Many people have probably heard of the Chevy Volt and the Nissan Leaf. These are the two most popular "green" energy, all-electric cars in America, although both have their drawbacks, including what many consumers would consider lofty price tags. However, it appears that these two vehicles may be in good position to catch some traction in the American auto market as time goes on.
Unfortunately, California residents are also all too familiar with many other electric car models, but not for the right reasons. Just like company after company in the solar energy market faces financial hurdles in California, electric car manufacturers are also having a tough time. Miles Electric Vehicles, manufacturers of two electric vehicle models - a car and a work truck - has recently joined the ranks of "green" energy companies that have had to file for Chapter 11 bankruptcy.
The primary problem: Miles Electric Vehicles says it is market acceptance of battery-powered vehicles. According to a recent report, the company listed $50 million to $100 million in liabilities in its Chapter 11 filing, and $10 million to $50 million in assets. The company was founded in 2004.
California is home to two other widely known electric car manufacturers, as it is to a wide variety of other "green" energy companies. However, it appears that the dominance of gasoline-powered vehicles on our nation's roadways is not going to change anytime soon. If Miles Electric Vehicles plans to utilize the reorganization benefits of a Chapter 11 bankruptcy filing, it will be interesting to see how the company plans to adapt to the present adverse electric car market conditions. It appears that the company may need to focus on lowering the cost of their vehicles, as is the concern with many other electric vehicles on the market.
Source: Fox Business, "Miles Electric Vehicles files for bankruptcy," June 11, 2013