A Message from Founder & CEO, Austin Russell

Today, Luminar advanced the next phase of our restructuring efforts by further reducing our overhead. This includes the difficult decision to say goodbye to approximately 30% of our general administrative and back-office workforce among other non-technical roles. In total, this phase represents an additional 15% of our broader employee base, which is additive to the previously disclosed cost savings and headcount actions we undertook starting in May this year in conjunction with our expanded industrialization partnership with TPK.

These new workforce adjustments, along with other cost-saving measures to take place over the coming quarters, are expected to generate an additional ~$80 million in cash savings annually on a run-rate basis. Importantly, today's cuts are not expected to adversely impact our technical milestones, customer programs, or product deliverables. They will, however, help our path to profitability with improved cash flow and incrementally reduced gross margin overhead.

Our overhead was built in a different climate, view on value, and cost of capital. The core of our business has never been stronger across technology, product, industrialization, and commercialization, and these are the areas we'd like to focus the vast majority of our resources on.

While our industry often requires patience, the opportunity for LiDAR and Luminar has never been brighter and more tangible. We have successfully built out our technology platform, made the necessary investments, and brought it into series production - with the first Luminar-equipped cars now being delivered to dealers and consumers around the world as we ramp.

Thank you to our Luminary team members and those along on our journey as we scale with a leaner, stronger, more efficient team.

Austin Russell

Founder and CEO, Luminar