Base prices for the Model S and Model X, after tax credits, are comparable to those of mid-range German luxury vehicles. At the same time, at end-March this year, the total liabilities Tesla had accrued from its buyback guarantee program US$1.58 billion.
Advertisement
Tesla would eventually sell these cars to other customers in the second hand market to keep up with its cash reserve and offset the effect of buying these cars. The electric auto maker set aside cash pool through which it would buy cars at nearly 50% of the base price after three years.
However, the EV maker will continue supporting owners of its premium sedan, the Model S, and its premium SUV, the Model X, now financed via the resale value program.
In addition to the investigation that focuses on its autopilot program, Tesla is also the target of a Securities and Exchange Commission probe that wants to find out if the company concealed the information about the fatal crash from its investors when it placed US.4 billion in new shares in May. In contrast, resale values for mass market electric vehicles such as the Nissan Leaf are depressed, Min said.
Within the next 12 months, Tesla has disclosed it could pay a maximum of $192.4 million to cover resale value guarantees on 4,209 vehicles. In fact, the resale value liability increased by more than 20% since year-end 2015. The company is also gearing up to launch production of batteries at a giant factory in Nevada. Earlier on Sunday, CEO Elon Musk tweeted that he will reveal his top secret Master Plan part 2 soon.
Buyers who used Tesla financing were eligible.
Tesla shares closed down almost 1 percent at $222.53.
It is normal to see Tesla rearranging their offering from time to time.
The Model X remains as powerful as before, mainly because it is actually still fitted with a 75kWh battery; the sole difference being that only 60kWh is accessible which affords it 200 miles of range instead of 237 miles.
Advertisement
The price of the new X 60D is $9000 lower than the enhanced 75D ($83,000) model, though it gains only 37 miles of range. Amid all this, Tesla is planning to acquire SolarCity.
