COVID-19 Business Related Updates



HOUSTON, March 20, 2020 (GLOBE NEWSWIRE) -- Sysco Corporation (NYSE:SYY), the leading global foodservice distribution company, today announced business and financial updates in response to changes in the foodservice industry due to the impact of the novel coronavirus (COVID-19) pandemic. Sysco’s strong balance sheet provides meaningful financial flexibility for the company to navigate current challenges in the “food-away-from-home” market resulting from the spread of COVID-19 and subsequent actions taken across the country to increase social distancing. The Company has cash on hand of approximately $2 billion as of March 20, 2020, including a recent $1.5 billion withdrawal under its revolving credit facility. Importantly, Sysco has no debt maturities for the next six months. In addition, Sysco is working with its banking partners to explore opportunities to raise additional funds and further strengthen its liquidity. The Company is taking aggressive action to further strengthen liquidity by reducing variable expenses in response to reduced customer demand, aligning inventory to current sales trends, reducing capital expenditures to only urgent projects, and tightly managing receivables. “Sysco is operating from a position of financial strength and will weather this storm. We continue to prioritize the health and wellbeing of our associates, customers and communities around the world,” said Kevin Hourican, Sysco’s president and chief executive officer. “In addition to ensuring the safe delivery of food and related products, we are taking decisive actions to manage our costs, capital spend and working capital to maintain a positive free cash flow position.”

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