US companies with interests in Australia and New Zealand have issued statements in the wake of the COVID-19 pandemic.

 

ACCO Brands' global CEO Boris Elisman said the company has taken a number of steps to better align its cost structure in light of the external environment.

 

Below are excerpts of his statement, released earlier this week:

 

“Our top priority is the safety and well-being of our employees, and we have taken early actions to keep our employees safe. We appreciate the effort everyone is making under difficult circumstances

 

We ended 2019 in a strong financial position. As we face the ramifications of the COVID-19 pandemic, we anticipate lower near-term demand in many of our markets. 

 

As such, we are taking actions now to better align our costs with the external environment, with minimal permanent workforce reductions at this time

 

In response to the economic uncertainties, the company has undertaken many cost reduction initiatives beyond its normal productivity plans and intends to take additional actions in the near future. 

 

Some of these additional actions are temporary to further preserve financial flexibility. These actions include a:

 

 

As of 31 March, the company had cash on hand of approximately US$91 million, as well as approximately US$450 million available on its committed revolving credit facility. There are no debt maturities before May 2024.

 

Platinum Equity works to ‘flatten the curve’

 

California-based private equity firm Platinum Equity, the parent company of Winc Australia/New Zealand, has outlined its top priorities in response to the global pandemic caused by COVID-19: 

 

 

“We are intensely focused on the health of our people, our firm and our portfolio companies during this global pandemic,” said Platinum Equity chairman and CEO Tom Gores. “We are taking the steps needed to keep our team safe while ensuring the continuity of our business.”

 

The company implemented company-wide travel restrictions and work-from-home policies weeks ago to protect employees and help “flatten the curve,” and has taken necessary precautions to ensure the safety and well-being of its teams around the world.

 

Platinum Equity’s large in-house operations team is aggressively managing the firm’s portfolio companies to preserve liquidity, reduce costs and prepare for an extended downturn. They have implemented custom playbooks at every operating company and are working with management teams to take decisive action on a daily basis.

 

Many Platinum Equity portfolio companies have been deemed essential businesses and are working hard to support those on the front lines fighting the virus in different capacities. Other businesses have repurposed or redeployed their resources to assist in relief efforts.