All posts by Jim Dvorak

Managing Director of SOEC since 2005. Veteran of the Southern California automotive scene. Involvement with Saleen dates back to the mid 1990s.
Press Release

SALEEN AUTOMOTIVE POSTS FISCAL YEAR THIRD QUARTER 2016 RESULTS

CORONA, CA–(Marketwired – Mar 24, 2016) – Saleen Automotive, Inc. (OTCBB: SLNNE) (the “Company”), an American specialty manufacturer of high performance vehicles, technical performance parts, lifestyle accessories and apparel, is pleased to provide the market with its results for the three and nine months ended December 31, 2015. The Company’s full report on Form 10-Q is available in its entirety at http://edgar.sec.gov/.

Key financial results for the three and nine months ended December 31, 2015 are summarized herein:

  • Revenues were $552,342 and $2,771,518 for the three and nine months ended December 31, 2015, respectively, compared to $536,895 and $3,072,596 for the three and nine months ended December 31, 2014, respectively. The decrease in revenues was primarily related to lower chassis revenue, as dealers opted to obtain and send to us the chassis rather than us procuring the chassis on their behalf. However, on a quarter over quarter basis, we experienced higher conversion revenue and on a year over year basis, an increase in revenue from sales of our aftermarket retail parts.

  • Margin improved to a margin of 11% and 16% for the three and nine months ended December 31, 2015, respectively, compared to a margin loss of 2% and margin profit of 11% for the three and nine months ended December 31, 2014, respectively. The increase in gross margin primarily reflected the sales mix and conversion volume as compared to the same period in the prior year along with sales of less chassis and increase in performance parts sales.

  • Operating expenses declined significantly to $735,973 and $2,421,201, respectively, for the three and nine months ended December 31, 2015 from $1,219,347 and $4,639,437, respectively, for the three and nine months ended December 31, 2014; representing a decrease of 40% and 48%, respectively. The decrease was driven by lower general and administrative expenses primarily resulting from our efforts to reduce costs.

  • Loss from operations also improved significantly to a loss of $677,312 and $1,982,544 for the three and nine months ended December 31, 2015, respectively, from a loss of $1,235,240 and $4,292,219 for the three and nine months ended December 31, 2014, respectively, representing a decrease of 45% and 54%, respectively. The improvement in our operating loss resulted from the decline in operating expenses coupled with improvement in gross profit.

  • Net cash used in operating and investing activities declined to a use of $894,423 and $12,810, respectively, for the nine months ended December 31, 2015 compared to $2,127,243 and $218,685, respectively, for the nine months ended December 31, 2014.

  • At December 31, 2015 we had cash on hand in the amount of $60,850. As discussed further in our current quarterly report on Form 10-Q filed on March 24, 2016, we will need and are currently seeking additional financing to fund our operations and development. To this end, and as further discussed in our Form 8-K filed on December 8, 2015 and further in Note 5 to our condensed consolidated financial statements, on December 2, 2015, we entered into a Securities Purchase Agreement (the “Purchase Agreement”), with SM Funding Group, Inc. (“SM Funding”). Under the Purchase Agreement, we issued to SM Funding a 12% Senior Secured Convertible Note (“Senior Note”) under which SM Funding may advance to us up to $2,000,000 of which SM Funding previously advanced to us $960,000. In addition, we agreed to offer SM Funding or its affiliates up to $10 million of Preferred Stock. Over the next few months, we will continue working with SM Funding to raise funds to grow our business and help achieve our objectives. However, SM Funding is currently in default of its obligations to make advances to the Company under a Binding Letter of Intent (the “LOI”) the Company entered into with SM Funding on October 21, 2015. Accordingly, no assurance can be given that the Company will complete the financing transactions with SM Funding, including obtaining additional advances under the Senior Note, and no assurance can be given that any future financing will be available or, if available, that it will be on terms that are satisfactory to the Company.

