The corporate additionally didn’t inform buyers that its chief working officer, Rod Copes, a Harley-Davidson veteran, left the company last year. Public corporations and people within the technique of itemizing their shares typically disclose the departures of high executives. The information was first reported by The Wall Street Journal.
Perceive the Provide Chain Disaster
Ms. Mast mentioned Mr. Copes had a “phased transition from Rivian in fall 2021, previous to the I.P.O.” and retired in December, after the providing.
Mr. Copes, 55, mentioned in an interview that he didn’t go away Rivian due to issues about his efficiency or as a result of there have been issues with manufacturing. He mentioned that he had achieved key targets and that the constructions had been in place for Rivian’s ramp-up in manufacturing. “It was a easy and seamless transition,” Mr. Copes mentioned.
However company governance specialists suppose Rivian should have disclosed his impending departure to buyers through the I.P.O., given his senior position. “In the event that they knew he was leaving, the optimum disclosure would have been to establish their C.O.O. however point out that he was leaving,” John C. Espresso Jr., a professor at Columbia Regulation College, mentioned in an e mail.
Based on one former government, Rivian has a poor administration tradition.
The chief, Laura Schwab, said she was fired final yr from a high-ranking gross sales and advertising place after expressing issues about what she referred to as the “boys’ membership tradition” and “gender discrimination” on the firm. She filed a lawsuit in state court docket in California accusing Rivian of violating the state regulation prohibiting employment discrimination and retaliation.
Ms. Schwab mentioned she had been a part of 30 car introductions in prior auto trade jobs, together with at Aston Martin and Jaguar Land Rover. Quickly after arriving at Rivian, she mentioned, she felt compelled to precise issues that the corporate was at risk of lacking supply targets.
“The manufacturing line doesn’t go from zero to 1000’s of automobiles in a single day; it simply doesn’t work that approach,” she mentioned.
https://www.nytimes.com/2022/02/09/enterprise/rivian-stock-electric-cars.html Rivian Loses Its Shine as Traders Fret About Manufacturing Delays