Business
Statement re Update on Financial & Operatin...
Statement re Update on Financial & Operatin....
About this update from C&c Group Plc
[{"type":"text","content":"\n \nStatement re Update on Financial & Operating Measures; Dividend Policy; and Financial Calendar\n\nC&C Group PLC\n\n \n \n \n Update on Financial & Operating Measures; Dividend Policy; and Financial Calendar\n \n \nC&C Group plc (‘C&C’ or the 'Group’), a leading, vertically integrated premium drinks company which manufactures, markets and distributes branded beer, cider, wine, spirits and soft drinks across the UK and Ireland, today provides an update in light of the ongoing COVID-19 pandemic.\n\n \nOur priority remains protecting the health and wellbeing of our people, customers, suppliers, business partners and community. We are continuously monitoring the advice provided by the health authorities and in line with that guidance, the Group continues to implement an extensive range of measures to provide the safest environment we can for our stakeholders.\n\n \nFollowing the announcement issued on 20March, C&C continues to implement a series of measures to reduce operating costs, maximise available cash flow, and maintain and strengthen the Group’s liquidity position. These measures include:\n\n \n Operational Measures\n \n \n \nCapital spend significantly reduced; expected to be in a €7 million to €10 million range for FY21\n\n \nReduced marketing and minimised discretionary spend\n\n \nPrudent and rigorous working capital management\n\n \nContinue to actively engage with the Irish and UK Tax Authorities\n\n \nAn average c.20% salary reduction across our workforce. Executive leadership team and Board remuneration reduced by 30% and 40% respectively for an initial three months and reviewed thereafter\n\n \nApproximately 70% of employees have been placed on furlough\n\n \n \n Strengthened Liquidity Position \n \n \nIn March we announced the successful issue of approximately €140 million of new US Private Placement (‘USPP’) notes. The unsecured notes have maturities of 10 and 12 years and diversify C&C’s sources of debt finance.\n\n \nThe Group has current liquidity of c.€570 million of which €430 million (unaudited) is cash. This cash includes net proceeds from the USPP and the full drawdown of our revolving credit facility (‘RCF’). In addition to our bank facilities, C&C has a non-recourse, committed debtor securitization facility of £200 million that is currently 39% utilised.\n\n \nThe...