Confirmed: Taxpayers expected to get little-to-nothing back on Solyndra’s $500 million+ loan guarantee

posted at 12:41 pm on October 18, 2012 by Erika Johnsen

Not really a surprise — we all pretty much expected  that we wouldn’t be getting back the money the Obama administration so magnanimously “invested”  into the now-failed solar company on our behalf — but as the company waits to get its bankruptcy plan approved, it looks like even the investors higher up on Solyndra’s payback-priority list won’t be breaking even. Why am I not comforted? Via Bloomberg:

Solyndra LLC, the solar-panel maker that received a $535 million U.S. Energy Department loan guarantee before going bankrupt, won’t be able to provide lenders ranking ahead of the government with a full recovery, the company’s financial adviser Eric Carlson said today. …

Under the solar-panel maker’s restructuring plan, the government might get little to nothing for its $528 million claim from the loan guarantee. The government is projected to recoup at most 19 percent on $142.8 million of the loan and probably nothing on the remaining $385 million, according to the disclosure statement, a description of the plan.

All creditors, including the government, could see a full recovery from a $1.5 billion lawsuit the company filed against Chinese solar-panel makers last week, said Solyndra attorney Debra Grassgreen. Solyndra claimed the Chinese manufacturers conspired to fix prices and flood the U.S. market with solar panels at below-cost prices forcing it out of business. Chinese solar-panel makers have said the allegations are “baseless.”

So, We The Taxpayer might stand a chance of getting that money back into the federal coffers, if the company is successful in their suit accusing China of doing too much to subsidize their own solar market, a.k.a., offering too many means of government special treatment the likes of which Solyndra itself was a recipient. …There is just nothing about this green boondoggle that feels right.

Speaking of dodgy renewable-energy dealings, here’s more on the cronyism inherent in the Obama administration’s green-favoritism game, courtesy of recently bombed A123 Systems via the Washington Guardian:

Even as advanced battery maker A123 Systems struggled for financial viability, it played the Washington insider game, where political money and access go hand in hand.

The Massachusetts firm dished out nearly $1 million to hire a powerhouse lobbying firm with close ties to President Barack Obama between 2007 and 2009, and two of its top executives made personal donations to several high-profile Democrats in Congress as it won federal funding for its efforts to build the next generation of lithium batteries for electric vehicles.

And its president and CEO, David Vieau, an early financial backer of President Barack Obama, scored five invitations to the White House in 2009 and 2010, including a meeting he attended with the president, White House logs show.  And when the company opened a new Michigan plant, Obama made a high-profile call to congratulate.

Aren’t all of these waste/fraud/abuse revelations just so much fun? It’s becoming increasingly apparent that “green energy” is just the Obama administration’s all-too-politically-convenient cloak for business-as-usual, ramped up a notch.


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I expect someone to go to jail

davidk on October 18, 2012 at 12:42 PM

Government Motors, GMAC/Ally/Government Bank, Solyndra, A123,….

The list goes on and on and on.

Steve Eggleston on October 18, 2012 at 12:42 PM

Oh, I almost forgot – AIG, Turbo Tax Timothy Geithner’s first government takeover victim, Fannie Mae, Freddie Mac,….

Steve Eggleston on October 18, 2012 at 12:43 PM

Great success!

-Keep voting democrat!

tom daschle concerned on October 18, 2012 at 12:43 PM

Good news!

Private Solyndra investors nearly made whole thanks to DoE loans; WH says this money will create jobs.

BobMbx on October 18, 2012 at 12:44 PM

Whew, we barely averted Great Depression II because of these wise fiscal decisions.

Thank you, Preznit DogEater, for saving us from ourselves.

Bishop on October 18, 2012 at 12:47 PM

ObamaCrony

faraway on October 18, 2012 at 12:47 PM

“We lose money on every unit, but we make it up in volume” – obamanomics

Lost in Jersey on October 18, 2012 at 12:48 PM

Even MSNBC is reporting on this:

Their ticker says “Ann Romney’s horse will give you cancer” which is really just a clever way of saying that everyone at the network is concerned about these insider green giveaways.

Bishop on October 18, 2012 at 12:50 PM

Obama to American Tax payer: “How’s My A$$ Taste?”

BigWyo on October 18, 2012 at 12:50 PM

Solyndra claimed the Chinese manufacturers conspired to fix prices and flood the U.S. market with solar panels at below-cost prices forcing it out of business. Chinese solar-panel makers have said the allegations are “baseless.”

Say, didn’t Mitt promise to do something about this stuff? China kicks sand in Barry’s face and dares him to do anything about it?

a capella on October 18, 2012 at 12:50 PM

LefTard American Tax payer to Obama: “MOAR Please!!”