“This quarter we continued to see expansion in our distribution networks, including expansion in China through the first ever Saleen brand showroom in Shanghai, China. In addition, sales of our Saleen Mustang and performance parts revenue expanded on a year over year quarterly basis and we were able to significantly reduce our loss from operations by almost 50% on a year over year basis. However, we still have a lot of work to do, but are committed to expanding distribution; producing high quality and fun to drive performance vehicles; expanding our line and distribution of performance parts; growing our global presence, as well as tailoring our business for efficiency,” stated Steve Saleen, CEO, Saleen Automotive. “With the help of SM Funding and success of our Saleen Mustang both domestically and now internationally, we anticipate further growth in sales of vehicles and aftermarket sales,” added Saleen.

Saleen uses the following outlets to provide updates from time to time to the public regarding its business and operations:

Facebook: https://www.facebook.com/Saleen

Company website: www.saleenautomotive.com

About Saleen Automotive, Inc.

Saleen is an American specialty manufacturer of high performance vehicles, technical performance parts, lifestyle accessories and apparel. Founder Steve Saleen has continually set the bar for automotive design and performance engineering in both street and racing applications. Saleen plans to utilize its existing strategic partnerships and dealer network to refine its design and engineering prowess, continue development of emerging automotive technologies, and expand its presence nationwide with a combination of automotive retail services, aftermarket parts and new vehicle sales to build significant long-term value. Learn more at www.saleenautomotive.com.

Contact Information

Media Contact:
Molly Saleen
(714) 400-2121

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[SOURCE: Saleen Automotive, Inc.]

Press Release

SALEEN BRAND OPENS FIRST SHOWROOM IN CHINA

Showroom Now Open in Shanghai, China

CORONA, CA–(Marketwired – Jan 25, 2016) – Saleen Automotive Inc. (OTCQB: SLNN)

The Saleen brand opened its first international showroom in Shanghai, China. The elegant showroom is located in the upscale Jing An District in Shanghai and will not only assist in broadening the Saleen experience but also furthering the brand.

The opening of the Shanghai Showroom is the recent result of an agreement formed between Saleen and Saleen Motors International (“SMI”), an affiliate of GreenTech Automotive and licensee of the Saleen Brand in Asia.

The store will have Saleen vehicles, parts, and accessories on the showroom floor, which will allow potential buyers to see, touch, and buy Saleen. “This is an exciting opportunity for the Saleen brand,” remarked Steve Saleen. “We have fans all over the world, but this will give us a whole new customer base and the opportunity to expand the Saleen experience.” Mr. Charles Wang, Chairman and CEO of GTA, stated that, “Saleen has been the icon of American high performance cars. Its advanced powertrain technologies and aerodynamics will surely bring an exciting alternative choice for Chinese high performance car enthusiasts. The rapid expansion of Saleen’s customer base in China has not only made the legendary Saleen cars available to the vast Chinese market, but also increased manufacturing jobs in our production facility in Tunica, Mississippi. What a great win-win for both countries.”

For more information regarding this matter, Saleen can be reached at pr@saleen.com. For investor questions, please email ir@saleen.com.

About Saleen Automotive, Inc.
Saleen is an American specialty manufacturer of high performance vehicles, technical performance parts, lifestyle accessories and apparel. Founder Steve Saleen has continually set the bar for automotive design and performance engineering in both street and racing applications. Saleen plans to utilize its existing strategic partnerships and dealer network to refine its design and engineering prowess, continue development of emerging automotive technologies, and expand its presence nationwide with a combination of automotive retail services, aftermarket parts and new vehicle sales to build significant long-term value. Learn more at www.saleenautomotive.com.

About GreenTech Automotive
GreenTech Automotive (“GTA”) is a United States based automotive manufacturer. GTA’s core values encompass the use of energy-efficient technology, producing affordable vehicles, and creating jobs in the United States. GTA currently manufactures all of its products in its production facility located in Tunica, Mississippi. For more information, please visit www.wmgta.com.

