Business
Covid-19 Update
Covid-19 Update.
About this update from Pennant International Group Plc
[{"type":"text","content":"\n \n \n RNS Number : 5156H\n Pennant International Group PLC\n 25 March 2020\n \n \n \n \n \n \n \n \n \n \n FOR IMMEDIATE RELEASE 25 March 2020\n \n \n \n \n \n PENNANT INTERNATIONAL GROUP PLC\n \n \n \n \n \n Covid-19 Update\n \n \n \n \n \n Pennant International Group plc (\"Pennant\", the \"Group\", or the \"Company\"), the AIM quoted supplier of integrated training and support solutions, products and services which train and assist operators and maintainers in the defence and regulated civilian sectors, issues the following Covid-19 update.\n \n \n Current Risks\n \n \n The Group continues to assess and manage the impact of Covid-19 on its business. Three key risks to trading and prospects have been identified so far. \n \n \n The first is the challenge of holding review events with customers. Such review events are held, as physical meetings, through the lifecycle of an engineering programme and frequently have milestone payments attached (paid by the customer to Pennant upon successful completion of the review). If the review cannot be held due to Covid-19 restrictions, cash and revenue associated with completion of the milestone may be delayed. \n \n \n The second risk is the inability to gain access to customer facilities to deliver services. Our 'integrated logistics support' consultancy services are typically delivered at a customer's site; if we cannot access the relevant site due to Covid-19 restrictions, the ability to deliver the services is severely hampered. \n \n \n Lastly, there is the broader risk that governments and major OEMs which award contracts to Pennant are, in the shorter term at least, consumed by their own efforts to deal with Covid-19 and therefore expected contract awards are consequently delayed until the pandemic has abated.\n \n \n Actions Taken\n \n \n With the first two risks set out above, we are working closely with the applicable customers to establish solutions so that reviews and services can be held and provided via remote means. We are confident that workarounds will be possible (and in some cases, these are already being implemented) but the impact on the timing and amount of any affected revenues is not yet clear. The third, macro risk is less easy for Pennant to directly influence, but we remain in close contact with key stakehold...