BigWyo on October 18, 2012 at 12:51 PM

All of these “green” energy black holes for taxpayer money are nothing but a money laundering scheme for Obama’s campaign. Why do you think all the loan guarantees are going to companies invested heavily in by Obama’s bundlers?!? They’re taking that taxpayer guaranteed money and funneling most of it right back into the Obama campaign.

Remember how we learned that donations of less than $200 are un-traceable? Yeah, that’s EXACTLY how they’re funneling this money back into his campaign.

How long will it take until we get someone, ANYONE in Congress with the ballz to investigate it?!?

Meople on October 18, 2012 at 12:53 PM

This, as with so many deals the administration has its hands in, stinks to high heaven. Someone should go to jail on this one.

The most corrupt administration in history.

Portia46 on October 18, 2012 at 12:55 PM

Obama to American Tax payer: “How’s My A$$ Taste?”

BigWyo on October 18, 2012 at 12:50 PM

AAANNNNNNDDDD WE HAVE A WINNAH!!!

ToddPA on October 18, 2012 at 12:56 PM

Two Nobel prize winners. Gee, not sure who is more incompetent, the Norweigans or the two in the picture.

jake49 on October 18, 2012 at 12:56 PM

Obama to American Tax payer: “How’s My A$$ Taste?”

BigWyo on October 18, 2012 at 12:50 PM

Update:

Obama to Candy Crowley. “How’s my Di…..well, I guess
I better behave.

ToddPA on October 18, 2012 at 12:58 PM

Chicago-style criminal conspiracy to defraud the US taxpayer via establishment of fraudulant front companies by major donors to the Obama 2008 campaign, so their pay-to-play could be returned 1000-fold. And so that money laundering could further fund Obama 2012.

Just as movements to increase the minimum wage are nothing but fronts to raise Union pay (contractually pegged to minimum wage rates, minimum wage goes up, union pays go up) and Union coffers for Democrat political action.

rayra on October 18, 2012 at 12:58 PM

Solyndra claimed the Chinese manufacturers conspired to fix prices and flood the U.S. market with solar panels at below-cost prices forcing it out of business.

IIRC. Bush administration put a hold on Solyndra $ as they, at that time, saw it untenable against the Chinese firms.

Solydra entered a market they could not compete in.
Somebody should get sued, but it is not the Chinese.

Jabberwock on October 18, 2012 at 12:58 PM

Poor naive Conservatives…….

THIS is how it works in Chicago.

What were you thinking……….

FlaMurph on October 18, 2012 at 12:59 PM

Confirmed: Taxpayers expected to get little-to-nothing back on Solyndra’s $500 million+ loan guarantee

Somebody get Captain Renualt on the white courtesy phone… STAT….

I have a list… if you are brave enough to view it… 15 “Green” Energy company failures from Obama’s Watermelon (Watermelon=Green on the outside, Marxist Red to the rotten core) energy program.

Candy Crowley graduates from the Joesph Goebbels school of Journalism.

SWalker on October 18, 2012 at 12:59 PM

“You can’t make a green energy omelet without breaking a few economies.”

JeremiahJohnson on October 18, 2012 at 1:00 PM

Ok so lets go after those that receive benefit from the Poisson fruit. That’s what you do in criminal cases. Oh sorry that is the Obama re-election campaign. That’s what are beloved leaders have been doing for years . Give some of our money out and take back some money for them selves. In the book Tammany Hall , Plunkitt called that honest bribes and made the case that politicians were expected to take them. To grow “We the People” need to root them out and send them on their way.

jpcpt03 on October 18, 2012 at 1:00 PM

Energy underpins the economy. Is it any wonder that O’s economic performance has been the worst since the 1930s.
In the debate O tried to get us to believe that he is pro-energy, when other than fanciful ineffective windmills and solar that would bankrupt this country, he’s done nothing but try to obstruct energy: opposing shale and fracking, continuing to restrict Alaska drilling and now imposing even more restrictions on Alaska, banning or limiting drilling on federal lands everywhere, stopping the XL Pipeline, and laying the foundation for bankrupting the coal industry.
That’s O’s record. That record is no surprise and fully consistent with his very own words about wanting to see energy prices skyrocket. O’s bs about having an “all of the above” energy policy is belied by his record, and his swaggering talk against oil and coal and other forms of vital conventional energy. And it is belied by the words of his (Anti)-Energy Secretary Stephen Chu who said he wants us to have to suffer $10 a gallon gas. Insane.
Also this:

