I read an article by Eric Wesoff, Senior Analyst at Greentech Media having to do with the bankrupt company Solyndra. He said that he talked to one of the original Solyndra inventors and patent holders who told him that the packaging requirements for this design (solar panel) rendered it incapable of being competitive.
He said the man told him this three years ago after he left the company. Wesoff talked about the CEO of Solyndra, Brian Harrison. Harrison was drawing a salary of more than $400,000. Wesoff said the man had no management skills or manufacturing process skills. As I have said before, when contemplating profit margins of producing an item, before spending real money, engineering and other department heads conduct a study.
From the cost of raw material and all labor your cost is known within acceptable estimates. If this is not a new product but a design to compete with a competitor’s existing product, one knows where his cost must be, if it’s profitable to pursue the product further. Because one of the inventors and patent holders who had quit the company three years earlier, there is a good chance management knew the product wasn’t going to be competitive. Who knows why they went ahead if this is so?
It is just logical speculation at this point and the FBI is investigating. Newspaper reports show billionaire George Kaiser raised between $50,000 and $100,000 for Obama’s election campaign. Kaiser is one of Solyndra’s primary investors. The article stated Kaiser himself donated $53,500 to Obama’s 2008 campaign.
The article also stated he made several visits to the White House and appeared at some White House events next to Obama officials. All this has been on local and national news many times. What matters is taxpayers have lost $535,000,000. Solyndra is just one example of many other major mistakes made by the Department of Energy and the White House.
Political cronyism cannot be tolerated. It doesn’t matter who is in the White House. Bailouts must never happen again. The government must stay out of private business. Let businesses fail that need to fail. Non-recourse loans need to come from other sources like mom and dad. Obama has run up a $5 trillion debt his first 3 years as president.
No country can survive this kind of spending. No year should start without a budget.
Howard W. Hall