Suspends production at select manufacturing
facilities in the U.S. and Europe
LCI Industries (NYSE: LCII), which, through its wholly-owned
subsidiary, Lippert Components, Inc. ("LCI"), supplies,
domestically and internationally, a broad array of highly
engineered components for the leading original equipment
manufacturers ("OEMs") in the recreation and transportation product
markets, and the related aftermarkets of those industries, today
provided a business update regarding COVID-19.
In an effort to protect the health and safety of its team
members, align production with current demand levels, and adhere to
federal and state mandates, LCI Industries will temporarily suspend
production at select manufacturing facilities across the U.S. and
Europe, effective various days through the end of the week. The
temporary suspension of production is on a plant by plant basis,
consistent with government mandates or due to customer closures.
Production at facilities, which are considered essential, will
continue, utilizing reduced staff in conjunction with heightened
cleaning and sanitization processes.
“As the impact of the evolving COVID-19 pandemic continues, we
are suspending production at certain manufacturing facilities, with
15 of our sites anticipated to remain open after the end of the
week. We have also implemented a number of actions to ensure we are
adhering to guidelines set forth by the World Health Organization
and the Centers for Disease Control and Prevention. We are
monitoring the situation closely and are poised to promptly
re-start production at closed facilities as soon as OEM and dealer
partners see a less restricted consumer environment,” commented
Jason Lippert, LCI Industries’ President and Chief Executive
Officer.
Ryan Smith, LCI Industries’ Senior Vice President of Operations
commented, “Our team’s ability to come together and react quickly
to increasing regulatory mandates and production suspensions by our
key customers is a testament to the strength of LCI as an
organization and the culture we have built. I could not be prouder
of the extraordinary effort from our executive leadership to the
men and women leading on the front lines of our operations.”
“While we had a strong start to the first quarter, the
uncertainties around the ultimate impact of COVID-19 are not clear
at this point. As a result, we are making quick and prudent changes
to the business to ensure we remain nimble as an organization to
mitigate downside risk in a lower demand environment. We believe
that our cash flow generation capabilities, coupled with a strong
and flexible balance sheet, supported by current cash on hand and
available borrowings on our existing revolving credit facility of
approximately $240 million, will enable us to enhance our position
as the leader in the various markets we serve during these
difficult times,” Lippert continued. “I remain extremely confident
in our team’s ability to operate efficiently through this crisis.
This leadership team has been together more than 20 years and has a
proven ability to navigate challenging operating environments, such
as September 11th and the 2008 great recession. In those times, we
have always emerged faster and stronger than our supply side peers.
Rest assured, we are taking the necessary steps to protect our team
members, provide excellent support for our customers and dealers,
and preserve long-term value for our shareholders.”
About LCI Industries
From over 90 manufacturing and distribution facilities located
throughout North America and Europe, LCI Industries, through its
wholly-owned subsidiary, LCI, supplies, domestically and
internationally, a broad array of highly engineered components for
the leading OEMs in the recreation and transportation product
markets, consisting of recreational vehicles and adjacent
industries, including buses; trailers used to haul boats,
livestock, equipment, and other cargo; trucks; boats; trains;
manufactured homes; and modular housing. The Company also supplies
engineered components to the related aftermarkets of these
industries primarily by selling to retail dealers, wholesale
distributors, and service centers. LCI’s products include steel
chassis and related components; axles and suspension solutions;
slide-out mechanisms and solutions; thermoformed bath, kitchen, and
other products; vinyl, aluminum, and frameless windows; manual,
electric, and hydraulic stabilizer and leveling systems; entry,
luggage, patio, and ramp doors; furniture and mattresses; electric
and manual entry steps; awnings and awning accessories; towing
products; truck accessories; electronic components; and other
accessories. Additional information about LCI and its products can
be found at www.lci1.com.
Forward-Looking Statements
This press release contains certain “forward-looking statements”
with respect to our financial condition, results of operations,
business strategies, operating efficiencies or synergies,
competitive position, growth opportunities, acquisitions, plans and
objectives of management, markets for the Company’s common stock,
the impact of legal proceedings, and other matters. Statements in
this press release that are not historical facts are
“forward-looking statements” for the purpose of the safe harbor
provided by Section 21E of the Securities Exchange Act of 1934, as
amended, and Section 27A of the Securities Act of 1933, as amended,
and involve a number of risks and uncertainties.
Forward-looking statements, including, without limitation, those
relating to our future business prospects, net sales, expenses and
income (loss), capital expenditures, tax rate, cash flow, and
financial condition, whenever they occur in this press release are
necessarily estimates reflecting the best judgment of the Company’s
senior management at the time such statements were made. There are
a number of factors, many of which are beyond the Company’s
control, which could cause actual results and events to differ
materially from those described in the forward-looking statements.
These factors include, in addition to other matters described in
this press release, pricing pressures due to domestic and foreign
competition, costs and availability of, and tariffs on, raw
materials (particularly steel and aluminum) and other components,
seasonality and cyclicality in the industries to which we sell our
products, availability of credit for financing the retail and
wholesale purchase of products for which we sell our components,
inventory levels of retail dealers and manufacturers, availability
of transportation for products for which we sell our components,
the financial condition of our customers, the financial condition
of retail dealers of products for which we sell our components,
retention and concentration of significant customers, the costs,
pace of and successful integration of acquisitions and other growth
initiatives, availability and costs of production facilities and
labor, team member benefits, team member retention, realization and
impact of expansion plans, efficiency improvements and cost
reductions, the disruption of business resulting from natural
disasters or other unforeseen events, the successful entry into new
markets, the costs of compliance with environmental laws, laws of
foreign jurisdictions in which we operate, other operational and
financial risks related to conducting business internationally, and
increased governmental regulation and oversight, information
technology performance and security, the ability to protect
intellectual property, warranty and product liability claims or
product recalls, interest rates, oil and gasoline prices, and
availability, the impact of international, national and regional
economic conditions and consumer confidence on the retail sale of
products for which we sell our components, and other risks and
uncertainties discussed more fully under the caption “Risk Factors”
in the Company’s Annual Report on Form 10-K for the year ended
December 31, 2018, and in the Company’s subsequent filings with the
Securities and Exchange Commission. The Company disclaims any
obligation or undertaking to update forward-looking statements to
reflect circumstances or events that occur after the date the
forward-looking statements are made, except as required by law.
View source
version on businesswire.com: https://www.businesswire.com/news/home/20200325005383/en/
Brian M. Hall, CFO Phone: (574) 535-1125 E Mail:
LCII@lci1.com
LCI Industries (NYSE:LCII)
Historical Stock Chart
Von Jun 2024 bis Jul 2024
LCI Industries (NYSE:LCII)
Historical Stock Chart
Von Jul 2023 bis Jul 2024