Workhorse Slumps on Suspending Delivery of C-1000 Electric Van, Recall By Investing.com
By Dhirendra Tripathi
Investing.com – Workhorse stock (NASDAQ:) plunged about 14% Wednesday to touch year’s low of $7.05 as the company suspended deliveries of its C-100 electric vans, citing the need for more tests and modifications to comply with regulatory standards.
Although it did not receive any safety reports, the company stated that it was recalling 41 units it delivered previously.
Workhorse stated that it concluded modifications were necessary in order to certify the C-1000 cars under Federal Motor Vehicle Safety Standards. According to Workhorse, the National Highway Traffic Safety Administration has been informed about additional vehicle testing and modifications.
In the December quarter, the company plans to finish testing the van. It has a 100-mile range and is powered with a 70-kilowatt hour battery.
Accordingly, the company’s previous statements related to the vehicle’s compliance with NHTSA standards cannot be relied upon, it said.
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