Arcimoto Plans To Curb Annual Expenses By $20M Via Job Cuts, Reduced Spending
Arcimoto Inc (NASDAQ: FUV) intends to reduce annual expenses by approximately $20 million via reduced operations spending and job cuts.
Arcimoto's restructuring plan includes four key actions: increasing the backlog of sales, focusing on consumer FUV, fleet Deliverator, and strategic rentals; open vehicle delivery to new states; scale production; and exploring all strategic alternatives.
"This plan allows us to scale the factory and deliver vehicles at a volume that better offsets our spend with greater revenue," said Jesse Fittipaldi, Arcimoto's Interim CEO.
Arcimoto also announced sales expansion to New York, New Jersey, Pennsylvania, Maryland, Virginia, Georgia, and Washington D.C., with first customer deliveries expected to begin in November 2022.
Arcimoto's finance partner FreedomRoad Financial will extendArcimoto the special 1.99% APR (Annual Percentage Rate) financing for up to 36 months to qualified customers until November 30.
Also Read: Faction & GoCar Partner On Driverless Vehicle Rentals
Price Action: FUV shares are trading higher by 1.44% at $0.8369 on the last check Thursday.
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