The Missouri electric vehicles manufacturer that sells trucks and vans to big-name companies like Frito-Lay, FedEx and Staples has slashed its production goals for the year, warning that it’s running short of cash, according to the Kansas City Star.

The company, Smith Electric Vehicles, announced last November plans to raise $125 million through an initial public offering. While it waits for that plan to move forward, it recently got a $11.5 million loan to keep going through September.

Smith Electric sold 270 vehicles in 2011 and had originally planned to produce 620 this year. But, by the end of June, it had only produced 79. The company said it plans to shift production into high gear toward the end of this year, but that will still mean making only 380 vehicles this year.

The company blamed the lower-than-planned production levels on “cash constraints” that prevented it from expanding its supply chain. Smith says it’s trying to reduce its costs by moving to higher-volume, lower-cost suppliers for things like batteries and components. It’s also moving to make some battery and powertrain systems in-house.

After deciding to locate its headquarters and production facility in Kansas City, MO in 2009, the company received $32 million in federal grants. President Barack Obama visited the plant two years ago to demonstrate his commitment to green businesses.

But, over the past three years, the company’s losses have reached $128 million. In the first half of this year, it brought in $16.8 million in vehicle sales, service and repairs, down from $37.6 million for the same period last year. Its net loss for the six months was $27.3 million.

One possible bright spot for the company is a deal with Chinese auto parts maker Wanxiang Group Corp. In February, the two companies announced a joint venture to make electric school buses for China. The plan was for Wanxiang to invest $25 million in Smith and $75 million in the joint venture. In its latest filing, Smith said it’s still in talks with Wanxiang.

Featured image credit: Smith Electric Vehicles