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[Source: Saleen Automotive]

Enthusiast News

TALK BEAUTY WITH MOLLY SALEEN

By: LOREEN on January 20, 2016
Original Article: COUCOUJOLIE.COM

Molly Saleen is the daughter of Steve Saleen, automotive pioneer of Saleen, Inc. Molly is now the Vice President of Retail Operations for Saleen Inc. Molly has helped launch the Saleen Challenger in 2008, the Saleen 302 Mustang in 2010, and the Saleen Camaro in 2012 providing the market with a fresh take on the new muscle car era. She has also received industry recognition with the release of its patented ultra efficient SMS 296 Supercharger system. Molly has also been designing a women’s racing inspired fashion line. Molly doesn’t just do retail in the car industry she also races. She is one of the few known female NASCAR drivers.

I asked Molly what some of her favorite products were and this is what she said.

My favorite 3 products are:

I absolutely love the Osmosis Skincare Gentle Cleanse; It has a great minty feeling to help you feel really clean without drying your skin. After cleansing I moisturize with Bio Peptide Cream by Image Skincare since I have sensitive skin its organic and very hydrating and smells amazing! Lastly, I always have MAC’s Candy Yum-Yum Lipstick and pair it with their Shock Value Lip Liner in my bag as I’m obsessed with this hot pink look plus it matches my car!

I would recommend to regularly receive a facial treatment or peel to give your skin a healthy glow, I frequently visit Katie at Flawless Skin & Body as I am also in and out of my race helmets, getting facial treatments are a key component for fabulous skin. Also, I would totally recommend an organic airbrush tan, it doesn’t leave you orange or have you worrying about streaks!

Follow Molly on Instagram @MollyPopPink.

XO, Loreen

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Press Release

S7 (03-021) HEADS TO BARRETT-JACKSON, SCOTTSDALE AUCTION

THE ALL-AMERICAN SALEEN S7 SUPERCAR: One of only four naturally aspirated ultra-rare S7s with Saleen’s Competition package offered at Scottsdale

November 16, 2015
Posted by Barrett-Jackson
Written by independent automotive journalist Donald Farr

This 2003 Saleen S7, one of only four naturally aspirated ultra-rare S7s with Saleen Competition package, will be crossing the block at the 2016 Barrett-Jackson Scottsdale Auction.
This 2003 Saleen S7, one of only four naturally aspirated ultra-rare S7s with Saleen Competition package, will be crossing the block at the 2016 Barrett-Jackson Scottsdale Auction.

Like Carroll Shelby 20 years before him, Steve Saleen funded his desire to race by taking existing Ford products like the Mustang and modifying them into high-performance street vehicles, then selling through Ford dealers. The Saleen Mustang, introduced in 1984, brought Saleen Autosport to prominence in a time when the 5.0-liter HO Mustang reined supreme as one of America’s most popular performance cars. Saleen stamped his competition credentials in 1987 when his Saleen Mustang race team won the SCCA’s Showroom Stock Escort Endurance series championship, followed by SCCA World Challenge championships ‒ in Saleen Mustangs campaigned by the Saleen/Allen “RRR” Speedlab Team with comedian Tim Allen ‒ in 1996, 1997 and 1998.

03-021 S7
03-021 S7

By the end of the millennium, Steve Saleen had collected an impressive number of “checkmarks” on his personal bucket list: Create a car company, establish Saleen as a premier brand in the American performance market, win national racing championships, and race at Indy and LeMans. But also like Shelby, Saleen wanted to build his own supercar, one created entirely from a blank sheet of paper and not from an existing platform. Shelby did it in 1999 with his Series One. In 2000, Saleen Automotive introduced the S7.

03-021 S7
03-021 S7

Unveiled on August 19, 2000, at the Monterey Historic Races at Laguna Seca Raceway, the Saleen S7 press release revealed Saleen’s goal for his new supercar: “The S7 is designed to compete with the fastest, quickest, best handling, most luxurious grand touring cars in the world while providing a distinctly American driving experience for the fortunate few who will own one. The S7 was conceived to combine the performance of a track-only race car with the driving pleasure of a road car.”

