Thales outlines measures to limit COVID-19 impact
Thales has outlined a series of measures it intends to take in order to mitigate the financial impact of the coronavirus outbreak on its business.
In a statement on 7 April, the company warned that the most severely hit division is likely to be its civil aeronautics business, which posted sales of €2.15 billion ($2.34 billion) in FY2019.
Patrice Caine, Chairman and CEO of Thales, said: ‘Our civil aeronautics businesses represent only around 12% of the Group’s turnover. However, like all industrial companies, this crisis is currently seriously disrupting production chains and project execution.’
Adaptation of workspaces and a reorganisation of shift patterns will be implemented to ensure adequate social distancing measures whilst deep cleaning and disinfection of production facilities will be stepped up.
In order to strengthen its liquidity, Thales has agreed to an additional €2 billion ($2.17 billion) syndicated credit facility with no covenant and can be used over the next 12 months.
Furthermore, dividends scheduled for 6 May will be restricted to €0.60 per share which will avoid a cash outflow of €430 million ($467.55 million).
More from Defence Notes
-
![Leonardo unveils plans for Michelangelo air defence dome]()
Leonardo unveils plans for Michelangelo air defence dome
The new multi-layered defence system will harness AI to neutralise airborne threats and protect Europe from Russian aggression.
-
![What will next-gen counter-UAS capabilities for the US look like?]()
What will next-gen counter-UAS capabilities for the US look like?
Future US counter-uncrewed aerial system solutions are likely to require a flexible, multi-layered approach to tackle a broad spectrum of new threats as they emerge.
-
![Elbit Systems awarded $2.3 billion contract as results soar]()
Elbit Systems awarded $2.3 billion contract as results soar
The company’s order backlog as of 30 September totalled $25.2 billion and more than a third of this is scheduled to be fulfilled before the end of 2026.
-
![US military foresees growing use of 3D printing]()
US military foresees growing use of 3D printing
Advanced manufacturing has evolved to meet military requirements and now supports multiple US critical assets, including Arleigh Burke-class destroyers, F-18, F-22, F-35, Bradley, HMMWV and Patriot.
