Beacon Power Enters Ch. 11 Dragging DOE-Backed Loan

Law360, Wilmington (October 31, 2011, 5:51 PM EDT) -- Smart grid technology innovator Beacon Power Corp. retreated into Chapter 11 bankruptcy on Sunday in Delaware, becoming the second company with a federally backed loan under a stimulus program maligned by congressional Republicans to go belly-up in as many months.

In August 2010, the U.S. Department of Energy backed a $43 million loan to Beacon — which makes flywheel energy storage systems intended to improve the efficiency of electricity grids — but the company’s sales to date have been unable to support the capital-intensive efforts needed...
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