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Lordstown Motors CEO and CFO resign from company as it transitions to commercial production

Endurance Electric Pickup Trucks from Lordstown Motor Corp.
Lordstown
Posted at 10:12 AM, Jun 14, 2021
and last updated 2021-06-14 10:12:55-04

LORDSTOWN, Ohio — Lordstown Motors Company, the Ohio-based manufacturer of electric light duty fleet vehicles, announced Monday its CEO Steve Burns and CFO Julio Rodriguez have resigned from the company as it begins to transition from the R&D and early production phase to commercial production phase of its business.

All changes to the company's leadership are effective immediately. Lordstown Motors Independent Director Angela Strand has been appointed Executive Chairwoman of the company and will oversee the organization's transition until a permanent CEO is identified. Becky Roof will serve as Interim Chief Financial Officer.

“Lordstown Motors has achieved significant milestones on the path to developing the first and best full-size all-electric pickup truck, the Lordstown Endurance," said David Hamamoto, board of directors. "We thank Steve Burns for his passion and commitment to the company. As we transition to the commercial stage of our business – with planned commencement of limited production in late-September – we have to put in place a seasoned management team with deep experience leading and operating publicly-listed OEM companies. We have complete confidence in Angela and Becky, and our expanded leadership team, to effectively guide the company during this interim period.”

The company has expanded its executive team to include:

  • Rich Schmidt, President of Lordstown Motors, will continue to oversee all day-to-day operations, including manufacturing and engineering. Mr. Schmidt was promoted to President in November having previously served as Lordstown’s Chief Production Officer. He has over 30 years of automotive industry expertise, including experiences at Toyota and Nissan, Hyundai, Volkswagen, J.D. Power, and Tesla Motors.
  • Jane Ritson-Parsons, formerly Lordstown Motors Interim Chief Brand Officer, has been appointed Chief Operating Officer. Jane is a highly experienced senior global executive with demonstrated leadership and revenue building success with a successful track record most recently at Hasbro Inc as their Group Executive, Global Marketing.
  • Carter Driscoll, formerly Lordstown Motors Head of Investor Relations, has been promoted to Vice President, Corporate Development, Capital Markets and Investor Relations.
  • Tom Canepa, General Counsel, Shane Brown, Chief Production Officer, Darren Post, Vice President of Engineering, John Vo, Vice President of Propulsion, will all remain in their current roles to continue to guide the Company’s progress.

Earlier this month, News 5 reported Lordstown Motors did not have enough cash to start commercial production this fall of the all-electric pickup Endurance.

While the company reported having $587 million at the end of March, industry analysts estimate they need to raise a lot more. Joseph Spak, an analyst at RBC Capital Markets, believes Lordstown Motors (RIDE) needs $2.25 billion in additional capital to stay solvent between 2021 and 2025.

It was a year ago this month when the all-electric vehicle made its debut with Vice President Mike Pence. There was talk that day of one day hiring 5,000 workers. The SEC began investigating the company in March for allegedly misleading investors on a number of pre-orders they had received.

“We remain committed to delivering on our production and commercialization objectives, holding ourselves to the highest standards of operation and performance and creating value for shareholders. Along with the management team, I will continue to work closely with them and the Board to execute on Lordstown’s vision for the future of electrified transportation. I am excited to lead the passionate and dedicated team of Lordstown employees and to work with our valued customers, suppliers, investors and partners and to hosting Lordstown Week, which commences on June 21," said Strand.

News 5's John Kosich's reporting contributed to this story.

RELATED: After turbulent Tuesday, shares of Lordstown Motors end Wednesday off only a penny

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