Vectrix Insolvency: Current Status?

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jdh2550_1
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Vectrix Insolvency: Current Status?

What's the latest news? Has a bankruptcy filing occurred?

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Re: Vectrix Insolvency: Current Status?

double post

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Re: Vectrix Insolvency: Current Status?

Marcopolo is very silent. The bid might be over by now... ;-)

There are many rumours, many of them positive, but itvery difficult to find out if they're true or not... I prefer to wait for an official announcement.

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Re: Vectrix Insolvency: Current Status?

Could this help save Vectrix - or is it too late?

http://www.dealernews.com/dealernews/LATEST+NEWS/Brammo-Bill-Seeks-to-Open-Funds-to-Electric-OEMs/ArticleStandard/Article/detail...

Gist of it is that money that the government is considering putting into EVs is now being considered to be eligible for two-wheelers.

John H. Founder of Current Motor Company - opinions on this site belong to me; not to my employer
Remember: " 'lectric for local. diesel for distance" - JTH, Amp Bros || "No Gas.

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Re: Vectrix Insolvency: Current Status?

You're settling up another positive rumour ;-)
It's too early to answer, let's wait for news.

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Re: Vectrix Insolvency: Current Status?

let's wait for news.

I don't know if you've noticed but the Vectrix Corporation hasn't exactly been forthcoming with news.

John H. Founder of Current Motor Company - opinions on this site belong to me; not to my employer
Remember: " 'lectric for local. diesel for distance" - JTH, Amp Bros || "No Gas.

myocardia
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Re: Vectrix Insolvency: Current Status?

I don't know if you've noticed but the Vectrix Corporation hasn't exactly been forthcoming with news.

I officially nominate this statement for understatement of the year.

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Re: Vectrix Insolvency: Current Status?

Where o where has Marco gone? Come back and tell us more stories.

Steve Scott
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Re: Vectrix Insolvency: Current Status?

Maybe Marcopolo has met another interesting person in a bar . i think we should file a missing person report.
but then again i think the forum has been alot more interesting and sedate in the last few days ,being used as it should as a medium for people with a common interest and not a political platform.

Steve Scott

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Re: Vectrix Insolvency: Current Status?

Maybe Marcopolo has met another interesting person in a bar . i think we should file a missing person report.
but then again i think the forum has been alot more interesting and sedate in the last few days ,being used as it should as a medium for people with a common interest and not a political platform.

Maybe so - however, there is a lot of common and understandable interest in wanting to know the state of the Vectrix Corporation.

The last official press release I saw from Vectrix Corp said that they were preparing to file for Chapter 7 bankruptcy in 30 days. That was back in June (or was it July? - either way it was more than 30 days ago!). That press release was picked up by several trade journals (I saw it in print in Dealer News and also quoted on several internet sources)

If the company chose to publicly communicate that bit of dire news you'd think they'd follow up with a meaningful update...

So, Steve, you're obviously still around (hooray!) - so what's the scoop? When do you think Corporate HQ might deign to tell us customers whether the parent is still alive?

John H. Founder of Current Motor Company - opinions on this site belong to me; not to my employer
Remember: " 'lectric for local. diesel for distance" - JTH, Amp Bros || "No Gas.

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Re: Vectrix Insolvency: Current Status?

I have found a press release on a french site a few days ago : http://www.motomag.com/Vectrix-le-point-apres-un-ete-6951.html
For those who don't speak french, I can summarize : Vectrix is currently negociating with an "important battery manufacturer" and the Vectrix store in Paris continue to sell VX1 directly imported from the polish plant.
In the same time I had also found a job issued by Vectrix poland (http://praca.com/oferta_pracy_Specjalista_ds__Zakupow_1515157/) and my local Vectrix dealer told me he can propose VX1 in less than two weeks through the importer in netherlands.

So, it seems that the company is still alive...at least in Europe.

PS: Try to translate the complete web pages with the Google translation tool, the translation is quite good (at least for french).

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Re: Vectrix Insolvency: Current Status?

SkyObs31 - Many thanks for the link. Yes, the google translation is pretty good. It seems that somehow the European side of the business is managing to survive despite the Vectrix Corporations possible demise. Strange - I didn't think that would be possible. But hey, what do I know!? Good luck to Vectrix Europe...

