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Latest Tesla incident causes slight drop in share values

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October 3
12:56 AM 2013

Share values of Tesla declined at the close of trading today due to the report from the electric car manufacturer of a fire in one of its vehicles due to a crash. Tesla declined 6.2% to USD180.95 per share in New York. The shares fell as much as 9.1% after a picture of a Model S on fire was published at jalopnik.com. This was the stock's largest one day decline since July 16 of this year.

According to an emailed statement from Tesla's Palo Alto, CA headquarters, The Model S had 'collided with a large metallic object in the middle of the road, causing significant damage to the vehicle." The statement added that the driver was able to exit the vehicle and call for emergency servies. A fire resulting from the damage sustained during the crash was contained. Tesla's website had said earlier that it could not provide a reason for the incident.

Tesla had increased its value to USD20 billion in 2013 and is still well on its way to becoming the most profitable electric car manufacturer using its own design and manufacturing facilities.

The debris from the crash that occurred in Kent, WA was collected by the Washington State Transportation Department according to the state patrol authorities. The findings on the collision would be made available in the next few days.

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