Patrick Industries, Inc. Provides Additional Business Update Regarding COVID-19
Patrick Industries, Inc. Provides Additional Business Update Regarding COVID-19 Suspension of Operations at Certain Facilities Extended / Additional Cost Reductions Enacted |
[10-April-2020] |
ELKHART, Ind., April 10, 2020 /PRNewswire/ -- Patrick Industries, Inc. (NASDAQ: PATK) ("Patrick" or the "Company"), a major manufacturer and distributor of component and building products for the recreational vehicle, marine, manufactured housing, and industrial markets, today provided an update related to its business and operations during the coronavirus (COVID-19) pandemic. "As we continue to navigate through the uncertainty related to the impact of COVID-19, and prioritize the safety and well-being of our team members, we have extended our recently announced one- to two-week suspension of certain operations for an additional one to three weeks," said Andy Nemeth, President and Chief Executive Officer. "The estimated length of the suspensions is determined on a plant-by-plant basis, depending upon customer operating schedules or government requirements. In addition, we proactively enacted measures related to cost reductions in order to align our cost structure with ongoing expectations and fluctuations in industry demand. Certain of our plants in various parts of the country have remained active and operational." The Company implemented cost containment and financial management measures prior to the initial suspension of certain operations including wage reductions for the entire Executive Management team and other salaried employees across the organization, furlough of certain team members at operations that have been shut down due to the stay at home orders, a reduction in quarterly fees paid to our Board of Directors, and a reduction in non-essential spending. "We will continue to evaluate the environment surrounding the COVID-19 pandemic and have a playbook with detailed tiered plans to enact further disciplined measures as the situation dictates," Mr. Nemeth further stated. "Our capital structure and financial position remains strong with ample liquidity and availability to manage this crisis for the foreseeable future, and we remain poised to quickly pivot and execute on our strategic plan and initiatives once stability returns to our markets. We believe we are well-positioned to drive our business and execute off of our operational and financial platforms and high variable cost business model to continue to support the needs of our customers and be able to take advantage of opportunities in our markets as they present themselves." About Patrick Industries, Inc. Cautionary Statement Regarding Forward-Looking Statements There can be no assurance that any forward-looking statement will be realized or that actual results will not be significantly different from that set forth in such forward-looking statement. The Company does not undertake to publicly update or revise any forward-looking statements except as required by law. Information about certain risks that could affect our business and cause actual results to differ from those expressed or implied in the forward-looking statements are contained in the section entitled "Risk Factors" in the Company's Annual Report on Form 10-K for the year ended December 31, 2019, and in the Company's Form 10-Qs for subsequent quarterly periods, which are filed with the Securities and Exchange Commission ("SEC") and are available on the SEC's website at www.sec.gov. Each forward-looking statement speaks only as of the date of this press release, and we undertake no obligation to update any forward-looking statement to reflect events or circumstances occurring after the date on which it is made.
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Company Codes: NASDAQ-NMS:PATK |
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