A new EPW Minority Report provides “A Look Ahead to EPA Regulations for 2013: Numerous Obama EPA Rules Placed On Hold until after the Election Spell Doom for Jobs and Economic Growth.”
The report enumerates the slew of environmental regulations that the report says the Obama-Environmental Protection Agency (EPA) has delayed or punted before the election while President Obama is trying to earn votes; but the Obama-EPA plans to move full speed ahead to implement this agenda if President Obama wins a second term.
The report concludes that these rules taken together will inevitably result in the elimination of millions of American jobs, drive up the price of gas at the pump even more, impose construction bans on local communities, and essentially shut down American oil, natural gas, and coal production.

anotherJoe on October 18, 2012 at 1:01 PM

Fox doing a one hour special with Megyn Kelly on Libya based on Sen. Feinstein’s statement today blaming Clapper. She’s devoting her first hour to it.

At least Fox is taking Libya and this admin. seriously.

CoffeeLover on October 18, 2012 at 1:02 PM

Get the government to fund (via loan or grant) a business that is more hoax than substance then let it go bankrupt to pocket free money has been the trick used in China and former communist countries which has helped producing the new billionaires and multimillionaires in those countries.

This trick has never been applied on a whim or by accident, has always been a strategically long planned one.

This is the oldest trick however.

O was picked by his master to do this, due to his character, or more aptly, lack of it.

vnohara on October 18, 2012 at 1:07 PM

Obama to American Tax payer: “How’s My A$$ Taste?”

BigWyo on October 18, 2012 at 12:50 PM

American Taxpayers to Obama: “Needs some bubble gum and boots, and we’re all out of bubble gum.”

Steve Eggleston on October 18, 2012 at 1:13 PM

LibProg response: PSHAW, it wasn’t an investment in financial terms… that sounds so crass and mercenary and capitalistic!

It was an investment in human ingenuity, and human spirit, and human equality, and happy Gaia and lower oceans and (insert feel-good hard-to-measure whatever here)…

We can always defend throwing money down rat-holes in those terms!

Marcola on October 18, 2012 at 1:14 PM

So have the Feds removed the IMPORT Restrictions against cheap Chinese Panels, since all their pet companies are folding.?

orbitalair on October 18, 2012 at 1:15 PM

Fox doing a one hour special with Megyn Kelly on Libya based on Sen. Feinstein’s statement today blaming Clapper. She’s devoting her first hour to it.
CoffeeLover on October 18, 2012 at 1:02 PM

CLAP on…

CLAP off…

CLAP on, CLAP off..

THE CLAPPER!

Marcola on October 18, 2012 at 1:16 PM

OT: Gallup now +7 for romney!!

wargamer6 on October 18, 2012 at 1:16 PM

In ye old Olden Tymes, this was called “Raiding the Coffers”.

Usually it ended with a separation of head and neck…
I can only HOPE.

orbitalair on October 18, 2012 at 1:17 PM

WAR ON AMERICA!!!!

every industry, every job sector, every liberty loving middle income American.

THAT is the agenda of the DOTUS and his minions.

PappyD61 on October 18, 2012 at 1:19 PM

It was an investment in human ingenuity, and human spirit, and human equality, and happy Gaia and lower oceans and (insert feel-good hard-to-measure whatever here)…

You left out a reference to ‘eclipsing the light of the values that we stand for’.

Someone, please, diagram that phrase for me. I feel positively zygotish for not understanding it.

And yes, stick figures and “Sally, Dick and Jane” prose is acceptable.

BobMbx on October 18, 2012 at 1:22 PM

Chinese government subsidizing ‘green energy’ companies? How dare they, that’s just beyond the pail.

slickwillie2001 on October 18, 2012 at 1:22 PM

The only thing “green” about Barry’s energy investments is the “green” given to his campaign.

As for Solyndra, I’m guessing that Barry will insure that George Kaiser and his private investors will get paid before the taxpayers see a dime.

GarandFan on October 18, 2012 at 1:25 PM

OT: Gallup now +7 for romney!!

wargamer6 on October 18, 2012 at 1:16 PM

Yep, el Rushbo just going over it.

slickwillie2001 on October 18, 2012 at 1:25 PM

In a related Obysmal crony boondoggle, look at what other “green” industry’s promotion was scrubbed from the ‘Net and sent down the memory hole? It’s not good to remind taxpayers that another business has failed and been sent to their Chinese overlords?
http://www.michigancapitolconfidential.com/17636

onlineanalyst on October 18, 2012 at 1:26 PM

Michelle’s Last Four Years – Lest We Forget http://www.youtube.com/watch?v=kiGjE4_k0jI

rayra on October 18, 2012 at 1:28 PM

It states on Drudge, for every $7 taken in the Gov. spends $11…so if I send in $7,000, they will give me $11,000…how about if I send in my whole paycheck, and they send me back the (I will even round it down for them) 150% of what I send in.

right2bright on October 18, 2012 at 1:30 PM

Democrats, we hate the rich, their evil, they don’t want renewable energy, if we could just get rid of every rich person in America, all our problems would be solved. 2011 U.S. lottery sales totaled $57.6 billion. Says it all, doesn’t it?

bandutski on October 18, 2012 at 1:31 PM

Obama to Candy Crowley Larry Sinclair and Reggie Love. “How’s my Di…..well, I guess
I better behave.
ToddPA on October 18, 2012 at 12:58 PM

FIFY.

