Back in May 2019, former President Donald Trump tweeted that Workhorse, a manufacturer of electric vehicles, would buy the hatch GM plant in Lordstown, Ohio, and increase the inventory of Workhorse. Workhorse’s stock has risen quite a bit since then, along with the suspicion that it could the next USPS mail truck. Friends, it will not be.
The US Postal Service announced On Tuesday, Oshkosh Defense, a Wisconsin contractor, will pick it up instead and drop Workhorse’s share price almost immediately. Wednesday, Workhorse announced the following statement, which is identical to the statement I made in high school after asking someone to call and be rejected:
On 23 February 2021, the USPS issued a press release announcing that it had awarded an award to a competitive finalist under the PGCE contract, the details of which can be found here. After being informed of the USPS decision, the company requested additional information from the USPS in accordance with the rules of the bidding process and is currently awaiting a response. The company plans to explore all possibilities available to non-award-winning finalists in a government bidding process. As further updates are provided, Workhorse intends to share the information through appropriate communication channels as far as the company may do.
According to The New York Times, Workhorse had less than $ 1 million in revenue in the first three quarters of 2020, while Oshkosh had $ 8.4 billion in revenue in 2019 alone. Workhorse also has only about 130 employees, while Oshkosh has more than 14,000. The contract for mail trucks, meanwhile, requires up to 165,000 new mail trucks over ten years, which means it is possible that the small size of Workhorse would have doomed it alone.
All of this means that it’s a big, possibly fatal, miss for Workhorse, although it still is. his other business lines, in addition to his ten percent investment in Lordstown Motors, the electric truck maker that unveiled their endurance in the Trump White House. That day, thanks to the investment in Lordstown, Workhorse saw its share rise by 16 percent. It’s a good thing that Trump is still in the White House to give it a boost … wait I hear otherwise … hmm.