Vive la Vectrix!!!

John H. Founder of Current Motor Company - opinions on this site belong to me; not to my employer
Remember: " 'lectric for local. diesel for distance" - JTH, Amp Bros || "No Gas.

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Re: Vectrix Insolvency: Current Status?

SkyObs31 - Many thanks for the link. Yes, the google translation is pretty good. It seems that somehow the European side of the business is managing to survive despite the Vectrix Corporations possible demise. Strange - I didn't think that would be possible. But hey, what do I know!? Good luck to Vectrix Europe...

Vive la Vectrix!!!

John,

Vectrix will apply to file for Chapter 11, early next week. the entire process should take around 30 days to assess the viability of Vectrix purchase bids. Most of the news stories are inaccurate, (the Polish factory is a wholly owned Vectrix subsidiary, and is currently idling in supervised bankruptcy, awaiting the outcome of it's parent). Naturally, Vectrix are trying to paint the most positive picture it can to attract a viable bidder this close to the final bidding process.

It is scarcely a secret that talks have been ongoing with the existing battery supplier. (batteries are currently supplied as part of an exclusive joint venture agreement)

I would imagine the current supplier would really want to participate in a rescue bid. If only to protect it's existing investment and avoid litigation for past battery defects.
Participation by this battery manufacturer, may or may not, be a good thing. It could be said that battery problems were a large part of Vectrix service problems and contributed to it's failure.

It's also probably undesirable for Vectrix to commit to any exclusive supplier, with an inextricable arrangement. Then again, maybe a battery alliance might solve the problems a second time around.

Early estimations, (based on information supplied by Vectrix to AIMS), citing sales of three thousand + Vectrix units may be inaccurate.

The actual figure of 2200 would appear to be more accurate. Performance bonuses for Mike Boyle, and his executives, were undoubtedly liked to sales output. This is not uncommon practise, sadly, it is not uncommon for those sales to be of dubious validity!

Since Vectrix needed more than 33000 + units, sold,annually, just to break-even, any independent purchaser will have to work very hard indeed to increase sales by twenty or thirty times!

This of course assumes that the New Vectrix will try for mass market acceptance. It is difficult to see how the VX1 would survive without unit savings to keep the price competitive.

But far more will be known when the full details of Vectrix are released to all the relevant parties.

Steve,

You are right, you should stay out of politics. You should also not criticise others with greater knowledge than yourself. As a minor Vectrix employee, it's not your business to enter into unauthorised debates about the business, finance or even marketing concepts of the company. Stick to product knowledge, and servicing, or be like John and try manufacturing your own product. Invest your own money, become a dealer/distributor or even a financier of an EV's manufacturer, then you will have earned the right to comment.

It is understandable that you can't, and shouldn't, comment on the corporate affairs of Vectrix, since even if you possessed the knowledge, as an employee, you could not properly disclose such information.

On the other hand it is perfectly acceptable for Vectrix owners, and anyone unconnected to the company, to criticise and debate the affairs of Vectrix, with, or without, passion. It's very useful, since the owners of Vectrix bikes, are among the first EV pioneers, and their views, good and bad, informed and uninformed, are very important.

I read with fascination Mik's self-taught engineering skill and innovations. If I were considering financing an EV maker, or even distributor, (and I am approached at least once a month with such requests), I would insist the prospective EV business talk to Mik or John, as part of the learning process.

EV development requires, the passion of a great many people, scientists ,engineers, designers, entrepreneurs, sales and marketing, advertising, finance, PR,journalists, production and manufacturing, servicing and most essentially, people who can influence the political process.

Everyone is needed to contribute what expertise they can. I don't argue technical details with Mik or John! I possess some knowledge of business organisation, and financial journalism. What knowledge I acquire, I contribute freely to those who find it useful or interesting, in exchange for their technical information or just to read others ownership experiences. Those who find such information not to their taste, well, it's like TV, just change channels!

Why Vectrix failed,is very important! Vectrix is the very first attempt to mass produce a consumer EV. If it dies or dwindles to a small scale production product, with a just a small band of dedicated fan's, the circumstances are of great significance to the whole EV industry.

