Stanley Black & Decker Provides Update on Current Business Operations & Announces First Quarter Earnings Release Date
The Company remains focused on successfully navigating through this unprecedented period by aligning the organization around key priorities:
- First, and most importantly, ensuring the health and safety of our employees and supply chain partners
- Maintaining business continuity and financial strength and stability
- Serving our customers as they provide essential products and services to the world
- Doing our part to help mitigate the impact of the virus across the globe
To respond to the current environment, the Company has begun a comprehensive cost reduction and efficiency program. The program's primary focus is to:
- Adjust our supply chain and manufacturing labor base to match the current demand environment
- Substantially reduce indirect spending (currently
- Reduce non-essential staffing in a manner that ensures we are prepared for a demand recovery at the appropriate time
- Capture the significant raw material deflation opportunity that has recently emerged
In addition, the Company plans to temporarily suspend acquisition-related activity and reduce capital expenditures until the demand outlook is clearer. Additional detail will be provided on the Company's first quarter earnings call.
- Maintains strong investment grade credit ratings
- Possesses substantial cash on-hand and manages a robust and highly rated commercial paper program
$3billion of revolving credit facilities backed by a well-capitalized, diversified bank group
- Has the ability to generate additional cash proceeds of
$750 millionin the second quarter upon the successful remarketing of its Series C Convertible Preferred Stock, pursuant to its 2017 Equity Units Transaction
As a result of the challenging and uncertain macro environment, the Company is withdrawing its previously announced guidance for 2020. The Company anticipates that COVID-19 driven demand disruptions will negatively impact results in 2020 and will provide an updated outlook in its first quarter earnings release.
Release Date for First Quarter 2020 Earnings
The Company will broadcast its first quarter 2020 earnings conference call on
A news release outlining the financial results will be distributed before the market opens on
The call and an accompanying slide presentation will be available through a live webcast on the "Investors" section of
Vice President, Investor Relations
Director, Investor Relations
Vice President, Communications & Public Relations
Under the Private Securities Litigation Reform Act of 1995
This document contains "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. All statements other than statements of historical fact are "forward-looking statements" for purposes of federal and state securities laws, including any projections or guidance of earnings, revenue or other financial items; any statements of the plans, strategies and objectives of management for future operations; any statements concerning proposed new products, services or developments; any statements regarding future economic conditions or performance; any statements of belief; and any statements of assumptions underlying any of the foregoing. Forward-looking statements may include, among other, the words "may," "will," "estimate," "intend," "continue," "believe," "expect," "anticipate" or any other similar words.
Although the Company believes that the expectations reflected in any of its forward-looking statements are reasonable, actual results could differ materially from those projected or assumed in any of its forward-looking statements. The Company's future financial condition and results of operations, as well as any forward-looking statements, are subject to change and to inherent risks and uncertainties, such as those disclosed or incorporated by reference in the Company's filings with the
Important factors that could cause the Company's actual results, performance and achievements, or industry results to differ materially from estimates or projections contained in its forward-looking statements include, among others, the following: (i) successfully developing, marketing and achieving sales from new products and services and the continued acceptance of current products and services; (ii) macroeconomic factors, including global and regional business conditions (such as Brexit), commodity prices, inflation, and currency exchange rates; (iii) laws, regulations and governmental policies affecting the Company's activities in the countries where it does business, including those related to tariffs, taxation, and trade controls; (iv) the economic environment of emerging markets, particularly
Additional factors that could cause actual results to differ materially from forward-looking statements are set forth in the Annual Report on Form 10-K and in the Quarterly Report on Form 10-Q, including under the heading "Risk Factors," "Management's Discussion and Analysis of Financial Condition and Results of Operations" and in the Consolidated Financial Statements and the related Notes.
Forward-looking statements in this press release speak only as of the date hereof, and forward-looking statements in documents attached that are incorporated by reference speak only as of the date of those documents. The Company does not undertake any obligation to update or release any revisions to any forward-looking statement or to report any events or circumstances after the date hereof or to reflect the occurrence of unanticipated events, except as required by law.
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