Paccar Inc is providing a business update in response to recent changes in customer demand and a weaker outlook for the global economy, as a consequence of the coronavirus pandemic.
The Company will extend the suspension of truck and engine production at its factories worldwide until April 20, 2020. The company will review future actions on a regular basis. PACCAR will continue to provide aftermarket support to its customers who deliver medical supplies, food, and essential infrastructure services to our communities.
PACCAR’s financial results for 2020 will be impacted by lower production schedules due to changes in customer demand and the impact of government regulations or mandates. The Company will provide a business update and first-quarter results during the earnings call scheduled for April 21, 2020.
The Company is in a strong financial position, with excellent liquidity and investment-grade credit ratings of A+/A1. Manufacturing cash and marketable securities were $4.3 billion at the end of March 2020. The Company also has access to existing lines of credit of $3.0 billion.
“PACCAR’s excellent balance sheet, experienced leadership team and outstanding employees will contribute to the company successfully managing through this difficult period,”
said CEO Preston Feight.