Incidentally, If you restrict discussion to sedate little anorak pleasantries, forums discussion becomes the worst form of tedious club life. (You'll be discussing the weather next!)

P/s

This will be my last post in relation to Vectrix, at least for a while. Since, as I have always stated, I am a creditor of Vcorp, and there is a very distinct possibility I may become one of a large number of litigants exploring the possibility of suing the current Directors, in the event that the Directors are held personally liable for aspects of the corporate demise. It would be improper for me to comment on the privileged information I receive in relation to those matters.

As I said before, it is unlikely that I will have any influence as to the outcome of Vectrix, but if I had a wish, I would like to see Cicatrix securely restructured, and the VAX develop it's true potential, and continue to be made in Europe. I see no benefit in a badge labelled Chinese Vectrix!

But that's just my personal opinion.

marcopolo

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Re: Vectrix Insolvency: Current Status?

Marco, you live!~ We were worried, I am sorry to see you feel a conflict of interest in posting on this a forum, particularily given your previous comments about Vectrix UK and I am suprised you now feel you cannot comment on priveleged info, I thought it was all just clever research Never mind, all will be revealed one day no duobt. For what its worth ease up on Steve, he has been consistently solid in all this c--p. Actually it is only him Doug and Mik who have given me any belief that us poor VX1 owners can survive. Since you seem to be more intimately involved than you care to admit, I hope you remember your proffessed ideals once this all pans out. Ciao

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Re: Vectrix Insolvency: Current Status?

...

P/s

This will be my last post in relation to Vectrix, at least for a while. ...
...

Bye, and thanks for all the fish!

This information may be used entirely at your own risk.

There is always a way if there is no other way!

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Re: Vectrix Insolvency: Current Status?
...

P/s

This will be my last post in relation to Vectrix, at least for a while. ...
...

Bye, and thanks for all the fish!

Likewise.

Marco - we'll miss your posts on the details of Vectrix. I for one have always appreciated your point of view - and combining it with other snippets of information received from others. Whether we descend into "anarok status" or not remains to be seen - I strongly doubt it. The forum, and this industry, has a history of igniting passions both positive and negative. There's always a lot to discuss and a lot going on...

Which brings me to the fact that I hope you don't stop posting on thoughts and observations on business and finance issues in the nascent EV world. After all this forum is "V for Voltage" not "V for Vectrix"! Here's a starter for you (I'm going to paste this to a new thread):

Brammo is bringing out the Enertia for around $11,495. It's already late but I do notice that its specs have been creeping upwards over the last couple of months (used to be 50+mph now 60+mph) - I hope this is due to great engineering changes not worried marketeers wanting to eek out more attractive specs. Also, Best Buy is a minority share holder with a reported $10M investment and a deal to distribute the bikes (not sure if that's an exclusive deal or not?). So, at a minimum the company can be said to be worth $20.1M. What are these guys smoking !? (and can I have some?)...

1) How many bikes do they need to sell to be profitable?
2) When might they become profitable?
3) When might their investors wake up and start getting nervous and putting pressure on management for better results?
4) How many folks will buy a $11,495 motor bike that does around 55mph and has around a 30 mile real world range?
5) How many folks will feel comfortable purchasing their transportation from a big-box consumer electronics store - that hasn't always had the best reputation in advice and pricing it gives to customers (anyone remember the fake website that you accessed when in store vs. the website you accessed from the internet?)

My guess is that either (a) Brammo will become the next Vectrix - maybe in 18 months to three years or (b) they really do have the killer-app product and are using the Enertia as an entry into the marketplace with some "too good to miss" follow on product. I give odds at 10:1 of (a) over (b).

What are your thoughts? What am I missing? Why might Brammo succeed where Vectrix failed?

Yes, this is somewhat harsh commentary - but I hope Brammo fans can appreciate the fact that this is genuine curiosity. The folks that run Best Buy aren't dumb - they see something here. Surely they've done their due diligence. So, what am I missing?

John H. Founder of Current Motor Company - opinions on this site belong to me; not to my employer
Remember: " 'lectric for local. diesel for distance" - JTH, Amp Bros || "No Gas.

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Re: Vectrix Insolvency: Current Status?

