Aryzta Says That It Has Improved Its Liquidity Position
Published on May 4 2020 11:59 AM
Aryzta has said that it has improved its liquidity position, reflecting cash and cost actions taken and seasonal variations.
'The group currently holds liquidity in excess of €385 million at 30 April, up from €360 million at 24 March 2020,' the Cuisine de France owner said in a statement.
In light of the COVID-19 crisis, since mid-March the group took 'immediate and decisive action to maximise cash and reduce costs.'
'Actions are being kept under constant review and to date include pausing production in three bakeries in Europe and five in North America effective as of 30 April,' the Swiss-Irish baker explained.
Some of the measures implemented by the company includes closing further production lines within bakery plants on a temporary basis.
Aryzta also furloughed in the region of 30% of its headcount, including temporary staff and said that it has utilised government support across the regions that it operates in.
The baking firm said that it has received the requisite consent of the majority of its lenders for an amendment of its financial covenants.
'An agreement to formally implement the amendment is expected to be executed shortly,' it said.
'The amendment shall apply to the forthcoming two covenant tests relating to the annual financial statements as of the end of July 2020 and the interim financial statements as of the end of January 2021,' it added.
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