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Elio Motors Takes Major Step Toward Producing New Vehicle at Massive Shreveport Plant


elio (select to view enlarged photo)
Elio Three Wheeled Car

TROY, MI - September 17, 2014: Elio Motors, Inc., announced today that it will work with its manufacturing partner, Comau, to sell surplus manufacturing equipment from the former GM manufacturing facility in Shreveport, Louisiana, where the company will begin production of its enclosed, three-wheeled vehicle in 2015. The strategy allows Elio Motors to reuse the machinery it needs to manufacture its high-mileage vehicle, raise funds that will go toward production and recycle valuable machinery it does not need.

Elio Motors announced in January 2013 that it had purchased all of the existing equipment in the facility. One of the most important steps in Elio Motors' overall manufacturing strategy was to determine which of the equipment would be required to manufacture the vehicle in the most efficient and cost-effective manner. The company has completed that assessment and is taking the unusual step of selling the surplus equipment.

"One of the keys to producing a low-cost vehicle is ensuring maximum efficiency in our manufacturing operations," said Paul Elio, CEO of Elio Motors. "Our team recently cleared an important first step by determining what existing equipment in Shreveport is mission-critical and what equipment can be sold. This level of detailed planning and execution is putting the processes in place to make Elio Motors a world-class manufacturer."

Comau plans to contract approximately 30 people to assist in the disposition of surplus assets and has enthusiastically agreed to give preference to local contracting firms where possible.

The announcement comes as Elio Motors is building momentum toward production. More than 34,000 people have made reservations for the innovative vehicle, which will have an anticipated fuel efficiency of 84 MPG and price tag of $6,800.

"Building a motor vehicle company from the ground up is a monumental feat," said Jim Holden, Elio Motors board member and former Chief Executive Officer of DaimlerChrysler. "Elio's partnership with Comau to effectively reutilize equipment from the Shreveport facility and leverage the surplus machinery reinforces Elio Motors' theme of innovation. This is further proof that Elio Motors is going to make transportation history in 2015 when it begins production."

Elio Motors will create more than 1,500 jobs in Shreveport, La., where the company will rent approximately 1.5 million square feet of a 4.1 million-square-foot building. In addition to job creation, the Elio Motors project will help reduce the country's dependence on foreign oil and provide a more environmentally friendly transportation solution for American drivers.

The vehicle prototype is currently on a nationwide tour, introducing the vehicle to potential customers.