Marcopolo, thanks for all your contributions, it was a pleasure to discuss with you!
Ps No one wants a rebadged Chinese Vectrix, we all hope that doesnt happen!
RaDy

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Re: Vectrix Insolvency: Current Status?

Marco, you live!~ We were worried, I am sorry to see you feel a conflict of interest in posting on this a forum, particularily given your previous comments about Vectrix UK and I am suprised you now feel you cannot comment on priveleged info, I thought it was all just clever research Never mind, all will be revealed one day no duobt.

Sigh, this is how conspiracy theories begin!. What I wrote is correct! Until today I have received no "privileged information' so no conflict! In the future, this position may change with my possible participation, with others in a combined legal action. This may involve me receiving 'privileged information' from fellow litigants. Disclosure of that information would be not only a conflict of interest but a breach of trust.

I hope that clarifies that any confusion?

marcopolo

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Re: Vectrix Insolvency: Current Status?

I cannot WAIT for the NEW Vectrix to be back in action. Clearly it is the leader in the industry...and lets remember leaders in the industry TAKE ALL THE RISKS!

Henry Ford, 1863-1947, automobile manufacturer, first two automobile manufacturing companies failed. The first company filed for bankruptcy and the second ended because of a disagreement with his business partner. In June 1903, at the age of 40, he created a third company, the Ford Motor Company with a cash investment of $28,000.00. By July of 1903 the bank balance had dwindled to $223.65, but then Ford sold its first car, and as they say the rest is history.

I will support the NEW VECTRIX once they do come back...Can I say I am just a little excited:)
Whomever Marco Polo is....get over it buddy

Steve Scott
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Re: Vectrix Insolvency: Current Status?

Hey calm down Marcopolo obviously things aren't going your way at the moment.
Wow that was some rant but i would just like to say that i have been in the automotive industry for 30 years in the truck ,car ,motorcycle and heavy plant sectors .
obviously only as a (simple) technical person and not a high flyer like yourself but i would like to point out that the wrench and screwdriver are what keeps the pen and PC operating .
You may think that all technical people are second class citizens or anoraks but maybe we are just doing something we enjoy.
It doesn't take a degree or a mass of business knowledge to see where Vectrix has gone wrong and i just hope that now these mistakes have been recognised if it does continue with a new owner that these will not be repeated.
Just chill out Marco we appreciate that you along with many others have lost your investment and that is why we in the technical dept are trying to help those people that have got problems with their investment.
You never seem to have any issues with your 17 machines or have you got some (simple)technician back in Aus looking after them.

Steve Scott

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Re: Vectrix Insolvency: Current Status?

Hey calm down Marcopolo obviously things aren't going your way at the moment.
Wow that was some rant but i would just like to say that i have been in the automotive industry for 30 years in the truck ,car ,motorcycle and heavy plant sectors .
obviously only as a (simple) technical person and not a high flyer like yourself but i would like to point out that the wrench and screwdriver are what keeps the pen and PC operating .
You may think that all technical people are second class citizens or anoraks but maybe we are just doing something we enjoy.
It doesn't take a degree or a mass of business knowledge to see where Vectrix has gone wrong and i just hope that now these mistakes have been recognised if it does continue with a new owner that these will not be repeated.
Just chill out Marco we appreciate that you along with many others have lost your investment and that is why we in the technical dept are trying to help those people that have got problems with their investment.
You never seem to have any issues with your 17 machines or have you got some (simple)technician back in Aus looking after them.

Steve Scott

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Re: Vectrix Insolvency: Current Status?

Hey calm down Marcopolo

Dear Steve.
Marcopolo is a "POLOrized" player, we all know his way ;-). In my opinion, there's no need to follow his game inside this forum.
Cheers,
R

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Re: Vectrix Insolvency: Current Status?

Hey all,

Here's a radical idea. How about only posting when you have news or some point of view relevant to the thread. I started a new thread here because loading the old one took forever and 90% of it was just "he said this, he said that, whine, whine, whine".

I'm getting fed up with all sides bitchin' at one another and not adding a single thing of value to the thread. Kindly go take your pissing matches somewhere else - feel free to start a thread called "I hate X". Even better arrange a meet up in a kindergarten playground somewhere - you'll all fit right in.

