OBAMA'S GREEN PET GOES BANKRUPT...

[Geee]

Boston Herald:

Evergreen Solar files for bankruptcy, plans asset sale

Evergreen Solar Inc., the Massachusetts clean-energy company that received millions in state subsidies from the Patrick administration for an ill-fated Bay State factory, has filed for bankruptcy, listing $485.6 million in debt.

Evergreen, which closed its taxpayer-supported Devens factory in March and cut 800 jobs, has been trying to rework its debt for months. The cash-strapped company announced today has sought a reorganization in U.S. Bankruptcy Court in Delaware and reached a deal with certain note holders to restructure its debt and auction off assets.

The Massachusetts Republican Party called the Patrick administration’s $58 million financial aid package, which supported Evergreen’s $450 million factory, a “waste” of money.


“The bankruptcy of Evergreen Solar is another sad event for the Massachusetts company and highlights the folly of the Patrick-Murray Administration which has put government subsidies into their pet projects instead of offering broad based relief to all Bay State employers,” said Jennifer Nassour, head of the state GOP.

Greg Bialecki, Patrick’s economic development czar, defended the administration’s support for the once-promising Evergreen. The state is still trying to recoup about $4 million in cash from the Marlboro-based company.

“Not every company is going to be successful ... but we still believe the approach of providing business incentives to create and maintain manufacturing jobs in Massachusetts is an important strategy,” he said.

Evergreen — hurt by lower-cost competition in China and plummeting prices for solar panels — also said it will cut more jobs — 65 layoffs in the United States and Europe, mostly through the shutdown of its Midland, Mich., manufacturing facility. That would leave Evergreen with about 68 workers according to a head count listed in the bankruptcy filing.

To cut costs, Evergreen shifted some of its production to Wuhan, China, last year. That joint venture will remain operating subject to financing talks with Chinese investors.

[clearvision]

No, not every company is going to be successful, which is why the Government should stay the hell out of financing companies. This is doubly true when it is the Government trying to push into new areas. Research is one thing, providing money for startups, factories, etc. is crazy.

[SrWoodchuck]

Geee! Thank you, not only for this, but for all the posts you do every day.

 

When my father retired from Shell oil, he had contributed to a "provident fund" that Shell established for their employee's. Shell matched dollar for dollar; every contribution the employee made to the fund. Left with a substantial bit of money, in addition to a generous pension, he and my mother asked me whether I thought that they should invest their "provident fund" in a store that sold religious items. I asked them to look in the phone book & call any five stores that sold religious items; and then to call any five liquor stores. Only one religious store was still solvent & they were looking to sell the business ASAP......but all five liquor stores were in the black. Investing in business is an act that needs to be viewed with reality. If you invest in hopes & dreams, like green technology or religious trinkets, there better be a demand, and you better have the best corner for the biz. Regardless of how much you'd like to think green technology [or religious items] will eventually benefit people, you are throwing your money away. Having a successful business allows a person the luxury of contributing to a charitable cause that doesn't involve going broke. Are you in business to make a profit, provide jobs & stay solvent, or to feel good about how your hard earned money is spent to the last nickel?

 

In this case, even with the [maybe] good intentions of this business-ignorant, progressive administration, they didn't even use their own money....they used yours.

[Geee]

Thank you SrWoodchuck. I now forgive you for letting a skunk move in under the shed