Bankruptcy

Saleen Appears to be Going Bankrupt and its Time Maybe Limited

It supposedly has just $7,261 in cash left.

This isn’t the type of news we like to hear. According to a report from Jalopnik, who obtained information from the Securities and Exchange Commission, Saleen Automotive is in dire trouble. They’re the good folks behind all those modified Mustangs as well as the Saleen S7 supercar. Here are its sad finances: Saleen has just $7,261 in cash, its total current assets amount to $668,629, and its total liabilities (the money it owes to entities such as its bank and law firm) is $5,634,841 plus $583,900 in unpaid payroll taxes.

It gets worse. According to its 10-Q earnings report, Saleen’s revenue has shrunk by almost half over the past few years. From this past July to September alone it lost more than $2 million. So what the hell happened? How could things get this bad? Saleen has yet to comment, but it appears a buyer is being sought. On a good note, the company claims to have begun deliveries of its beefed-up Tesla Model S, the FourSixteen. But that income alone won’t even come close to covering all those debts.

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