updated: 5/9/2012 1:13:39 PM
The city of Evansville has decided not to move forward with a $4.8 million loan to a generator manufacturer. Mayor Lloyd Winnecke says Earthcare Energy LLC did not meet two safeguards established by the city. The Texas company planned to locate at the former Whirlpool site and create more than 120 jobs.
Winnecke says the company did not apply for a Department of Energy loan guarantee, and did not present a licensing agreement with the inventor of the technology it was going to produce.
The news comes about a week after Evansville City Attorney Ted Ziemer said he believed the loan was close to complete.
The initial proposal, announced by the city in March, required Earthcare and Vectren Corp. (NYSE: VVC) to sign a purchase power agreement. The deal would have also included an estimated $32 million in profit sharing.
Source: City of Evansville