Battery Maker A123 Enters Bankruptcy

October 17, 2012 · Print This Article

Further poor news for the electric vehicle market comes with word that A123, the company that owns the largest battery manufacturing plant in North America, has filed for Chapter 11 bankruptcy this week.

The two A123 manufacturing plants, which have been making batteries for electric vehicles including those built by General Motors and Fisker, will be taken by by Johnson Controls, which is acquiring A123’s automotive assets.

In addition to

its vehicle batteries, A123 additionally produces cells and batteries for portable equipment, telecommunications and electric grid applications, and stationary capability backup systems.

An earlier deal to sell most of the ownership of A123 to a Chinese manufacturer, the Wanxiang Group, apparently fell through, and the bankruptcy filing coincided, at least in part, with A123 failing to manufacture a scheduled loan repayment to Wanxiang.

via: Autoguide.com

[Source] Cynthia

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