(OK, I haven't had my caffeine yet this morning - but folks, please, CAN WE ALL FREAKIN' GROW UP?)

(PS, don't reply telling me this post has no value to the thread - I'm already aware of the irony - and note the inclusiveness of the bolded text)

John H. Founder of Current Motor Company - opinions on this site belong to me; not to my employer
Remember: " 'lectric for local. diesel for distance" - JTH, Amp Bros || "No Gas.

Steve Scott
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Re: Vectrix Insolvency: Current Status?

sorry its monday and he rattled my cage.

Steve Scott

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Re: Vectrix Insolvency: Current Status?

Hey calm down Marcopolo obviously things aren't going your way at the moment.
Just chill out Marco we appreciate that you along with many others have lost your investment and that is why we in the technical dept are trying to help those people that have got problems with their investment.
You never seem to have any issues with your 17 machines or have you got some (simple)technician back in Aus looking after them.

I know, I know, John, I shouldn't feed 'em, but it's just so irresistible!

So Steve, tell me , how exactly are you as a paid employee of VUK going to help with the $ 300 million dollars worth of investment that the previous management of Vectrix squandered? No? exactly you can't!

I have no idea what you mean by 'things aren't going your way' ? What way is that???

I am also amazed that a paid employee of Vectrix would feel it essential to be so aggressive and offencive to the single largest customer of Vectrix. It would be fair to say that you are still employed by current board of Vectrix. These are the very directors who have brought the company into bankruptcy.

Your claim to be just simple tech guys trying to help, might be more valid if you were not the paid employees (and evidently supporters) of the management team who brought the enterprise into disaster. It is significant that Vectrix has only one paid employee in the entire USA, an accountant, yet VUK is funded and maintained as a condition by Mike Boyle's Chinese allies at E-max, for tactical purely reasons.

But, I repeat it is not your place to comment on company affairs, or tell shareholders and customers to "Chill out".

But these issues will become part of the very public disclosures as the chapter 11 unravelled.

Oh, and hey, if you had bothered to read my posts, you would have noted the various problems I have experienced with my bikes, not all of which are in Australia. Ah, and if you bothered to do even a modicum of research on this forum, you would have read my reasons as to why I am a creditor of Vectrix! Not real hard, since I have replied to this question several times.

marcopolo

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Re: Vectrix Insolvency: Current Status?

Hey all,

Here's a radical idea. How about only posting when you have news or some point of view relevant to the thread. I started a new thread here because loading the old one took forever and 90% of it was just "he said this, he said that, whine, whine, whine".

I'm getting fed up with all sides bitchin' at one another and not adding a single thing of value to the thread. Kindly go take your pissing matches somewhere else - feel free to start a thread called "I hate X". Even better arrange a meet up in a kindergarten playground somewhere - you'll all fit right in.

(OK, I haven't had my caffeine yet this morning - but folks, please, CAN WE ALL FREAKIN' GROW UP?)

(PS, don't reply telling me this post has no value to the thread - I'm already aware of the irony - and note the inclusiveness of the bolded text)

__________________
John H. Ann Arbor, MI, USA Home of Current Motor Company

Well said John ,come on MarcoPolo lets take this off of this forum now and give me a call , you have my Number but I dont have yours so its in your court I am afraid .

Steve Scott

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Re: Vectrix Insolvency: Current Status?

Hey Guys this is just getting interesting .
Dont take off of here yet as I am very near to revealing Mr polos id.
I will have to choose my moment Carefully.
Steve i wouldnt bother waiting in for that call because it aint goin to happen , he hasnt got the balls to come on here and be open about his ID its because he has a very alterier motive .

Just very well informed

jdh2550_1
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Re: Vectrix Insolvency: Current Status?

Deleted by original poster.

John H. Founder of Current Motor Company - opinions on this site belong to me; not to my employer
Remember: " 'lectric for local. diesel for distance" - JTH, Amp Bros || "No Gas.

rewski
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Re: Vectrix Insolvency: Current Status?

Adam - Denver, CO
2007 Vectrix VX-1 charged with the power of the sun = zero carbon footprint

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Re: Vectrix Insolvency: Current Status?

