Wabash National Issues Update on Strong Liquidity Position, Cost Containment Measures and Schedules First Quarter 2020 Earnin...
April 16 2020 - 6:45AM
Wabash National Corporation (NYSE: WNC) today issued an update on
its liquidity position, cost containment measures and announced the
date for its first quarter 2020 earnings conference call.
Liquidity UpdateAs of March 31, 2020, the
company’s total liquidity was $277 million with cash and cash
equivalents of $155 million and $122 million of available
borrowings under its existing revolving credit facility. As a
result of uncertainty caused by COVID-19, the company drew $45
million under its existing revolving credit facility in March
2020.
“Wabash National is well-positioned from a liquidity perspective
as we have prepared for an eventual downturn in our industry over
the last two years. We recently bolstered our cash balance by
drawing on our revolving credit facility and we expect existing
cash on hand to be more than adequate to cover cash needs over this
extraordinary period of time,” said Chief Financial Officer, Mike
Pettit. “We have modeled numerous scenarios and we believe that
even under the most extreme assumptions the company has sufficient
liquidity to comfortably meet its cash obligations for at least the
next 12 months.”
Cost Containment MeasuresThe company also
announced plans to implement a two-week idling of operations and
company-wide furlough from April 20 to May 3. Customer support
functions will continue to operate during the furlough.
“We are moving rapidly to adjust to the current environment
while prioritizing the safety of our employees and ensuring the
liquidity and financial well-being of the company. We are taking
the difficult, but necessary, decisions at all levels of the
company to contain cost and preserve the strength of our balance
sheet,” said President and Chief Executive Officer, Brent
Yeagy.
First Quarter 2020 Earnings DateThe
company-wide furlough and the ongoing impact of the COVID-19
pandemic will push the company’s first quarter 2020 earnings
conference call to May 14, 2020. The company will webcast its
quarterly earnings conference call to review and discuss its
financial results for the first quarter 2020 beginning at 10:00
a.m. ET on May 14.
The call and an accompanying slide presentation will be
accessible on the "Investors" section of Wabash National’s website,
www.wabashnational.com, under the subheading "Events". The
conference call will be accessible by dialing 844-778-4139,
conference ID 8099552. A replay of the call will be available
shortly after the conclusion of the presentation and will remain
available for one year following the date of the call. Access to
the replay will be available on the "Investors" section of Wabash
National’s website under the subheading "Events".
Wabash National’s earnings press release, earnings slides and
any other related presentation materials will be posted to the
"Investors" section of Wabash National’s website by 7:00 a.m. ET on
the date of the earnings call and will remain available following
the call.
About Wabash National Corporation As the
innovation leader of engineered solutions for the transportation,
logistics and distribution industries, Wabash National
Corporation (NYSE:WNC) is changing how the world reaches you.
Headquartered in Lafayette, Indiana, the company’s mission is
to enable customers to succeed with breakthrough ideas and
solutions that help them move everything from first to final
mile. Wabash National designs and manufactures a diverse
range of products, including: dry freight and refrigerated
trailers, platform trailers, bulk tank trailers, dry and
refrigerated truck bodies, structural composite panels and
products, trailer aerodynamic solutions, and specialty food grade
and pharmaceutical equipment. Its innovative products are sold
under the following brand names: Wabash National®, Beall®, Benson®,
Brenner® Tank, Bulk Tank International, DuraPlate®, Extract
Technology®, Supreme®, Transcraft®, Walker Engineered Products, and
Walker Transport. Learn more at www.wabashnational.com.
Safe Harbor StatementThis press
release contains certain forward-looking statements as defined by
the Private Securities Litigation Reform Act of 1995.
Forward-looking statements convey the Company’s current
expectations or forecasts of future events. All statements
contained in this press release other than statements of historical
fact are forward-looking statements. These forward-looking
statements include, among other things, all statements regarding
the Company’s outlook for trailer and truck body shipments,
backlog, expectations regarding demand levels for trailers, truck
bodies, non-trailer equipment and our other diversified product
offerings, pricing, profitability and earnings, cash flow and
liquidity, opportunity to capture higher margin sales, new product
innovations, our growth and diversification strategies, our
expectations for improved financial performance during the course
of the year and our expectations with regards to capital
allocation. These and the Company’s other forward-looking
statements are subject to certain risks and uncertainties that
could cause actual results to differ materially from those implied
by the forward-looking statements. Without limitation, these risks
and uncertainties include a continued or prolonged shutdown or
reduction of our operations, substantially reduced customer orders
or sales volumes and supply disruptions due to the coronavirus
(COVID-19) outbreak; the continued integration of Supreme into the
Company’s business, adverse reactions to the transaction by
customers, suppliers or strategic partners, uncertain economic
conditions including the possibility that customer demand may not
meet our expectations, increased competition, reliance on certain
customers and corporate partnerships, risks of customer pick-up
delays, shortages and costs of raw materials including the impact
of tariffs or other international trade developments, risks in
implementing and sustaining improvements in the Company’s
manufacturing operations and cost containment, dependence on
industry trends and timing, supplier constraints, labor costs and
availability, customer acceptance of and reactions to pricing
changes and costs of indebtedness. Readers should review and
consider the various disclosures made by the Company in this press
release and in the Company’s reports to its stockholders and
periodic reports on Forms 10-K and 10-Q.
Media Contact: Dana
StelselDirector, Corporate Communications (765)
771-5766dana.stelsel@wabashnational.comInvestor
Relations: Ryan Reed Director, Investor Relations (765)
490-5664 ryan.reed@wabashnational.com
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