RUSH TRANSCRIPT Welcome back ░░░░░░░░ cheddar movers everyone lordstown ░░░░░░░░ is losing team gm ░░░░░░░░ sold 7 5 million ░░░░░░░░ in the electric vehicle ░░░░░░░░ after it not been ░░░░░░░░ it expects to produce ░░░░░░░░ 500 pickup trucks this ░░░░░░░░ That is far below ░░░░░░░░ target of 32 000 ░░░░░░░░ with more insight David ░░░░░░░░ CEO of new constructs ░░░░░░░░ welcome to the show ░░░░░░░░ invested in lordstown in ░░░░░░░░ not too long ago ░░░░░░░░ help give the company ░░░░░░░░ opportunity to restart production ░░░░░░░░ is gm backing out ░░░░░░░░ I think gm has ░░░░░░░░ their money right I ░░░░░░░░ look when the ice ░░░░░░░░ were getting crushed in ░░░░░░░░ of valuation compared The ░░░░░░░░ and so I think ░░░░░░░░ sort of I o ░░░░░░░░ do we can show ░░░░░░░░ you know so Why ░░░░░░░░ t We invest in ░░░░░░░░ of the super high ░░░░░░░░ right the stock up ░░░░░░░░ you know some of ░░░░░░░░ near the top and ░░░░░░░░ I think you know ░░░░░░░░ don t think a ░░░░░░░░ of the ford and ░░░░░░░░ incumbent investments and they ░░░░░░░░ you get companies were ░░░░░░░░ anything more than just ░░░░░░░░ place to take advantage ░░░░░░░░ to siphon some of ░░░░░░░░ extreme valuation away from ░░░░░░░░ toward the e p ░░░░░░░░ nothing more than that ░░░░░░░░ gm and ford are ░░░░░░░░ you know we re ░░░░░░░░ the execute in a ░░░░░░░░ that almost none of ░░░░░░░░ other he s able ░░░░░░░░ execute in terms of ░░░░░░░░ pretty do saying trucks ░░░░░░░░ cars with a reasonable ░░░░░░░░ scale Lordstown has run ░░░░░░░░ one problem after another ░░░░░░░░ you think this is ░░░░░░░░ beginning of the end ░░░░░░░░ this company David I ░░░░░░░░ I think is the ░░░░░░░░ of the end for ░░░░░░░░ lot of the evening ░░░░░░░░ let s face it ░░░░░░░░ had evie starts growing ░░░░░░░░ a tree he s ░░░░░░░░ you know all of ░░░░░░░░ valuations for multiples of ░░░░░░░░ like toyota and gm ░░░░░░░░ ford made dose and ░░░░░░░░ making cars is heart ░░░░░░░░ has proven that right ░░░░░░░░ how many years in ░░░░░░░░ row is bus promised ░░░░░░░░ cyber truck or a ░░░░░░░░ or 7 and it ░░░░░░░░ t happened for many ░░░░░░░░ the promise he s ░░░░░░░░ to he s going ░░░░░░░░ produce or more calls ░░░░░░░░ hasn t happened right ░░░░░░░░ is hard and look ░░░░░░░░ all the way back ░░░░░░░░ the tech bubble one ░░░░░░░░ the things I ve ░░░░░░░░ is that investors tend ░░░░░░░░ systematically underestimate operational capabilities ░░░░░░░░ they just think oh ░░░░░░░░ s a great idea ░░░░░░░░ can scale just like ░░░░░░░░ that s what happened ░░░░░░░░ Tesla we re seeing ░░░░░░░░ same thing with river ░░░░░░░░ lordstown we re going ░░░░░░░░ see with other electric ░░░░░░░░ makers and I think ░░░░░░░░ the beginning of the ░░░░░░░░ of this huge evie ░░░░░░░░ to the extent to ░░░░░░░░ expense or to the ░░░░░░░░ of the traditional automakers ░░░░░░░░ I think we re ░░░░░░░░ to see big capital ░░░░░░░░ pendulum swinging away from ░░░░░░░░ these back to the ░░░░░░░░ they just continue to ░░░░░░░░ like we re seeing ░░░░░░░░ ford and gm and ░░░░░░░░ news today Let s ░░░░░░░░ about lordstown 4th quarter ░░░░░░░░ report that came out ░░░░░░░░ Monday They did announce ░░░░░░░░ spent a lot less ░░░░░░░░ than expected stockstill plunging ░░░░░░░░ much as 28 following ░░░░░░░░ report on Monday is ░░░░░░░░ any way lordstown can ░░░░░░░░ back here But I ░░░░░░░░ look at where else ░░░░░░░░ as but like that ░░░░░░░░ know they re spending ░░░░░░░░ money because they know ░░░░░░░░ have less revenue You ░░░░░░░░ it s just that ░░░░░░░░ s there s not ░░░░░░░░ lot of talent to ░░░░░░░░ around I mean think ░░░░░░░░ you know how ford ░░░░░░░░ been able to attract ░░░░░░░░ retain some of the ░░░░░░░░ talent that used to ░░░░░░░░ a Tesla and just ░░░░░░░░ number of electric vehicle ░░░░░░░░ making companies I think ░░░░░░░░ s just too high ░░░░░░░░ of these have got ░░░░░░░░ just pass away It ░░░░░░░░ not not