As expectant Aptera buyers are obviously aware, the company failed to meet its self-imposed end of 2008 deadline to start delivering vehicles. In fact it wasn't even close. The company does expect to have a "production-intent" vehicle completed by the end of next week but that one isn't leaving the company. In a letter sent to customers this week, management acknowledged that they waited until far too late in the program to actually give consideration to many of the things paying customers might want in a vehicle; the ability to grab some food from a drive-through window, for example.
Between the real-world compromises and the switch from rear to front wheel drive, management has acknowledged the delays along with the current economic environment. For the next several months, they say, a small number of vehicles will be built for internal testing. Volume production for retail deliveries is now scheduled for October 1, 2009. The company is also asking people who have paid the $500 refundable deposit to voluntarily convert it to a non-refundable deposit. This will let the company better gauge true demand for the vehicle
Update: Aptera will not be accessing this money, it will remain in escrow.
Dear Aptera Family Member,
By now you are likely aware that there are changes happening daily at Aptera. As one of our most loyal supporters and part of the early foundation of our future, we want to update you about some vital issues, including when your vehicle will be available.
Our most recent corporate commitment was that we would deliver the first production Typ-1, now known as the 2e, by the close of 2008. Despite our well-intentioned efforts, we were unable to complete that vehicle before the close of the year, so it's now slated for January 16. However, unlike prior plans, this vehicle will not be delivered to a retail customer. We will continue our builds but at a much slower rate starting with a small test fleet of the enhanced vehicles, then moving to our volume production launch on October 1, 2009.
For months we have been receiving important feedback from you, our depositor community, and we have come to realize there were flaws in our initial product assumptions -- specifically as it pertains to satisfying the needs of real-world consumers. Our greatest degree of learning came just a few months ago when we asked all of you to participate in a brief survey. This critical piece of research requested insights about your expectations for our company and our products, and we discovered a notable disconnect between our product plan and realistic expectations. Some modifications had to be made. For example, you helped us realize that some trade-offs for convenience (like being able to grab a burger in a drive-thru) might be necessary to make the ownership experience more palatable, even if it cost us a couple tenths of a point on our drag coefficient.
To navigate us through this process, we recruited a team of seasoned professionals from the automotive industry and the California tech sector. With a complete management team operating on one accord, we are now in a better position to resolve all of the fundamental product usage questions that have been brought to our attention by our initial depositors.
As we move closer to volume production in the face of this challenged economy, it becomes increasingly important for us to accurately forecast our first year's production volume. To date, we have tried to provide the greatest flexibility possible by maintaining all deposits as fully refundable, and now it has become equally important for Aptera to properly model our operations to meet demand. To address this issue, we have created a proposition, known as "Lock-in," to reward your commitment to this point and in the future. Lock-in allows you to voluntarily convert your deposit from refundable to a firm, non-refundable one and receive an addition $250 credit towards the purchase of your Aptera vehicle. In other words, we will give you an additional 50% return on your money for sticking with us and taking the extra step.
The Lock-in program is completely voluntary and no depositor will be penalized for electing not to participate, but only those who opt into the program will be eligible for the additional credit. As always, your deposit money will remain in escrow until you move to transact the purchase of your vehicle, which is when any and all credits will be applied. Aptera is not, and has no intention of using your deposit money to fund the company. We are prudently trying to plan our volume and capacity to assure we do not introduce waste into our system that could lead us down the unenviable path of some of our industry predecessors. And who knows, maybe Wall Street will see us as a role model for offering these types of returns on investments.
To participate in the Lock-in program, email email@example.com with your full name, reservation number and the simple message, "I would like to Lock-in". You will receive a confirmation email, and your name and reservation will be added to the credit list. It is that simple.
Our combination of automotive industry experience paired with the pervasive "why-not" attitude of the California entrepreneurial set will continue to make Aptera more effective in every aspect of our business. Our new team is teaching us fresh ways to listen to you and translate your comments and needs into the product, so here's our pledge: "We will manufacture the most efficient vehicle on the road and continue to apply the input we receive from our consumer." As we fly in the face of this challenged economy and write a new page in transportation history, we simply can't afford to cut corners. We are going to do what it takes to get it right, and we cannot get there without your help and continued support. You have stood with us faithfully and we promise that our vehicles will be worth the wait.
We look forward to sharing our dream with you as Aptera introduces the world to the most energy efficient solution for personal mobility.
Thank you for your support,
The Aptera Team
Aptera Motors 2008