Old Fiat plant in Italy could be retooled to make Reva electric vehicles

So, Reva says that it can make a profit from factories that make just 5,000 electric cars a year. The Indian automaker is trying to open a plant near Syracuse, NY and now we have word that Fiat's Termini Imerese plant in Sicily, Italy could be converted to build the next-gen electric vehicles (EVs). Cimino & Associates Private Equity is raising funds (50 million euros, to date, around $68 million U.S. at today's exchange rate) to buy the plant and is talking to Reva about taking it over and building vehicles there that cost around 16,000 to 17,000 euros ($22,000-$23,250). Apparently, the project needs 65 million euros to get off the ground. Automotive News says that the plant would need to make 30,000 vehicles a year to break even, which doesn't mesh with Reva's bold claims. Fiat is expected to close the plant in 2011.

Reva is currently taking orders for the NXR in Europe and the cheapest option – 9,995 euros (approx. $13,728)– is to buy the car and lease the lead acid batteries. The upgraded NXG model, pictured, should be available as a 2011 model sometime soon. More details on these vehicles is available here.

[Source: Automotive News – sub. req.]