Replies to post #5895 on Saleen Automotive, Inc. (fka SLNN)

[FredVestor]

Alright. This is not what is happening at all. They don't answer the phone because they are screening for vendor trying to collect their money on the $1.7 million Saleen owes them. THIS INCLUDES $1.3 MILLION 90 DAYS PAST DUE.

I worked for vendors that was owed money past due and that's what you do, you call you client every other day and you go there if you need to, but your job is to get that money.

They don't answer to screen the calls.

And yes they are too many orders for the staff that is true, but it's not difficult to have too many orders when you have a staff of no more than 20 and just a few people of that on the production line.

[AutoInvestor]

Who, at this point, would save the day for Saleen?

Someone will come and save the day...apparently they are overwhelmed with orders and both return emails and phone calls take days.

Any lender will look at Saleen's public financial statements and puke.
No conventional commercial lender could legally even draft an unsecured loan to Saleen.
The asset to debt ratio is 1 to 8 when it needs to be at least 1.75 to 1.0
All of Saleen's few assets are pledged to other debtors who Saleen is delinquent with.
Saleen's credit history is horrible.
Saleen has no budget and spends 5X it's revenue.
Saleen's Gross Margin is negative which indicates that their is no profit
in the price of the cars being sold. It cost more to tune the car than they get paid.
Bad pricing or too much content being added to the chassis. More orders, more losses.

Saleen's debt to equity is off the charts.
Saleen is being sued by it's bank for delinquency.
Saleen is being sued by a Ford Dealership for stealing 7 Mustangs.
The equity is negative and the debt is over $8M.

The only possible would be a buyer, but who would buy Saleen?
They would have to pay $10M to get out of debt and then purchase
a couple of million dollars worth of inventory on COD terms.
They would have to buy out the existing shareholders and then
deal with Steve who would only give them 49% of the company.
The company's value would have to = $30M when the market cap on the OTCBB
is only $1.2M. No one is going to buy Saleen for 25X market cap.

Anyone even slightly interested in buying Saleen would wait until they
we're forced into bankruptcy and then acquire them by court order after the bankruptcy
judge zeroed out all the debt. At that point, they could pick up the company cheap and get
100% of the shares. They would still have huge issues: disgruntled vendors, who lost all their receivables are
not going to sell parts cheap to Saleen. They will jack up their pricing to get back some of their losses and they
will always be on COD. Employees may leave. They will potentially be unemployed during the bankruptcy transaction period. Customers will have lost all their deposits and they will not come back. The backlog of orders will drop to nearly zero. The burn rate of ($812K) per month will have to be cut way down, meaning controls on spending. Steve will not tolerate that. Steve will no longer be the CEO. It would be a different company with a high probability of failure. Not likely to find a buyer.

I have been trying to order my Camaro 620 but due to the understaff it hasn't been that easy to get done.

Did you order the Camaro 620 or not?
If you put a deposit down it's gone. You lost it.
If you did not put a deposit down, you will never see this car.
Not a 2015. Maybe an old 2013-2014 converted showcar.
Bankruptcy is 99.9999% certain at this point in time.

[Milesblue42]

Saleen Int Debuts New Models for China Market

Someone will come and save the day...apparently they are overwhelmed with orders and both return emails and phone calls take days.

I have been trying to order my Camaro 620 but due to the understaff it hasn't been that easy to get done.

Could also be other reasons for backlogged orders.....


And there is the other side......

http://soec.org/saleen-int-debuts-new-models-for-shanghai-auto-show-2015/

Event Coverage
SALEEN INT. DEBUTS NEW MODELS FOR SHANGHAI AUTO SHOW 2015

[Milesblue42]

Thanks for confirmation Saleen is still open

Someone will come and save the day...apparently they are overwhelmed with orders and both return emails and phone calls take days.

I have been trying to order my Camaro 620 but due to the understaff it hasn't been that easy to get done

Order backlog looks like a good sign. This means customers are ordering Saleens. We were told many time last year Saleen wouldn't be open. Your order sounds like a good sign

What color did you order?