too dissimilar ░░░░░░░░ when the but the ░░░░░░░░ combustible engine car industry ░░░░░░░░ off There were tons ░░░░░░░░ competitors and players and ░░░░░░░░ over time can solve ░░░░░░░░ doubt to a precious ░░░░░░░░ And so I think ░░░░░░░░ is the inevitable we ░░░░░░░░ going out of some ░░░░░░░░ the weaker players anybody ░░░░░░░░ just trying to cash ░░░░░░░░ on the super expensive ░░░░░░░░ electric vehicle stock market ░░░░░░░░ take it beyond that ░░░░░░░░ know they were all ░░░░░░░░ no cattle so to ░░░░░░░░ You know you alluded ░░░░░░░░ this a minute ago ░░░░░░░░ do you think this ░░░░░░░░ we ll stop other ░░░░░░░░ UPS from entering the ░░░░░░░░ base and giving companies ░░░░░░░░ legacy companies like nissan ░░░░░░░░ even Tesla now they ░░░░░░░░ considering oji when it ░░░░░░░░ to this space a ░░░░░░░░ over the sector I ░░░░░░░░ it s a monopoly ░░░░░░░░ the other great players ░░░░░░░░ know it s a ░░░░░░░░ with one player But ░░░░░░░░ think you re right ░░░░░░░░ we re already seeing ░░░░░░░░ big it start to ░░░░░░░░ down or I mean ░░░░░░░░ have been nearly as ░░░░░░░░ ipos general has many ░░░░░░░░ not as many movies ░░░░░░░░ public right I think ░░░░░░░░ realize I said you ░░░░░░░░ you can only play ░░░░░░░░ hand or play that ░░░░░░░░ So many times for ░░░░░░░░ start to get a ░░░░░░░░ more wary I think ░░░░░░░░ did great with what ░░░░░░░░ did it we should ░░░░░░░░ be happy with the ░░░░░░░░ valuations that they got ░░░░░░░░ in the and they ░░░░░░░░ t so yes they ░░░░░░░░ be selling said What ░░░░░░░░ this mean for the ░░░░░░░░ TV sector as this ░░░░░░░░ transitions in the clean ░░░░░░░░ I just think it ░░░░░░░░ it s rationalizing as ░░░░░░░░ do industry act rationally ░░░░░░░░ is you know the ░░░░░░░░ of a new industry ░░░░░░░░ always have a plethora ░░░░░░░░ excessive number of competitors ░░░░░░░░ chasing the dream of ░░░░░░░░ the most money in ░░░░░░░░ new growth industry And ░░░░░░░░ fact of the matter ░░░░░░░░ when things shake out ░░░░░░░░ typically have a far ░░░░░░░░ number of stand of ░░░░░░░░ who remain standing Those ░░░░░░░░ best debris right in ░░░░░░░░ situation in any competition ░░░░░░░░ the best of the ░░░░░░░░ that remain standing there ░░░░░░░░ not enough room to ░░░░░░░░ board the place for ░░░░░░░░ many players which is ░░░░░░░░ we ve seen in ░░░░░░░░ traditional car industry that ░░░░░░░░ down to a few ░░░░░░░░ players that can benefit ░░░░░░░░ scale You need scale ░░░░░░░░ business to work because ░░░░░░░░ injured below and so ░░░░░░░░ means you can only ░░░░░░░░ a few players not ░░░░░░░░ can have was too ░░░░░░░░ excess capacity right So ░░░░░░░░ think it s going ░░░░░░░░ to be competitive is ░░░░░░░░ become very competitive And ░░░░░░░░ s exactly that increasing ░░░░░░░░ com petition that will ░░░░░░░░ the weaker players out ░░░░░░░░ know as we talk ░░░░░░░░ lordstown I can t ░░░░░░░░ but think about lu ░░░░░░░░ I m gathering that ░░░░░░░░ news of these companies ░░░░░░░░ doing as well as ░░░░░░░░ a surprise to investors ░░░░░░░░ it s it s ░░░░░░░░ paying close attention never ░░░░░░░░ that the combined valuation ░░░░░░░░ the e p startups ░░░░░░░░ to be multiples higher ░░░░░░░░ the incumbents I mean ░░░░░░░░ is never made sense ░░░░░░░░ was a ploy a ░░░░░░░░ of people got sucked ░░░░░░░░ and it s like ░░░░░░░░ mean stop ploy You ░░░░░░░░ as momentum trade and ░░░░░░░░ if you did any ░░░░░░░░ mental analysis on this ░░░░░░░░ knew it was crazy ░░░░░░░░ doesn t mean it ░░░░░░░░ not a done deal ░░░░░░░░ these numbers in the ░░░░░░░░ are going up like ░░░░░░░░ I don t blame ░░░░░░░░ for chase it but ░░░░░░░░ think they all probably ░░░░░░░░ some sense least the ░░░░░░░░ of their mind that ░░░░░░░░ couldn t go on ░░░░░░░░ Really great contacts David ░░░░░░░░ CEO of new constructs ░░░░░░░░ you so much for ░░░░░░░░ time David and coming ░░░░░░░░ Ukraine and businesses are ░░░░░░░░ up to support people.