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Ohio's Secretary of State is expected to tour the Lordstown Motors facility on Monday. Frank LaRose will talk with managers and leaders about strides being made to get the Endurance truck on the road.
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Ohio's Secretary of State is expected to tour the Lordstown Motors facility on Monday.
Frank LaRose will talk with managers and leaders about strides being made to get the Endurance truck on the road.
LaRose also plans to discuss the next steps in the company's efforts to bring jobs back to the area.
That tour could be crucial for a company that's being watched closely after concerning accusations by an independent research firm.
A walk through Lordstown Motors, by Ohio's Secretary of State will be anything but a normal tour, it will be an important opportunity to see and hear independently what is happening inside Lordstown plant walls.
The company has much to prove after a report by Hindenburg Research stated orders for the vehicle were fictitious, noted company production hurdles, and had a prototype inferno. Lordstown Motors addressed the issue saying the first prototype of it's electric truck caught fire due to human error. That fire took place in Michigan in January of this year.
It's important to note, HIndenburg Resarch makes profits from a company's stocks losing money, but it's reports also give information on where to verify what it states. The company has a track record, and it provides a list of questions a company can answer. Wall Street Journal Reporter Ben Foldy tells us there are about 20 questions for Lordstown Motors.
Lordstown Motors Corp., NASDAQ RIDE stock dropped after the report was released.
"This crisis of confidence is a sizeable test for the company's leadership. It layers on the pressure for Lordstown to show something, to show that it's on course, that it's got a produce people want, that it's got committed reservations whatever that looks like," said Foldy.
Foldy described Lordstown Motors target dates ambitious and tells WFMJ news that from planning, to sourcing for materials, to prototypes, to production on average is around five years.
"With Lordstown the September delivery promise is a pretty quick turn around for a company, I believe, took the keys on the GM plant November of 2019. That's a really fast turn around. That doesn't mean it can't be done, it would be fast for the industry average, " emphasized Foldy.
The Wall Street Journal reporter also told WFMJ news it would be interesting to see what people who work there are saying.
Former State Senator Sean O'Brien who was in the plant around three weeks and talked with Lordstown Motor Corporation CEO Steve Burns and some employees who say the product is moving forward. O' Brien told us Beta prototypes are expected soon, something impressive for a company during a pandemic COVID year.
"A Beta is where they take the vehicle and they do more extensive testing, they get outside the plant, they have different people driving it in real life conditions to make sure everything is working out as it should," said O'Brien.
Foldy emphasized, "This company doesn't have a revenue, it doesn't have a product so it's hard to evaluate how far they are beyond what they tell us about how far they are. I spoke to Steve Burns yesterday and he is very adamant they will have different prototypes to show, beta prototypes later this month."
"If they come out and show we have x, y, and z orders, there is money down, they have also said they will have Betas by the end of the month. If they say we are going to show this March 31st, it will help build confidence," said Foldy.
Foldy added, "It's early in the ball game."
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March 15, 2021 at 09:10AM
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Ohio's Secretary of State scheduled to tour the Lordstown Motors Monday, Lordstown - OH - WFMJ
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