Solyndra: $469 million more than we already know about? Plus, an added surprise?
Flopping Aces ^ | 09-16-11 | Aye
Posted on September 16, 2011 7:14:23 PM EDT by Starman417
The folks at LA Observed have slogged through the Solyndra SEC filing and have found what may be a stunning discovery, adding insult to injury.
For more background on Solyndra, read Curt's post here and Dr. John's post here.
Turns out that Solyndra, the now-bankrupt solar panel manufacturer so highly touted by the Obama administration applied for a second loan which would be guaranteed by the US Department of Energy.
This second loan was to be in the amount of $469 million dollars (for Phase II Part 1):
On September 11, 2009, we submitted Part 1 of an application for an approximately $469 million guaranteed loan to be utilized to finance the construction of Phase II. As with the financing facility for Phase I, the loan would be made by the Federal Financing Bank and guaranteed by the DOE. On November 4, 2009, we were notified by the DOE that our Part 1 application was complete and that Phase II was determined to be a Section 1703 eligible project and to have the credit subsidy cost for the project paid out of funds allocated under Section 1705. We submitted Part 2 of our loan guarantee application on November 17, 2009.
While writing this post, and reading through the filing, I discovered something else. Notice the line in bold above.
A loan application was also made for Phase II, Part 2. We don't, as of yet have a monetary value for Part 2.
The earlier $535 million loan (for Phase I) was separate and distinct from the second one:
Phase I Financing
We were the first company to secure a guaranteed loan facility under Title XVII. On September 3, 2009, we and one of our subsidiaries, Solyndra Fab 2 LLC, entered into financing agreements with the Federal Financing Bank, a government corporation under the general supervision of the Secretary of the Treasury, and the DOE that provide for a $535 million loan to Solyndra Fab 2 LLC, which we refer to as the Fab 2 Borrower, that is guaranteed by the DOE. The estimated aggregate project costs of Phase I are approximately $733 million...
It's unclear from the filing if the second loan was ever actually received by Solyndra and, so far, the administration has not made any effort to address that issue one way or the other:
(Excerpt) Read more at floppingaces.net...
