Workhorse Group Adopts Value Creation Plan; CEO & CFO Receive Performance Awards

What Happened
Workhorse Group Inc. filed an 8‑K (dated Sept. 28, 2026) reporting that on Sept. 22, 2026 its Board adopted the Workhorse Group Inc. Value Creation Incentive Plan (VCIP) and approved performance awards under the VCIP for CEO Scott Griffith and CFO Jody Davis. The target award amounts are $15,000,000 for Mr. Griffith and $6,500,000 for Ms. Davis. The performance period runs from October 1, 2026 through September 30, 2031, and awards may be paid in cash or, at the Committee’s election, in common stock.

Key Details

• VCIP applies to executive officers and other employees; performance awards vest based on achievement of goals over 3–5 year performance periods.
• Award targets: CEO Scott Griffith $15.0M; CFO Jody Davis $6.5M. Performance period: 10/1/2026–9/30/2031.
• Performance goals and weightings: Annualized GAAP revenue milestone (15% of target) — ≥ $75M annualized GAAP revenue for two consecutive quarters; Positive GAAP gross margin (20%) — positive gross margin for two consecutive quarters; Positive operating cash flow (25%) — positive GAAP net cash from operations for two consecutive quarters; Enterprise equity value (40%) — average market capitalization ≥ $500M over any consecutive 45 trading‑day period.
• The plan document and form of award notice are filed as Exhibits 10.1 and 10.2 to the 8‑K.

Why It Matters
This links a substantial portion of senior management pay to revenue, profitability, cash flow and market capitalization over a multi‑year horizon, aligning incentives with long‑term company performance. Investors should note the large award sizes and that up to 40% of each award depends on hitting a $500M average market‑cap threshold. Awards can be paid in cash or stock, which could affect future cash needs or share count depending on how the Committee elects to settle earned amounts. The filing also cautions the performance targets are not forecasts of future results.