BUFFALO, N.Y. — Tesla had a grim financial report Wednesday. The company says it lost more than $700 million in the last few months and even more concerning, solar panel installations are down.
The headline in the Wall Street Journal will grab your attention: "Tesla reported one of its worst losses on record..."
$700 million dollars in the first few months of this year.
So what happened?
Declines in deliveries of the company's Model S and Model X cars, and problems delivering Tesla's Model 3 abroad.
"This was the most difficult logistics problem I've ever seen and I've seen some tough ones," Tesla CEO Elon Musk said.
But, what should be most-concerning to folks here in Western New York, since solar panels are made at Riverbend, Tesla says solar panel installations have dropped more than 30% so far this year.
The company announced it plans to close stores and lay off workers soon to save money, but we haven't been told where.
Since we are the station that holds people in power accountable, 2 On Your Side had tough questions for elected officials who are supporting Tesla.
REPORTER: Do you have any concerns about Tesla and its sustainability in the future?
"Certainly we're monitoring the situation, but I think what the taxpayers should be reassured to know is that we have very aggressive clawback provisions. The money that was spent on this facility the money was not given to Tesla directly they are using a state-owned facility," said Lieutenant Gov. Kathy Hochul.
REPORTER: Just the discussion of clawbacks and to be talking about that shows that things are not well it seems?
"No, I'm simply saying those individuals need to be reassured that the state was proactive at the very beginning of this project," Hochul said. "They have 700 people working, they're required to hit 500. However, if by next April they are not able to achieve the goal of 1460, which is the target, they will pay back the taxpayers of New York State $41 million."
Hochul says state officials have a lot of faith in Tesla.
REPORTER: Do you personally have concerns about that company and its future?
"Again I am hopeful that the company will do well I think solar is important to the future of the planet," Buffalo Mayor Byron Brown said. "Elon Musk is a very creative individual and hopefully through that creativity, through that management ability, he will be able to turn these issues around."
Tesla says it expects to turn things around in the next few months, but the company doesn't point to its solar panels to do that, but instead, its Model 3 electric car, which the company has had problems getting to countries around the world.