Business Context and Reporting Period
This Form 8-K was filed by AMP Holding Inc. (not Workhorse Group Inc.) on April 13, 2012. The registrant is a Nevada corporation with principal executive offices in Loveland, Ohio. The report details a material definitive agreement entered into by its wholly-owned subsidiary, AMP Electric Vehicles Inc. ("AMP"), and the departure of a director.
Key Financial Metrics
The filing does not provide comprehensive financial statements, revenue, profit, cash flow, or debt metrics. Specific financial figures disclosed relate only to a settlement agreement:
- Settlement Payment: $30,000 in unpaid director fees and $1,234.70 in past expenses owed to Joseph Paresi.
- Payment Trigger: Payment is due upon the earlier of the Company raising $1,000,000 or commencing director compensation payments to CEO James Taylor.
Material Changes and Agreements
Development and Supply Agreement with Navistar
AMP Electric Vehicles Inc. entered into an agreement with Navistar International Corporation to develop all-electric heavy-duty commercial step vans. Key terms include:
- Initial Order: A purchase order for two vans with delivery scheduled for Summer 2012.
- Future Orders: Navistar may order additional vans if the initial units are deemed acceptable.
Departure of Director
Joseph Paresi resigned from all positions at the Company effective April 13, 2012. Under the Agreement and General Release:
- December 2010 and May 2011 stock options vested according to the standard schedule.
- All remaining unvested options were terminated.
Outlook, Risks, and Contingencies
The filing indicates that future revenue from Navistar is contingent upon the acceptance of the initial two vans delivered in Summer 2012. The settlement payment to the departing director is contingent on the Company's ability to raise capital ($1,000,000) or initiate compensation for the CEO. The filing explicitly states that the summary is not complete and refers readers to the attached exhibits for full terms.
Investor Verification Checklist
- Verify the identity of the registrant (AMP Holding Inc.) versus the requested company name (Workhorse Group Inc.).
- Confirm the status of the Navistar purchase order and the timeline for the Summer 2012 delivery.
- Monitor the Company's capital raising efforts to determine if the $1,000,000 threshold for the director settlement payment is met.
- Review the full text of the attached Agreement and General Release (Exhibit 10.1) for additional legal terms.