Faraday will announce a net loss of $304 million in the third quarter in the future.

Car change news? On May 7th, Faraday Future Intelligent Electric Company (FF, Faraday Future or the Company), headquartered in California, USA, today announced its financial results for the third quarter ending September 30th, 20021year, with a net loss of 304 million US dollars. The announcement of financial results was delayed due to the investigation work previously announced by the Special Committee.

"The third quarter of 202 1 is of great significance to Faraday's future, because we have completed the merger with PSAC and become a listed company. At the end of the third quarter, we had sufficient capital and a good balance sheet. " Dr. Bi Fukang, global CEO of the company, said, "We have made great progress in the construction of the manufacturing plant in hanford, California, and the construction of the production area is progressing as planned.

In the challenging supply chain environment, we continue to work closely with supply chain partners and make remarkable progress. We strengthen our management team by hiring key employees, who help us cope with the challenging logistics environment; We have also strengthened our capabilities in other key areas such as manufacturing, development and finance. "

Dr. Bi Fukang further emphasized: "After the end of the third quarter, we achieved the first four milestones of SOP in hanford manufacturing plant. We are still confident to deliver FF 9 1 in the third quarter of 2022, and firmly believe that Faraday's future positioning is to redefine the most advanced intelligent electric vehicles. "

Comments on the review by the Special Committee

Dr. Bi Fukang added: "The special committee composed of independent directors completed the previously announced investigation on the allegations related to historical disclosure and submitted its findings and suggestions to the company's board of directors. The board of directors accepted the investigation results, and the implementation of remedial measures progressed smoothly.

On behalf of the entire management team, I would like to thank the Special Committee, our financial and legal advisers and the members of the Board of Directors for their hard work and their commitment to bringing the company up to the highest standards of ethics and conduct. I would also like to thank all my colleagues, suppliers and investors for their support and trust. I believe that this evaluation and the changes we have made will help us build a stronger and better company. "

202 1 highlights of the third quarter

Faraday will focus on FF 9 1 delivery and completion of business plans in the future, and make continuous progress. In the third quarter ended September 30th, 20021year, the following contents were released:

● Complete the merger with Property Solutions Acquisition Corp. ("PSAC"), a special purpose acquisition company.

FF's common stock (code "FFIE") and warrants (code "FFIEW") began trading on NASDAQ on July 22nd, 20021year.

● Completed a 2,270-mile vehicle testing and verification journey along the historic route 66, Illinois, which winds from Chicago to Santa Monica, California, passing through several states in the United States.

● Announced the cooperation plan with Qmerit, which is a leader in the green energy transformation industry and the largest supplier of electric vehicle charging network installation in the United States.

FF cooperates with Qmerit to meet the home charging needs of future FF 9 1 users and other future energy-related installation services.

● Matt Tal was hired as vice president of manufacturing.

Responsible for leading all aspects of FF manufacturing, and comprehensively supervising the sprint stages of hanford manufacturing plant, such as factory construction, parts and tooling installation, employee recruitment and FF 9 1 production.

● Liu was appointed as the Senior Vice President of FF China Supply Chain.

He will help FF promote the production and delivery of FF 9 1.

● Hire new leading members and constantly expand the team;

Including the senior director of energy storage and charging;

Head of ADAS and autopilot software engineering;

Vehicle quality supervisor.

● Announced plans to conduct large-scale recruitment within 12 months after the merger with PSAC (completed in July of 20021year).

The key recruitment areas are manufacturing, engineering, supply chain, design, marketing, brand, sales, finance and accounting, as well as potential higher-level management positions.

● The first "9 19 Futurist Day" was held at FF headquarters in Los Angeles, California.

Hundreds of participants from FF users, partners, car enthusiasts, global FF employees and their relatives and friends gathered together to celebrate the success of FF and exchange products, technologies, personnel, innovations and user-centered concepts.

● Summarize the major milestones of hanford manufacturing plant to SOP, and regularly provide milestones and other progress updates through video playback and live broadcast on public media channels and FF APP.

Major events after the third quarter

From September 30th, 20265438 +0 to September 30th, 20265438 +0,65438+February 30th, 365438+0, FF completed the following major milestones:

● Complete the installation of test equipment in the trial production and construction area of hanford Manufacturing Plant.

