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Tesla Motors

Tesla buffs service with fancy electric loaner cars

Chris Woodyard, USA TODAY
A man takes a photo of the new Tesla Model S all-electric sedan at the car's unveiling in Hawthorne, California on March 26, 2009
  • Tesla is creating a high-end loaner fleet for service customers
  • It will include the fanciest versions of its Model S electric sedan
  • CEO Elon Musk says service is his next big challenge

Having caught the world's attention with its Model S luxury sedan, Tesla Motors is now turning its attention to its service department.

CEO Elon Musk tells USA TODAY that he's going to create a fleet of top-of-the-line electric Model S sedans to be used as loaners when owners bring their cars in for service.

Instead of the rental-style, forgettable cars that comprise many auto dealer loaner fleets, Musk is going to put Tesla customers in the performance version of the Model S -- a $87,400 electric car with zero to 60 mile-per-hour capability of 4.2 seconds and 265-mile per-charge range.

All told, the fleet will amount to about 80 cars now that his production lines are catching up to consumer orders. In addition, he plans to have Tesla service workers drop off loaner cars at customers' offices, homes or wherever they may be, rather than requiring them to drive in to service centers.

The loaner fleet is being created as Tesla has ramped up production. It says it made 4,750 cars in the first quarter, 250 more than it promised shareholders as recently as February. Musk also predicted the automaker will show a first-quarter profit.

"I wanted to do this sooner than now but the problem was we didn't have the cars," Musk says. "It's hard to take a bunch of cars and make them service loaners when (buyers) have been waiting for, in some cases, up to two years to get their car. Now it's a matter of months."

He doesn't take credit for the idea of high-end loaners and personalized pick-up service. He gives credit, instead, to Lexus.

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