VF Corporation Announces Partial Drawdown of Revolving Credit Facility and Withdraws Full Year Fiscal 2020 Outlook
March 23 2020 - 6:55AM
Business Wire
As a result of the current unprecedented period of uncertainty,
including the unknown duration and overall impact of the COVID-19
coronavirus outbreak, VF Corporation (NYSE: VFC) today announced
additional actions to preserve financial liquidity and flexibility
in order to successfully manage its business operations.
Drawdown of Revolving Credit
Facility
As previously disclosed, VF maintains a $2.25 billion senior
unsecured revolving credit facility that expires in December 2023.
In an abundance of caution and as a proactive, precautionary
measure, VF elected to draw down $1 billion from its revolving
credit facility. The draw down strengthens VF’s cash position and
effectively funds the company’s expected working capital
requirements through the first half of fiscal 2021. After the draw
down, VF expects to have approximately $1.5 billion of cash on hand
and approximately $1 billion remaining under the revolving credit
facility.
VF also retains access to a commercial paper program which
allows for borrowings up to $2.25 billion for short-term, seasonal
working capital requirements and general corporate purposes.
Full Year Fiscal 2020 Earnings Outlook
Update
As a result of the disruption and uncertainty caused by the
COVID-19 coronavirus outbreak, VF is withdrawing its adjusted
fiscal 2020 outlook provided on January 23, 2020 and is not
providing an updated outlook at this time. More information will be
provided during the company’s fourth quarter fiscal 2020 conference
call in May 2020.
About VF
Founded in 1899, VF Corporation is one of the world’s largest
apparel, footwear and accessories companies connecting people to
the lifestyles, activities and experiences they cherish most
through a family of iconic outdoor, active and workwear brands
including Vans®, The North Face®, Timberland® and Dickies®. Our
purpose is to power movements of sustainable and active lifestyles
for the betterment of people and our planet. We connect this
purpose with a relentless drive to succeed to create value for all
stakeholders and use our company as a force for good. For more
information, please visit vfc.com.
Forward-looking Statements
Certain statements included in this release are "forward-looking
statements" within the meaning of the federal securities laws.
Forward-looking statements are made based on our expectations and
beliefs concerning future events impacting VF and therefore involve
several risks and uncertainties. You can identify these statements
by the fact that they use words such as “will,” “anticipate,”
“estimate,” “expect,” “should,” and “may” and other words and terms
of similar meaning or use of future dates. We caution that
forward-looking statements are not guarantees and that actual
results could differ materially from those expressed or implied in
the forward-looking statements. Information on potential factors
that could affect VF's financial results is included from time to
time in VF's public reports filed with the Securities and Exchange
Commission, including VF's Annual Report on Form 10-K and Quarterly
Reports on Form 10-Q, and Forms 8-K filed or furnished with the
SEC.
View source
version on businesswire.com: https://www.businesswire.com/news/home/20200323005087/en/
VF Corporation Contacts: Joe
Alkire Vice President, Corporate Development, Investor Relations
and Treasury (720) 778-4051
Craig Hodges Vice President, Corporate Affairs (720)
778-4116
VF (NYSE:VFC)
Historical Stock Chart
From Aug 2024 to Sep 2024
VF (NYSE:VFC)
Historical Stock Chart
From Sep 2023 to Sep 2024