Worried about teslas and model s future

[Eldictator]

I'm being pessimistic but all the talk about acquisitions and going public seems like the slow path to the death of the company, what does everyone think?
Tesla hires new manufacturing lead, but there's more — Autoblog Green

Tesla’s Elon Musk Can’t Cash Out Quite Yet | Autopia | Wired.com

 

[Cobos]

That was a lot of doom and gloom. I'm pretty sure Tesla has thought this through, after all the IPO is a PUBLIC offering. They knew someone would read through the IPO documents and the facts that revealed still can't imply they think they will fail.
Also keep in mind DOE supposedly did their due diligence before they approved Tesla for that loan, so they too must think the road to the Model S is doable.
After all the fact that the Roadster will be gone for a while might actually increase sales, at least if they finally get started on the factory for the Model S so they silence the cries of vaporware.

Cobos

 

[Majerus]

It seems like there is a lot of news concerning the future stake of Tesla as a whole. With the IPO option along with a few other things, i'm starting to think that my dream of driving a model s may already be over before it really started. Its a shame I hope that Tesla can pull through and deliver the car that they promised.

 

[vfx]

I guess everyone has a different level of comfort. Compare this minor blip in Tesla's history to back when we had no idea if there would be any car. Now they have 1000 cars and the US loaning the company 1/2 a Billion. And where is the fear?

 

[Arnold Panz]

An IPO is a tremendous sign of strength for any start-up company, not weakness. There are many reasons to go public, and many factors that go into the timing of when to actually do an IPO, but clearly on of the main factors, if not the #1 main factor, is the belief that the company has created enough comfort with potential investors that they will draw a high price for their shares, and the price will hold after the IPO date. If Tesla were truly on a downward trajectory, they definitely would not be doing their IPO. Nothing could be worse for a small company than to go public and have its shares tank immediately. You never see this happens because their bankers wouldn't take it public if it was even a reasonable possibility.

I should also note that, if I told you the entire business model (take reservations months or years in advance of receiving a car, and in most cases, the person has never seen the car in person nor driven one), you'd think I was an idiot if I said there would be no cancellations or refunds requested, so the fact that some Roadster reservers and Model S reservers have asked for their money back is totally normal and expected. The fact that Tesla has probably more than 2000 reservations (at a minimum of $5000 a pop) for a car not scheduled to come out until late 2011 at the earliest and that no one has been able to test drive is truly remarkable, and probably a much better sign to the (investor) marketplace of Tesla's viability for the future.

 

[Majerus]

Very good point. I really hope this will all just pull together, and then everything go as planned.

 

[steve841]

I was leery about pulling the trigger on a $5K deposit but did.

With DOE approving a loan, an IPO, and announcements about filling positions, I sleep a little better.

But, no one else is heading down the Tesla path. WHEN, not if, gas hits that magical $4.00 / $5.00 per gallon. That Tesla name is gonna ring in everyone's ear loudly.

With the Middle East in a never ending struggle to kill each other, Iran developing nukes, Jihadists targeting oil... I think my $5k deposit will cover my butt in 2 years at the gas pump....

 

[Iz]

I've seen several posts regarding cancellations and am wondering if current reservation holders are re-sequenced in the queue?

 

[Kevin Harney]

I've seen several posts regarding cancellations and am wondering if current reservation holders are re-sequenced in the queue?

If it is anything like the Roadster then everyone moves up in line accordingly. I think that TM actually sold some of the ealier reservation #s for the Roadster to celebs and high profile people when they became available but for the most part I think the whole line just got lower numbers.

 

[Iz]

Kevin, thanks for the reply. Not that I want TM to lose reservation holders but it would be nice to move up in the queue a bit. We also do not know the initial Model S rollout in terms of numbers.

 

[Tdave]

I gave up my SIG 45 place in line. I've been wondering what's going to happen to that spot. Does SIG 46 get my car? Does Tesla sell my spot later to someone else, or give it to a VIP? They're likely reserving their options just as they did with the Roadster.

