- Tesla’s stock took a dive on Friday after news broke that two executives were leaving.
- The chief accounting officer is leaving after just one month on the job.
- The head of human resources is also leaving, according to a Bloomberg report.
- And CEO Elon Musk was filmed smoking pot and drinking whiskey during a 2-1/2-hour interview on Thursday with Joe Rogan, a comic and martial-arts colour commentator.
Tesla‘s stock was down over 7% on Friday after news that two executives were leaving and after CEO Elon Musk was filmed smoking a spliff – weed mixed with tobacco – during a live interview on Thursday.
Tesla’s chief accountant, Dave Morton, resigned Tuesday after just a month at the company, the automaker disclosed on Friday in a filing with the Securities and Exchange Commission.
Morton cited the intense pace of work at Tesla – plus the constant scrutiny – as the reason for his quick departure, but he also stressed in comments included in the filing that he had “no disagreements with Tesla’s leadership or its financial reporting.”a
“Since I joined Tesla on August 6th, the level of public attention placed on the company, as well as the pace within the company, have exceeded my expectations,” Morton said in the filing.
Also on Friday, Bloomberg reported that Tesla’s human-resources chief, Gaby Toledano, would not return from a leave of absence that began in August.
The string of bad news wiped more than $US3 billion off Tesla’s market cap.
In a Business Insider report published this week, employees inside the company described 70-hour workweeks, an “intense” environment, and a cult-like atmosphere that reveres both workaholism and Musk himself. Musk works so many hours that employees have found him sleeping under tables at Tesla’s facilities, they say.
On Thursday, Musk was filmed taking a drag on a spliff and drinking whiskey while being interviewed for the “Joe Rogan Experience” podcast. Musk spent more than 2 1/2 hours talking to Rogan, a comic and martial-arts colour commentator.
Musk also told Rogan it was “wrong” and “dangerous” for people to buy the flamethrowers he sold earlier this year, and he said that The Boring Company, his tunnel-construction firm, “started out as a joke.”
In Tesla’s financial news, with Musk’s short-lived plan to take the company private now dead, the focus has turned to Tesla’s $US920 million of convertible bonds.
These give holders the option to convert them to Tesla stock at $US360 per share on March 1, Business Insider’s Graham Rapier reported. If the stock is trading below that $US360 when the options mature, Tesla may have to repay that $US920 million.
Shareholders told Rapier that some core investors were losing confidence in Musk.
With word of these executive departures, the stock dipped as much as 10% on Friday, though it rebounded a couple of points and was trading at about $US263 later in the day.
Here’s a rundown of all the news on Tesla this week:
- Elon Musk was filmed smoking weed just weeks after saying marijuana kills productivity
- ‘He doesn’t seem to want to build any confidence’: Wall Street is asking questions of Tesla’s Elon Musk
- Tesla’s chief accountant quits after one month on the job
- 70-hour weeks and ‘WTF’ emails: 42 employees reveal the frenzy of working at Tesla under the ‘cult’ of Elon Musk
- Elon Musk works so many hours at Tesla, employees are constantly finding him asleep under tables and desks
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