Ralph Lauren Corporation has taken additional pre-emptive actions to preserve cash and strengthen its liquidity while navigating the evolving global pandemic. The company said in a statement that measures include managing its expense structure across all key areas of spend, reducing or delaying capital expenditures and aligning inventories to anticipated demand; drawing down 475 million dollars from the company’s Global Credit Facility to bolster cash balances; halting any incremental share repurchases during the Covid-19 crisis, and pausing all non-critical capital build-out and reviewing all real estate projects.
“As we navigate the evolving impacts of Covid-19, we are addressing the acute crisis while ensuring that the strength of our global business endures over the long-term, as it has for more than 50 years,” said Patrice Louvet, the company’s President & CEO, adding, “In this challenging global context, we will prioritize the areas where we can have the greatest impact.”
Ralph Lauren to donate masks and isolation gowns
As announced on March 26, 2020, in response to Covid-19, the Ralph Lauren Corporate Foundation is committing 10 million dollars to help its teams, partners and communities impacted by the novel coronavirus pandemic. The company said Ralph Lauren Corporate Foundation’s commitment of 10 million dollars will provide financial grants through the Emergency Assistance Foundation for Ralph Lauren colleagues facing special circumstances like medical, elder care or childcare needs; contribute to the World Health Organization Covid-19 Solidarity Response Fund, a global effort supporting countries to prevent, detect and respond to the pandemic; build on the company’s 20-year commitment to cancer care through our Pink Pony Fund by supporting our long-standing network of international cancer institutions that are caring for people with cancer who are especially vulnerable at this time; and commit an inaugural gift to the Council of Fashion Designers of America (CFDA) / Vogue Fashion Fund for Covid-19 relief to support the American fashion community impacted by the pandemic.
In addition, the Ralph Lauren Corporation is starting the production of 250,000 masks and 25,000 isolation gowns for donation with our U.S. manufacturing partners.
Following temporary closures of its offices, stores and fulfilment centres around the world, Ralph Lauren said, it will continue to assess its operations on a location by location basis – heeding the advice of local governments and global health organizations to determine when to return each location to business. Distribution centre operations will re-open on April 1, 2020, at which time Ralph Lauren will resume normal shipping of digital and select wholesale orders.
Picture:Ralph Lauren newsroom