Hi,
at least something official is released even if there are more question then anwsers in this article ....
I am a little bit fed up with waiting even if after 13000 km my vec still transports me over 100 km everyday ...
regards
jean mi

vectrixhoper

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Re: Vectrix Insolvency: Current Status?

Press Release. Looks a bit promising.
http://www.earthtimes.org/articles/show/vectrix-enters-into-asset-purchase-agreement,976547.shtml

Interesting. Anyone got $5.057M - you can outbid "New Vectrix, LLC". Sounds like a bargain.

Here's the text of the entire thing:


Vectrix Enters Into Asset Purchase Agreement
Posted on : 2009-09-28 | Author : Vectrix Corporation
News Category : PressRelease

MIDDLETOWN, R.I., Sept. 28 RI-Vectrix-asset-agre

MIDDLETOWN, R.I., Sept. 28 /PRNewswire/ --- Vectrix Corporation (AIM: VRX) (www.vectrix.com), a leader in Personal Electric Vehicles, announced today that it has entered into an asset purchase agreement to sell most of the assets of the Company to New Vectrix LLC ("New Vectrix"), a Delaware limited liability company sponsored by GH Venture Partners LLC. As part of the agreement, Vectrix has filed a voluntary petition for relief under chapter 11 of the United States Bankruptcy Code in Wilmington, Delaware whereby the sale of the assets, including its stock ownership of its European subsidiaries, will be effected pursuant to section 363 of the Bankruptcy Code. The assets will be sold pursuant to a sales and procedures order that is anticipated to be approved by the Bankruptcy Court to either New Vectrix LLC or to another buyer who is determined by the Bankruptcy Court to have offered a higher and better bid for the assets of the Company. During this process, the Company expects to continue normal business operations consistent with its obligations as a chapter 11 debtor-in-possession company under the jurisdiction of the Bankruptcy Court. The Company's subsidiary, Vectrix Poland Sp. z.o.o., will continue to produce the Vectrix bike and will provide customers with accessories, spare parts and technical support.

Commenting on the sale, Mike Boyle, CEO of Vectrix, said, "This transaction provides a platform to continue the Vectrix brand and its advanced electric vehicle technology. We want to express our appreciation to our partners and customers for their continued patience and support during this transition."

Terms of Asset Purchase Agreement

Under the Asset Purchase Agreement, New Vectrix LLC would purchase substantially all of the Company's assets and assume certain of the Company's liabilities through a supervised sale under section 363 of the Bankruptcy Code. Providing New Vectrix LLC is the winning bidder they have also agreed to extend warranty coverage on the Vectrix vehicles previously sold to dealers and consumers up to a $2,000,000 cap for claims filed 60 days post-petition. The total purchase price consists of a cash payment of $1,750,000 plus the assumption of up to $3,306,000 in specified liabilities for a total purchase price of up to $5,056,000, but is subject to higher and better bids, approval of the Bankruptcy Court and customary closing conditions. The Company expects to engage in a bidding process with other interested parties. Those interested in submitting bids should contact John D. McGuinness, Chief Financial Officer, at 401-848-9993 ext 103, or via email at jmcguinness [at] vectrixusa.com, as soon as possible as competing bids are expected to be due by October 27, 2009.

The Company's report and accounts for the year ended September 30, 2008 will not be published before September 30, 2009. On that date, trading on AIM in the Company's securities will have been suspended from trading for six months, and as a consequence of AIM Rule 41 those securities' admission to AIM will be cancelled with effect from October 1, 2009.

About Vectrix Corporation

Vectrix Corporation was formed in 1996 to develop and commercialize zero-emission vehicle platform technologies focused on two-wheel applications. The single focus of Vectrix has been to provide clean, efficient, reliable and affordable urban transportation. Vectrix Corporation has headquarters in Middletown, R.I., engineering and test facilities in New Bedford, Mass., sales offices in the UK and a manufacturing facility in Wroclaw, Poland.

SOURCE Vectrix Corporation

John H. Founder of Current Motor Company - opinions on this site belong to me; not to my employer
Remember: " 'lectric for local. diesel for distance" - JTH, Amp Bros || "No Gas.

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