As Fisker is currently going through bankruptcy proceedings, the brand’s founder and his wife have just announced that they are giving up their salaries. They want to avoid being stuck with 3,231 electric SUVs on their hands.
Henrik Fisker and his wife, Geeta Gupta-Fisker, have announced that they are reducing their salary to a symbolic $1 in order to successfully sell the remaining Oceans in stock and repay the creditors. The California-based brand is bankrupt and is trying to get rid of its remaining models by selling them to American Lease, a New York-based company specializing in vehicle leasing.
Fisker aims to sell its last 3,321 Oceans for $46.25 million (43 million euros), which is approximately $14,000 per vehicle. However, there is a problem. All Fisker Ocean models are subject to a recall by the National Highway Traffic Safety Administration due to a faulty water pump that can cause a loss of power, a known issue for several months.
The End of the Fisker Adventure
All Oceans in stock must be repaired before being sold. According to the American media outlet TechCrunch, Fisker plans to get rid of its Oceans in waves of 200 units at a time, while repairing the others. This requires liquidity. This is why Henrik Fisker and his wife have given up their salary (the exact amount is unknown) and their $710,000 in bonuses.
While the manufacturer focuses on repairing and selling its remaining stocks, a legal battle is ongoing. The company owes over $850 million to its creditors. Among them is Heights Capital Management, one of the world’s largest private financial services companies, which is demanding all of Fisker’s assets as collateral for its obligations.