Hanford manufacturing plant covers an area of about 65,438+065,438+million square feet, and it is estimated that it can support the production of 65,438+00,000 vehicles every year after completion.

According to the current schedule, FF management expects that the production of hanford manufacturing plant will start in the third quarter of 2022.

● Officially obtained the occupation certificate of special area before production in hanford manufacturing plant.

Obtaining this certificate means that FF has been allowed to carry out key construction activities, including manufacturing more quasi-production cars in the factory.

● Start the infrastructure construction in other production areas of hanford manufacturing plant, including car body, powertrain, warehouse and final assembly.

The indoor infrastructure work in the production area has been basically completed, and the main mechanical systems, including electrical and piping, are being installed.

● Announce cooperation with Munro &; With the cooperation of the joint venture company, the company will be the innovation consultant of FF, and assist the production preparation of FF 9 1 through comparative analysis and quality evaluation.

● Community Day and Job Fair were held in hanford City Hall on 202 1, 1,1respectively.

● Announce HSL Italia as an external lighting supplier.

HSL Italia will cooperate with the company throughout the production process to ensure the provision of high-quality and innovative external lighting systems.

● After 2021year 65438+February 3 1 day, FF completed the following other major milestones and made some personnel and organizational changes:

● Announced the signing of a contract with South Korean automobile manufacturer Myoung Shin Co, Ltd. to manufacture Faraday's second car FF 8 1 in the future, which is planned to become SOP in 2024.

● The first FF9 1 quasi-production car was built.

This indicates that Faraday has reached the fourth manufacturing milestone in the future, and will continue to manufacture more quasi-production vehicles for final engineering verification and certification.

● Obtain a sales license for online sales in the United States from California.

● Signed the lease agreement of FF flagship store in Beverly Hills, California, and determined the design company.

The initial lease period is 126 months, and the lessee has the right to renew the lease twice for five years.

In addition, FF announced that it is actively looking for a second flagship store location in the United States.

● Appoint Susan Swenson as the executive chairman of the board of directors and Jordan Vogel as the chief independent director.

FF Board of Directors consists of nine directors, five of whom are independent directors.

● After the announcement of Benedikt Hartmann's retirement, Mathias Hofmann took over as the new head of global supply chain, effective from February 25th, 2022.

Mathias joined FF after nearly 30 years at BMW as vice president, responsible for global procurement and factory management.

He has worked on four continents and has also worked in China. Before joining FF, his latest position was Brazilian factory director.

He has rich experience in factory operation and direct and indirect procurement.

● Appoint Becky Roof as the Acting Chief Financial Officer (CFO), and hire a subsidiary of AlixPartners to help quickly implement the rectification suggestions put forward by the Special Committee, including financial control and major defect remedy.

Ms. Roof is an experienced CFO, who has served as acting CFO in many listed companies and private companies.

● Announce that the car booking volume as of March 3 1 in 2022 is 40 1.

The deposit has been paid, and the deposit is fully refunded, which is not binding. The reserved vehicles are FF 9 1 Futurist Alliance and/or FF 9 1 Futurist, which were originally sold by the company to users in the United States and China.

In order to book the FF 9 1 Futurist Alliance, American users need to pay a deposit of 5,000 USD, and China users need to pay a deposit of 50,000 RMB.

In order to reserve FF 9 1 Futurist, American users need to pay a deposit of 1 1,500 USD, and China users need to pay a deposit of 20,000 RMB.

202 1 third quarter results

The operating expenses in the third quarter ended September 30th, 20021year were186 million USD, while the operating expenses in the three months ended September 30th, 2020 were186 million USD. The increase in operating expenses is mainly due to the increased investment of hanford manufacturing plant in preparation for full-scale commercial production.

The net loss in the third quarter ended September 30, 20021year was $304 million, compared with $33 million in the same period last year. The increase in net loss is mainly due to the substantial increase in operating expenses, the loss due to changes in fair value of bills payable to related parties, bills payable and warrants liabilities measured at fair value, bills payable to related parties, bills payable and payments payable to suppliers.

As of September 30th, 20021year, the balance of cash and cash equivalents was USD 666 million. As of March 3, 2022, the cash balance was $276 million, including the planned repayment of $97 million in bills and accrued interest.