of the line to draw the proceeds of a liquidation ? Theentities reached an agreementto hammering out a settlement in the coming weeks on how to liquidate its asset . If successful , the case could remain in Chapter 11 . If not , it would convert to Chapter 7 , which would in effect dissolve Fisker forever .
Fisker flips on who will pay for recalls
September 18 — One of the many question Fisker owners had as the company worked through the bankruptcy process was how the outstanding reminiscence would be handle . In mid - September , the fellowship on the spur of the moment suggest that it would cover the price of percentage , but that those owners would have to pay out of air hole for labor monetary value . Just as suddenly , Fiskerflipped , sayingitwould cover up labor costs .
The SEC opens an investigation
October 4 — The U.S. Securities and Exchange Commission revealed in a filing that itopened an investigationinto Fisker , and that it could add actions “ alleging violations of the Union securities laws . ” The financial governor state the failure court of justice that it already transmit multiple subpoenas , but was occupy Fisker did n’t have a plan in place to uphold its records . ( The belly-up EV startup ultimately allayed the SEC ’s concern , and the status of the probe is unknown . )
Fisker’s HQ abandoned in ‘complete disarray’
October 5 — The landlord of Fisker HQ ’s last resting office — a facility in La Palma , California — says the construction was give up in “ ended confusedness , ” with risky waste and even full - size of it vehicle Henry Clay modelsleft behind . The landlord ’s filing identify a messy few twenty-four hours in which , patently , Fisker employee as well as example of an auction theatre evacuate the adroitness .
The DOJ says Fisker’s recall repair plan is illegal
October 7 — The U.S. Department of Justice , compose on behalf of the National Highway Traffic Safety Administration , tells the bankruptcy courtit mean Fisker ’s attempt to campaign recall labor costs on owners is illegal . The expostulation ultimately helps change Fisker ’s judgment a final time .
Fisker’s fleet buyer balks at completing the sale
October 8 — Fisker throwsa major curveballat the bankruptcy court , after it told American Lease it did not believe it would be able to transfer necessary data to a young , non - Fisker waiter . American Lease revealed the hang-up in a filing and told the judge that it may not be able-bodied to complete the sale — which would jeopardize Fisker ’s settlement plan with its creditor .
Fisker’s bankruptcy plan confirmed
October 16 — Fisker was capable to settle the flurry of eleventh - hour problems described above and get its liquidation plan sustain by the bankruptcy judicature . The ship’s company reverse course and agreed to embrace the trade union movement price of its recalls . It work out a resolution with American Lease regarding the transference of vehicle datum . And a legal guardian was appointed to manage the sale of the balance of Fisker ’s non - vehicle assets , admit around $ 1 billion Charles Frederick Worth of equipment left in Austria , where the Oceans were built .
