Lordstown surprised many last year when it announced the start of production and deliveries of its electric pickup truck known as the Endurance. The good news has been short lived however as the automaker announced today it was halting production and deliveries “to address quality issues.”
In a press release to announce the timing of the release of their 2022 financial results, Lordstown said certain components of the Endurance have experienced performance and quality issues. The exact issues were not identified, but the company said they were working with their suppliers to identify the root causes and come up with fixes. According to Lordstown those fixes could include “part design modifications, retrofits, and software updates.”
The bad news didn’t end there as a voluntary recall has also been issued for Endurance trucks already delivered or being used internally by employees, of which there are only 19. The reason for the recall is “to address a specific electrical connection issue that could result in a loss of propulsion while driving,” the company explained.
No timeline was given for when production and deliveries would resume, but more details will be coming in the earnings call scheduled for 8:30am ET on March 6, 2023.
“While our experienced team has made significant progress in addressing the underlying component and vehicle sub-system issues affecting the Endurance build schedule, we remain committed to doing the right thing by our customers and to resolve potential issues before resuming production and customer shipments,” said Edward Hightower, Lordstown Motors CEO & President
Last year it looked like Lordstown wasn’t even going to make it into 2023, with the company warning in a regulatory filing in June there was “substantial doubt” they will be able to begin production and sales of the Endurance pickup truck.
Just days after the filing CEO Steve Burns and Chief Financial Officer Julio Rodriguez resigned, sending the stock tumbling to below $10 per share, adding to the more than 50% drop in value the stock had seen in 2021.
After today’s news, shares in Lordstown have dropped further, down nearly 14% and currently trading just above $1 per share.
