AM I NEXT? IS THE HANDWRITING ON THE WALL AT FISKER

Manhattan Beach, California-based Fisker, an electric vehicle manufacturer, has announced a restructuring and a 15% reduction in force.

More troubling is Fisker's SEC filing that contains a warning about its ability to continue as a going concern.

Contained within the SEC filing...

Substantial Doubt About Fisker’s Ability to Continue as a Going Concern

Fisker expects its capital expenditures and working capital requirements to decrease during 2024 and beyond as it enters the second year of Ocean production. The company’s business plan is highly dependent on the successful transition to its new Dealer Partner model in 2024. Furthermore, to the extent Fisker’s current resources are insufficient to satisfy its requirements over the next 12 months, the company will need to seek additional equity or debt financing, and there can be no assurance that Fisker will be successful in these efforts. If the financing is not available, or if the terms of financing are less desirable than Fisker expects, the company may be forced to decrease its planned level of investment in product development, scale back its operations including further headcount reductions, and reduce production of the Fisker Ocean, which could have an adverse impact on the company’s business and financial prospects. As a result, the company expects to conclude there is substantial doubt about its ability to continue as a going concern when its annual financial statements for the year ended December 31, 2023, are filed with the SEC.

To address potential liquidity issues, Fisker is already taking action. The company is currently in discussions with an existing noteholder about potentially making an additional investment in the company. The use of proceeds, if a transaction is consummated, is expected to be for general corporate purposes, vehicle production and the ongoing transition to a dealer-focused sales model. In addition, Fisker intends to reduce its workforce by approximately 15%. Headcount reductions are predominantly related to the change in sales strategy from direct-to-consumer to a Dealer Partner model. In addition, the company is streamlining operations, including reducing its physical footprint and overall expenses.

Change is coming. There will always be a tomorrow, no matter how much you may try to ignore it. There are no guarantees in life or promises for a bright future. We see good people being laid off through no fault of their own. Just because something bad hasn't happened yet doesn't mean it won't. It can happen to anyone, anytime, anywhere. No one is guaranteed to wake up tomorrow and still have a job by evening. Are you now wondering, Am I Next?

AM I NEXT? NO LOVE AT DAIFUKU SERVICES AMERICA

Novi, Michigan-based Daifuku Services America, a provider of business services including logistics support, material handling equipment, and maintenance services, has announced a reduction in its workforce at Amazon's warehouse and distribution centers located in Colorado.

The reduction will impact 196 employees, including maintenance managers and technicians, engineers, and planners, commencing on April 22, 2024. The layoffs include 89 employees from Amazon's fulfillment center near the Colorado Springs Airport, 75 Daifuku employees at Amazon’s fulfillment center in Thornton, Colorado, and 32 employees at its Aurora, Colorado sorting facility.

The decision was driven by Amazon's cancellation of Daifuku's services contract. According to an Amazon spokesperson, “As part of our regular course of business, we evaluate our vendors based on a number of factors and make changes to meet our business needs. As a result of a recent review, we’re changing maintenance vendors."

Change is coming. There will always be a tomorrow, no matter how much you may try to ignore it. There are no guarantees in life or promises for a bright future. We see good people being laid off through no fault of their own. Just because something bad hasn't happened yet doesn't mean it won't. It can happen to anyone, anytime, anywhere. No one is guaranteed to wake up tomorrow and still have a job by evening. Are you now wondering, Am I Next?

AM I NEXT? NO LOVE AT COLLEGE OF SAINT ROSE

Albany, New York-based College of Saint Rose, a liberal arts educational institution, has officially announced its closure after the end of the academic year, culminating with its May 11, 2024, graduation ceremony.

The closure will impact 646 employees, including visiting faculty operating on contracts. The closure will be completed by the end of 2024.

According to a school spokesperson, "The closure of Saint Rose is truly heartbreaking for all of us who care deeply about the history and legacy of this institution and the extraordinary students we serve and have served for 103 years."

Board Chair Jeffrey D. Stone noted, “It is with a heavy heart that the Board decided to close the college at the end of this academic year. The Board determined that the College does not have the financial resources to operate for the full 2024-2025 academic year and, therefore, cannot remain a standalone institution. Like many small, private higher education institutions in the Northeast, the College has struggled to manage operating expenses in the face of declining enrollment caused by both a shrinking pool of high school graduates and the prolonged negative impact of COVID-19. We are devastated that despite all our efforts we were unable to avoid closure. Our goal now is to ease the transition for our students, faculty, and staff.”

Change is coming. There will always be a tomorrow, no matter how much you may try to ignore it. There are no guarantees in life or promises for a bright future. We see good people being laid off through no fault of their own. Just because something bad hasn't happened yet doesn't mean it won't. It can happen to anyone, anytime, anywhere. No one is guaranteed to wake up tomorrow and still have a job by evening. Are you now wondering, Am I Next?