03-021 S7
03-021 S7

Saleen Automotive enlisted Phil Frank for body and interior design, Billy Tally for engine development, Ray Mallock for engineering and Hidden Creek Industries for resources and initial funding. Essentially, the S7 was designed around Tally’s engine, a 7.0-liter version of Ford’s 351 Windsor small block with high-tech components – including aluminum block and cylinder heads, stainless-steel valves and titanium retainers – to develop 550 horsepower without supercharging or turbocharging. To reduce the powerplant’s package size for use in the S7, Saleen designed and created a new Front Engine Accessory Drive system.

03-021 S7
03-021 S7

With the engine mounted mid-ship as with any respectable supercar, the S7’s hand-fabricated tubular space frame with honey composite reinforcement mounted fully independent suspension components developed in conjunction with England’s Ray Mallock Ltd. Extensive wind-tunnel testing helped shape the S7’s long, sleek, shark-like body, one of the first to use carbon-fiber panels and “full tray” body sculpting underneath. Longtime Saleen design consultant Phil Frank personalized the S7’s appearance with signature Saleen elements like the functional gill-like ducting, split-channel air flow through the car, advanced side skirt design and integrated full-body wing.

03-021 S7
03-021 S7

Climbing over the wide sills through the scissors-opening doors, the driver was greeted by a snug, asymmetrical interior with the driver’s seat shifted toward the center of the car. Leather and suede surfaces enhanced the S7’s image as a touring car, along with air conditioning, tilt/telescoping steering column, power windows, adjustable pedals and AM/FM/CD stereo. Missing was a rearview mirror; instead, the S7 utilized a remote video camera.

Saleen claimed a top speed of 220 mph with 0-60 in less than four seconds.

03-021 S7
03-021 S7

In 2003, an S7 starred as “God’s” personal car in the movie “Bruce Almighty,” starring Jim Carrey and Morgan Freeman. In 2005, Saleen upgraded to the S7 Twin Turbo with 750 horsepower. The Hollywood exposure and high horsepower may have helped the supercar achieve superstar status. The car initially sold for $375,000, but ballooned to nearly $600,000 for the Twin Turbo. Although production eventually extended over six model years, it was limited to only 78 very special cars, including 15 R models.

03-021 S7
03-021 S7

A spectacular 2003 Saleen S7 is being offered at the 45th Anniversary Barrett-Jackson Scottsdale Auction. One of only four naturally-aspirated S7s with Saleen’s Competition package, this beauty includes a $75,000 option that added a higher-performance camshaft, upgraded intake and exhaust, and a reprogrammed ECU. This particular Saleen S7, VIN #1140, was also equipped from the factory with optional chrome wheels, remote door openings, and factory-upgraded touchscreen sound system. Personally signed by Steve Saleen, this silver S7 has covered a mere 9,100 actual miles.

– Written by independent automotive journalist Donald Farr

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Event Coverage

SALEEN EXHIBITS @ 2015 GUANGZHOU AUTO SHOW

Auto Guangzhou 2015
The 13th China (Guangzhou) International Auto Parts & Accessories Exhibition

Concurrently held with The 13th China (Guangzhou) International Automobile Exhibition (China Import & Export Fair Pazhou Complex (Zone B), Nov. 21-29,2015) and Guangzhou International Electric Vehicle Show (China Import & Export Fair Pazhou Complex (Zone A), Nov. 20-23, 2015), 2015 Guangzhou International Auto Parts & Accessories Exhibition, which platform for both aftermarket and OE Business is to be staged at China Import and Export Fair Pazhou Complex, Guangzhou (zone B), China on Nov. 20-22, 2015.

Since 2012, the Accessories Section & Auto parts of Auto Guangzhou have been upgraded as a specialized concurrent expo. The auto parts and accessories halls are going to be held at different halls of the vehicles sections during Auto Guangzhou 2015.

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[Source: Saleen Motors International]