USA Today reports:
Shares of renewable power firm SunEdison plummeted 55% Tuesday as it teetered on the edge of bankruptcy amid slumping oil prices and swirling questions over the company's accounting practices.
SunEdison faces a "substantial risk" of bankruptcy, according to the U.S. Securities and Exchange Commission filing by a subsidiary, TerraForm Global. SunEdison develops, installs and operates alternative energy projects.
The company reportedly has gotten $4.59 million from the federal Department of Energy and $1,874,901 from the Obama "stimulus." If it does go bankrupt, it would join Satcon, Evergreen, Solyndra, and Abound on the list of government-backed alternative energy companies that have done so.
As Donald Trump has been reminding people, there's no shame in using the bankruptcy laws to restructure; that is why they are on the books. This is a fast-moving story, with technological advances, volatile fossil-fuel prices and Chinese-government-subsidized overseas players making for a competitive and dynamic market. But when these companies can't make it even with millions of dollars in government subsidies, it certainly starts to raise some questions about the subsidies.