{"id":34332,"date":"2023-05-04T15:05:21","date_gmt":"2023-05-04T15:05:21","guid":{"rendered":"https:\/\/lynettelockhart.com\/client\/cash-strapped-lordstown-may-stop\/"},"modified":"2023-05-04T15:08:41","modified_gmt":"2023-05-04T15:08:41","slug":"cash-strapped-lordstown-may-tap","status":"publish","type":"post","link":"http:\/\/lynettelockhart.com\/client\/cash-strapped-lordstown-may-tap\/","title":{"rendered":"Cash-strapped Lordstown may tap the brakes on Endurance production"},"content":{"rendered":"

(Reuters) – Lordstown Motors on Thursday reported a steep fall in its cash reserves and warned it might have to stop making its Endurance electric pickup truck in the near future unless it finds a partner. <\/p>\n

The cash-strapped EV maker had earlier this week said it might be forced to file for bankruptcy, citing uncertainty over a $170 million investment deal with its major shareholder Foxconn.<\/p>\n

Lordstown, named after the town in Ohio where it is based, said on Thursday it was in talks with the Apple Inc supplier but was yet to reach a deal.<\/p>\n

In May 2022, Lordstown Motors completed a deal to sell its Ohio factory for $230 million to Foxconn, excluding assets such as the hub motor assembly and battery pack lines.<\/p>\n

Foxconn will make Fisker Inc’s PEAR electric compact car at the Ohio factory starting next year, the EV startup has said.<\/p>\n

Lordstown Motors had cash and cash equivalents of $108.1 million as of March 31, down from $203.6 million a year earlier.<\/p>\n

Shares were little changed, having hit a record low of 25 cents on Monday.<\/p>\n

Lordstown Motors and its EV peers have been struggling as access to capital tightens from rising interest rates and mounting economic uncertainty.<\/p>\n

The company had resumed production of Endurance in March after a pause in February to address quality issues.<\/p>\n

It said in February that it had made only 37 trucks for sale and recalled 19 vehicles delivered to customers or being used internally.<\/p>\n

Net loss ballooned to $171.1 million in the quarter ended March 31, the company said on Thursday, from $89.6 million a year earlier.<\/p>\n

Lordstown Motors had previously warned of substantial doubt about its ability to continue as a going concern, citing liquidity issues.<\/p>\n

\n

(Reporting by Tiyashi Datta and Akash Sriram in Bengaluru; Editing by Anil D’Silva and Sriraj Kalluvila)<\/p>\n

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(Reuters) – Lordstown Motors on Thursday reported a steep fall in its cash reserves and warned it might have to stop making its Endurance electric pickup truck in the near future unless it finds a partner. The cash-strapped EV maker had earlier this week said it might be forced to file for bankruptcy, citing uncertainty […]<\/p>\n","protected":false},"author":8,"featured_media":34333,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"spay_email":"","footnotes":""},"categories":[1213],"tags":[1223],"class_list":["post-34332","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-u-s-business","tag-updated"],"jetpack_featured_media_url":"http:\/\/lynettelockhart.com\/client\/wp-content\/uploads\/Reuters_Direct_Media\/USOnlineReportBusinessNews\/tagreuters.com2023binary_LYNXMPEJ430L9-VIEWIMAGE.jpg","_links":{"self":[{"href":"http:\/\/lynettelockhart.com\/client\/wp-json\/wp\/v2\/posts\/34332","targetHints":{"allow":["GET"]}}],"collection":[{"href":"http:\/\/lynettelockhart.com\/client\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"http:\/\/lynettelockhart.com\/client\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"http:\/\/lynettelockhart.com\/client\/wp-json\/wp\/v2\/users\/8"}],"replies":[{"embeddable":true,"href":"http:\/\/lynettelockhart.com\/client\/wp-json\/wp\/v2\/comments?post=34332"}],"version-history":[{"count":3,"href":"http:\/\/lynettelockhart.com\/client\/wp-json\/wp\/v2\/posts\/34332\/revisions"}],"predecessor-version":[{"id":34404,"href":"http:\/\/lynettelockhart.com\/client\/wp-json\/wp\/v2\/posts\/34332\/revisions\/34404"}],"wp:featuredmedia":[{"embeddable":true,"href":"http:\/\/lynettelockhart.com\/client\/wp-json\/wp\/v2\/media\/34333"}],"wp:attachment":[{"href":"http:\/\/lynettelockhart.com\/client\/wp-json\/wp\/v2\/media?parent=34332"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"http:\/\/lynettelockhart.com\/client\/wp-json\/wp\/v2\/categories?post=34332"},{"taxonomy":"post_tag","embeddable":true,"href":"http:\/\/lynettelockhart.com\/client\/wp-json\/wp\/v2\/tags?post=34332"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}