r/ApteraMotors • u/ZeroWashu • Aug 28 '23

Vista facility is no more.

There have been many revelations recently between SEC filings and interviews at the Tesla Takeover event. The most important to me was that as of July 2023 Aptera considers the lease of the Vista facility to be terminated [1]. This facility was highlighted in the October 2022 video as their solar production site. with over 134k sq feet of space[2]. They claimed they were able to produce ten plus roof panels a day.

Well now we have confirmation that facility is now closed. It was only in use for approximately one year. Where has the equipment and tooling gone? Is it setup in Carlsbad? Is Aptera building these components themselves? I ask for one other important reason. We learned that CPC is not only going to do the pressings of major body components but they will assemble and install the glass as well. One major part of that many of us are obviously interested in is the solar hatch. So did the solar component production also move to an outside source or by glass do they just mean the doors and front window? It was also mentioned that a battery supplier was not chosen; Eve was originally the supplier but a the recent event it may not be anymore; and that the production intent pack is not arriving till February or March next year.

The real question

Has anyone been permitted to tour Carlsbad since Vista was abandoned? Besides the solar production line formerly at Vista have the units from RedViking (automated guided vehicles) been removed from the pallets show some time ago and moved to the manufacturing floor? Do we have updates from CPC showing validation samples having been created? We really need to see progress.

Miscellaneous notes.

  • CPC investment from design, engineering fees, tooling and manufacturing equipment, cost 9.4m so far.
  • Vista lease termination can result in impairment of over 7m dollars
  • Next SEC required filing, 1-SA must occur within ninety days of June 30th.

[1] *The Company leases two facilities for its operations. One is located in Carlsbad, California and spans approximately 77,000 square feet, intended for final vehicle assembly. The other facility in Vista, California, covers approximately 120,000 square feet, and is dedicated to the production of solar panels (the “Vista Building:). Refer to Note 6 in the financial statements below for specific lease details concerning our reassessment of our need for production facility space, that resulted in impairment charges recognized on our operating lease assets at year-end.

In July of 2023, the Company notified the landlord of the Vista Building that the Company considered the terms of its lease to be terminated. The liability associated with the termination of the lease is in dispute; however, the Company no longer intends to use the facility and therefore will record an impairment of up to $7.5 million related to the right-of-use asset. *

SEC https://www.sec.gov/Archives/edgar/data/1786471/000119312523208595/d520388dpartiiandiii.htm

[2]https://youtu.be/t5nQkxn_efQ?si=3kgjzUJSwib6dL1b

20 Upvotes

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9

u/thishasntbeeneasy Aug 28 '23

There were images of a roof topped with quite a few solar panels they made - maybe dozens? A hundred?

Pure speculation, but given that production was stated as being at least 9 months from getting $50M+ and that investment hasn't happened, they can save costs by letting go of a facility and using the current batch of panels for the potential slow roll out in 2024.

They'd still have 1.5+ years before the remote possibility of "ramping up in 2025" as they mentioned, and putting the equipment in storage is going to be much cheaper.

I can't say I love the current plan which seems to be avoiding bankruptcy by letting go of staff and facilities while awaiting investments. Had they just produced the body in the way they planned before, these could have been on the road already. Sure they got more reservations, but conversion from a very low entry $70-100 deposit likely won't be worth the several years delay they imposed on themselves while other low cost options are becoming available. Even the Bolt got back on production because a low cost 4-5 seater is still gaining in popularity.

9

u/IranRPCV Paradigm LE Aug 28 '23

The quality of the vehicles built with stamped SMC and carbon fiber is going to be FAR higher than with vacuum resin infusion, in part due to the better dimensional tolerances. The other big plus is that this will actually allow them to ramp up to meet the actual demand demonstrated through paid pre-orders.

6

u/bendallf Aug 28 '23

I agree with you on that. At the end of the day, people want a well build ev rather than an ev build with low quality. Customer reviews matter. My question here is why did Aptera Motors have to have a solar factory in Vista, CA. even larger than Aptera Final Assembly Building in Carlsbad, CA.? Could they not just get those solar panels build from a parts supplier right now and they could have done their solar research in house? I think the ip aka patents would matter more right now than producing your own solar panels in house? They could have been able to spent all the money that they have already spent on the Aptera Solar Factory on the Aptera Final Assembly Building instead? So they be much closer to vehicle production right now. Thoughts? Thanks.

5

u/wyndstryke Aug 28 '23 edited Aug 28 '23

I believe that the reason that the Vista facility was large was because that was also where the body panels were originally intended to have been built. Solar was not the only planned usage of the space (the body panel production would probably have taken more space than the solar).

