Elon Musk no longer Tesla chairman, keeps CEO title

Elon Musk no longer Tesla chairman, keeps CEO title

Elon Musk no longer Tesla chairman, keeps CEO title

In its statement releasing the production and delivery results, the company noted that Model 3 sales for the quarter were still limited to higher priced versions, which start at $49,000 and can reach $80,000 for fully loaded models.

Automotive news website Electrek reported that Tesla had produced 53,000 of its Model 3 sedans in the third quarter, up from 28,578 in the previous three months and making good on a promise in August it would produce 50,000 to 55,000 of the cars. The company said it delivered 14,470 Model S and 13,190 Model X; as with the Model 3, the company delivered a few more of the expensive luxury models than it built.

Relief at the settling of the lawsuit drove the biggest one-day gain in Tesla shares in more than five years.

Tesla Inc. posted a surge in electric-car deliveries that could prove pivotal to earning an elusive profit, overcoming a series of distracting missteps by Chief Executive Officer Elon Musk. Since then the company has been striving to sustain and increase that level. He settled fraud charges brought by the Securities and Exchange Commission last week by agreeing to pay US$20 million and step down as chairman. The SEC wanted to oust Musk as CEO as punishment. He has publicly said he has been working as much as 120 hours per week and sometimes even slept on Tesla's factory floor in Fremont, California, to oversee the efforts to make more cars. Musk has pledged that Tesla would record profits and positive free cash flow in the third and fourth quarters this year. Investors saw the initial settlement agreement as a decent and quick solution to the charges, sending shares soaring almost 17% in Monday's trading session.

"Today's production announcement offers a bit of redemption to the Tesla faithful", said Jeremy Acevedo, Edmunds manager of industry analysis, in an email. "@Tesla @elonmusk... Please make this right".

On Monday, Tesla shares continued to rebound after Musk told employees in a company-wide memo that the company is "very close" to profitability.

Musk tweeted back and acknowledged the problem: "Sorry, we've gone from production hell to delivery logistics hell, but this problem is far more tractable".

Gordon said patience is wearing thin for people who have already put down $1,000 to get on a waiting list for the Model 3.

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