 

[Palpatine]

They did not collapse the waiting list till the last second. They were trying to sell early places in the waiting list for a premium.

I initially did that to get an early model. Then I changed my mind and went with a Roadster Sport in the second model year.

If someone drops out of the Signature waiting list, I suspect Tesla will leave that number open and offer it to a celeb or other VIP.

 

[OwlsCat]

Worries about no news...

I just got a response from my former Model S rep, who is now a sales rep for the Roadster, something that sparks even more worry about whether the Model S is still on schedule for production in late 2011. He told me that prior to the IPO, they want to ramp up interest in the Roadster, that if they publicized the Model S, it would reduce demand for the Roadster, and that would adversely affect the initial price point of the stock.

He then threw me a bone, saying he'd get the new Model S rep to "reach out to me." Gee, thanks. I'm sorry, but I think those of us who have taken the leap of faith and plunked down a deposit on a vehicle we haven't even laid eyes on or touched deserve more than that.

 

[AnOutsider]

I gave up my SIG 45 place in line. I've been wondering what's going to happen to that spot. Does SIG 46 get my car? Does Tesla sell my spot later to someone else, or give it to a VIP? They're likely reserving their options just as they did with the Roadster.

May have been worth it to try to sell it to someone else

 

[dpeilow]

I just got a response from my former Model S rep, who is now a sales rep for the Roadster, something that sparks even more worry about whether the Model S is still on schedule for production in late 2011. He told me that prior to the IPO, they want to ramp up interest in the Roadster, that if they publicized the Model S, it would reduce demand for the Roadster, and that would adversely affect the initial price point of the stock.

Not just the stock. They need Roadster sales to drive cash flow and to keep the stores ticking over in advance of the S launch. I don't know why this would be a surprise - what would you concentrate on selling, your current product or something which is almost two years away (managing the latter then becoming a two year overhead)?

He then threw me a bone, saying he'd get the new Model S rep to "reach out to me." Gee, thanks. I'm sorry, but I think those of us who have taken the leap of faith and plunked down a deposit on a vehicle we haven't even laid eyes on or touched deserve more than that.

I'm not sure why we have to keep digging up old threads to repeat the same thing. It has been explained elsewhere on the site why the IPO prevents them from giving out any details and that everyone has to sit tight. Maybe your rep will be able to tell you more in confidence, but I'd say that continually dredging things up on a forum will not be conducive to that happening. I think we need to chill and wait for the IPO. If the lack of PR continues after that, then you will have a point.

 

[Kevin Harney]

So when is the IPO expected to be finalized ?

 

[waltoninn]

I am not sure it is entirely clear that the regulations under the IPO offering period completely prevents the company from releasing any information to customers.

I believe it is more of a matter in the company wanting to keep the focus on the Roadster model(s), a product which is readily at hand to sell and for which there has been considerable capital investment, and for which a "return" on that investment is anticipated.

And, yes, I do often doubt what may be commonly accepted, but it keeps the mind on its toes.

 

[Arnold Panz]

I am not sure it is entirely clear that the regulations under the IPO offering period completely prevents the company from releasing any information to customers.

Here's the thing -- you're right, but ever since Google almost got in trouble (and did get investigated by the SEC) for an interview Sergey and Larry gave in Playboy during the quiet period, all advisors to companies in the quiet period have taken a "better safe than sorry" approach, meaning that no one wants to even come close to near anything that could possibly be investigated by the SEC for wrongdoing (and this was before the SEC got slammed for ineffective oversight during the economic meltdown).

So long story short, all companies in a pre-IPO quiet period are going to play it safe and not say anything at all to avoid any scrutiny whatsoever, which is stupid and sucks for us, but should end once the IPO takes place.

 

[Iz]

We will have cause for concern if no new information is provided following the IPO.

 

[ChargeIt!]

Does the "quiet period" end on the day of the IPO ... or is there another 30/60/90 day rule right after ? ( I hope NOT ... )