LegendHasIt on October 18, 2012 at 1:32 PM

If we taxed Romney at 100% we’ll get back the money we threw down the Solyndra rat hole…in 35 years.

gwelf on October 18, 2012 at 1:32 PM

Yeah, but we still have those great windmills…and we can get all that money back by inflating our tires.

right2bright on October 18, 2012 at 1:33 PM

The people who tell you profits are evil waste money at every chance they get.

Is it any surprise that they believe they are so virtuous?

tom daschle concerned on October 18, 2012 at 1:33 PM

Obama bundling piece of garbage, George Kaiser, will sure make out like a bandit. Hundreds of millions worth of tax loss carry forwards on his 70 million investment, which also bought all rights to asset sales, that would have went to the government.

Yes he can!

MNHawk on October 18, 2012 at 1:34 PM

…heh, while Obama croaks about the “millionaires and billionaires” that deserve to have more of their money taken away by the government

Ironic, much?

socalcon on October 18, 2012 at 1:37 PM

Green. The color of money Islam envy.

Archivarix on October 18, 2012 at 1:54 PM

Aren’t all of these waste/fraud/abuse revelations just so much fun? It’s becoming increasingly apparent that “green energy” is just the Obama administration’s all-too-politically-convenient cloak for business-as-usual, ramped up a notch.

You know, none of the people involved in the article will ever have to worry about missing a meal or having a clean dry warm place to sleep, unlike the 89 million people no longer in the workforce.

Have you all seen the article about the jump in welfare?
http://www.washingtontimes.com/news/2012/oct/18/welfare-spending-jumps-32-percent-four-years/

The number of people getting disability is also up.

dogsoldier on October 18, 2012 at 1:54 PM

Green is the new Red.

Buttercup on October 18, 2012 at 1:57 PM

Obama to Candy Crowley. “How’s my Di…..

ToddPA on October 18, 2012 at 12:58 PM

Dictate.

Buttercup on October 18, 2012 at 1:59 PM

Green is the new Red.

Buttercup on October 18, 2012 at 1:57 PM

That’s why they refer to environmentalists as “watermelons” – Green on the outside, Red on the inside.

Archivarix on October 18, 2012 at 2:01 PM

If you can’t abolish the EPA on day 1, then just give everyone in it a paid holiday for the rest of the year and let people know they won’t be expected to follow the regulations until the fate of the EPA is decided… the government will save money by not having to enforce those regulations and the economy will start its recovery almost immediately.

The States already have equivalent organizations, so it is time to get rid of the duplicate stuff not given to the federal government to do.

ajacksonian on October 18, 2012 at 2:02 PM

Just more of what Marxist Governments do best…steal their people’s wealth.

aposematic on October 18, 2012 at 2:02 PM

When “Investments” = boondoggles.

Bmore on October 18, 2012 at 2:36 PM

Betcha Solyndra’s attorney is getting her share.

natasha333 on October 18, 2012 at 3:01 PM

The lawsuit against the mainland China conglomerate has zero chance at success, and is simply a temporary dodge until after the election. An offering of pablum that the money may be recovered. Just like those ethics investigations against Democratic Congresspersons. Means nothing, hopes to hold onto low-information votes, should Solyndra come up in the news prior to election day.

Freelancer on October 18, 2012 at 3:11 PM

He just picks losers.

EconomicNeocon on October 18, 2012 at 4:22 PM

Even as advanced battery maker A123 Systems struggled for financial viability, it played the Washington insider game, where political money and access go hand in hand.

In the business environment Obama and the Democrats have built in this country, you get a better return on investments in lobbyists, lawyers, and political campaigns than you do in research, engineering, production, and marketing. It’s a death spiral for the country, but Democrats don’t care because they’re getting theirs. Even the worst caricature of a robber baron capitalist wouldn’t be that nefarious, or that stupid.

Socratease on October 18, 2012 at 4:28 PM

Was really disappointed that Romney didn’t drill Obama on this in the last debate..Obama gambled and lost this and many other failed green projects…

sadsushi on October 18, 2012 at 7:22 PM