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).
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