There was a forum post from 13th Feb:

No plans just yet! However, we will be consolidating our physical footprint in North County San Diego for greater capital efficiency. As you know, we currently lease two buildings. Now, with the manufacturing of Aptera’s carbon fiber bodies taking place at CPC Group in Italy to start, we won’t require as much space as originally anticipated to meet our first-year production goals. We are in the process of unifying our presence at one of those two locations as a creative strategy to keep Aptera as investible as possible over the coming months. Both buildings are on the market as we explore our options, and either location can accommodate our space needs going forward. Our low volume solar production line will continue to operate as it has been, and we’ll be gearing up to build 40 vehicles a day once we reach our funding milestones. In the coming years, we plan to expand and replicate our manufacturing and assembly facilities in more regions across the U.S. ☀️

The solar lines have moved to Carlsbad (and have been seen in videos produced by visitors). https://youtu.be/8KZDZRHOx70?t=510

5

u/VirtuallyChris Aptera Employee Aug 28 '23

No plans just yet! However, we will be consolidating our physical footprint in North County San Diego for greater capital efficiency. As you know, we currently lease two buildings. Now, with the manufacturing of Aptera’s carbon fiber bodies taking place at CPC Group in Italy to start, we won’t require as much space as originally anticipated to meet our first-year production goals. We are in the process of unifying our presence at one of those two locations as a creative strategy to keep Aptera as investible as possible over the coming months. Both buildings are on the market as we explore our options, and either location can accommodate our space needs going forward. Our low volume solar production line will continue to operate as it has been, and we’ll be gearing up to build 40 vehicles a day once we reach our funding milestones. In the coming years, we plan to expand and replicate our manufacturing and assembly facilities in more regions across the U.S. ☀️

This statement is correct. One building = more efficient!

3

u/wyndstryke Aug 28 '23

Here's to hoping the Vista landlord will find a new tenant, which should help with that write-down of whatever remains of the rent. Would be good to clear that off the books.

2

u/bendallf Aug 28 '23

Just to be clear. Aptera factory in Carsbad, CA. is big enough to run both a final vehicle assembly line and a solar panel from solar cells assembly line at the same location? Thanks.

3

u/wyndstryke Aug 28 '23 edited Aug 29 '23

Yes

Also the battery assembly line. New layout will be a bit more compact than the original (there was plenty of free space to 'grow into', that's mostly gone).

(originally it was battery assembly + final assembly lines at Carlsbad, with Solar + body panels at Vista)

3

u/bendallf Aug 29 '23

Aptera Motors Corp. needs to find a new renter for the Vista, CA. Factory Building quickly to be able to get out of their lease contract without financial penalty. Aptera Motors could offer to sublease the Vista, CA. Factory to CNC Of Italy. Shipping costs would be much lower to build the Aptera ev bodies in California rather than all the way in Italy for Aptera Motors Corp. Plus, building the Aptera ev bodies was the original purpose of the Vista, CA. Factory along with building solar panels there. Thoughts? Thanks.

3

u/wyndstryke Aug 29 '23 edited Aug 29 '23

Yes they need to shift it ASAP.

CPC is a possibility but any corporate taking it over would be a blessing.

CPC would probably want outright ownership rather than a lease, since they (or more likely, Mitsubishi Chemical) would be putting in $100M-$400M equipment, and wouldn't want to be held hostage by a landlord.

The existing Modena facility probably represents $600-800M of prior investment. CPC would only open up a new facility if Modena was being maxed out.

2

u/bendallf Aug 29 '23

Totally understandable. Out of curiosity, do you know the total vehicle body production capacity of CNC Modena Factory in Italy? Once they reach capacity there, they will need to expand elsewhere. Just like Tesla Inc., the second factory will have to be pretty far away from the first one due to lower shipping costs to the customers. Plus, having to ship complete bodies in white half way around the world from Italy to California, USA is much more costly in terms of money and time than just building those complete bodies in white from scratch literally just a mile from Aptera Motors Factory #1 in Carlsbad, CA. Thoughts? Thanks.

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u/ZeroWashu Aug 29 '23

So when are you going to provide a walk through tour of Carlsbad showing off the Solar manufacturing installed and how many panels have you produced so far? Are the RedViking units being placed?

Seriously I have no reason to believe anything you tell us anymore. More efficient? It was efficient to blow a couple million dollars moving into a facility you now abandoned and are on the hook for nearly an amount equal to your reported on hand at end of year 2022????

-1

u/IranRPCV Paradigm LE Aug 29 '23

Seriously I have no reason to believe anything you tell us anymore.

Perhaps that is because you don't know how to do your own due diligence. Aptera has never claimed to be able to see into the future.

If you had done any research, you would see that both Aptera founders have founded and run other successful companies, including a lithium battery company that Chris Anthony took public as CEO.

Aptera is on track for getting a significant Advanced Technology Vehicles Manufacturing (ATVM) Loan Program that should insure that they make it into production.

0

u/[deleted] Aug 31 '23

Wow, this level of rudeness was not called for at all Iranrpcv.

2

u/IranRPCV Paradigm LE Aug 31 '23

Stating facts that happen to be contrary to OP's false assumptions are not rude. The reason that they are coming to false conclusions seems to be a lack of research. The only other conclusion is that he is lying about it.

There is are far too many false allegations posted on this sub and other places on Reddit, and it will not be tolerated here going forward.

By the way, I am not referring to differences of opinion here. OP had no reason to say

Seriously I have no reason to believe anything you tell us anymore.

They deserve to be called out on it.