"A123 Systems (AONE): What Happened to that ‘Hot IPO?’
Be cautious of "Hot IPO's"
Touted by Cramer and other mainstream media pundits as the “Hottest IPO of the Year,” A123 systems made its public debut in September 2009. We, at ChartingStocks didn’t share in the hyped up optimism and suggested that our readers steer clear from this issue for reasons you can read about here.
GE subsidiary CNBC, tried awful hard to prop up A123 Systems, which was also owned by GE. The stock began to collapse once the 30-day short sale restriction was lifted (IPO’s can’t be sold short during the first 30 trading days). The stock plunged from $28 to $8.10 last week."
Related: Boston Has Office Space
What they are:
"Loss narrows at A123 Systems" By Associated Press | March 10, 2010
WATERTOWN - A123 Systems Inc., which makes lithium-ion batteries for cars, narrowed its loss in the fourth quarter as its sales rose.
The company yesterday said it lost $22.3 million, or 22 cents per share, in the three months that ended Dec. 31, compared with a net loss of $28.5 million, or $3.08, a year earlier. The company’s revenue rose to $24.5 million from $23.6 million in the same period a year earlier....
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MASS. MOVERS Upgrade charges up A123 Systems’ stock (Boston Globe)
HOPKINTON — The state is giving Watertown battery maker A123 Systems a $5 million loan in return for creating 250 jobs and expanding operations for making large batteries that connect to the electricity grid. A123 plans to spend $80 million on the expansion.
As long as the company adds the promised jobs, the loan from the state will not have to be repaid.
Then it is NOT a LOAN!
It is a TAXPAYER GIFT for ANOTHER GREEN-TECH LOSER!!!
Related: State Keeps Watering Evergreen
Yes, TOSSING AWAY 5 MILLION of YOUR HARD-EARNED TAX DOLLARS, Bay-Stater, as your services are slashed and taxes raised.
Also see: Those Are the (Tax) Breaks in Massachusetts
A lot more than $5 mil then!
“Number one is job creation,’’ Governor Deval Patrick told a crowd gathered at the company’s Hopkinton facility yesterday, where he announced the loan. Spurring the state’s clean technology sector is also a must, he said. “If we get this right, the whole world is our customer.’’
The state loan, for which A123 promised to double the number of its Massachusetts employees, has been in the works for nearly two years — since the company started talking to officials in Michigan about building a facility to make electric car batteries there. Michigan offered grants and tax credits to successfully woo the battery firm, which is also using a federal stimulus grant of nearly $250 million to build there....
We USED TO CALL IT EXTORTION!
Watertown Battery-Maker Pours Battery Acid in Boston-Power Wound
Game Report: Mass. Loses to Michigan
Stimulus Fails to Jump-Start Battery Maker
It did if you live in Michigan.
A123 chief executive David Vieau said several states, including Michigan, had hoped that the company would expand its large-battery-making operations somewhere outside of Massachusetts. But staying in state made sense, he said, because of the highly skilled workforce and world-class universities in Massachusetts. The loan, which requires the company to add the 250 new employees by 2014, only sweetened the deal, he said.
Which means they REALLY DIDN'T NEED the $5 MILLION, folks!
Gee, that would have KEPT ALL BOSTON'S LIBRARIES OPEN!
“The result will be significant jobs,’’ Vieau said.
Several times yesterday, Patrick pointed out that A123’s expansion will bring manufacturing jobs to Massachusetts....
The expansion of large-battery operations is expected to help A123 remain competitive as energy firms race to supply electrical grid operators with technologies that will modernize the power delivery system. The batteries fill in gaps left by such sources as wind and solar installations, which generate power only intermittently, by holding power and releasing it to the grid when needed, according to A123. Several such batteries, purchased from A123 by subsidiaries of the Virginia-based power company AES Corp., are being used in California and Chile....
I'm just wondering why the TRILLIONS upon TRILLIONS were not PLOWED INTO THIS with "global warming" being such a threat -- rather than into BANK COFFERS and WAR-LOOTERS POCKETS!!
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Also see: Lithium Lighting the Way to Bolivian Invasion
Hey, why do you think we are in the Congo?
