Explain media reporting

Hon Hai Precision Industry Co Ld

02 May 2023

 

Subject: Explain media reporting

Contents:

1.Date of occurrence of the event:2023/05/02

2.Company name: Hon Hai Precision Ind. Co. Ltd.

3.Relationship with the Company (please enter "the company itself" or  "subsidiaries"):the company itself

4.Reciprocal shareholding percentage: NA

5.Name of the reporting media: ETtoday News Cloud

6.Content of the report:

American electric vehicle factory Lordstown Motors Corp. (Lordstown, LMC) Charges Hon Hai's divestment affects the company's operations

7.Cause of occurrence: NA

8.Countermeasures:

Foxconn has notified Lordstown Motors that it accepts Lordstown's position that Foxconn does not have a current right to terminate the Investment Agreement if the breach previously notified by Foxconn is not cured within 30 days. However, Lordstown Motors is in breach of the Investment Agreement as a result of the previously disclosed notice from the Nasdaq Stock Market LLC indicating that Lordstown Motors was no longer in compliance with the $1.00 bid price requirement for continued listing on The Nasdaq Global Select Market. 

We understand that Lordstown Motors is currently evaluating various courses of action as it pertains to their listing status with NASDAQ. In the meantime, we remain open to continuing our discussion and working together to reach a mutually acceptable outcome that benefits our respective stakeholders. 

Foxconn vigorously disputes any claim by Lordstown Motors that Foxconn is in breach of the Investment Agreement.  Foxconn has and will continue to fulfill its obligations and duties under the Investment Agreement in all material respects.

9.Any other matters that need to be specified: None

 

END