Gildan Suspends Manufacturing Until Mid-April
Gildan Activewear, Montreal, announced today that it is suspending production at all of its manufacturing facilities until mid-April. The company cited a decrease in demand as a result of event cancellations, government measures and slowing retail demand via social distancing.
“This will allow us to respect government recommendations and align production and inventory levels with current demand requirements,” Gildan said in a statement. “All other areas of our business, including our distribution centers, which service the various regions where we sell our products, will remain open for the time being with good inventory availability levels to service our customers, operating with appropriate measures in place to protect our employees, including remote working arrangements for many of our office staff.”
Gildan also made financial steps with its long-term bank credit facility to secure around $600 million in liquidity, giving the company “financial flexibility” as it faces challenges related to the COVID-19 outbreak.
“Gildan is working diligently across all areas of our business to safeguard our people and the continuity of our business, while maintaining support to all our customers,” the company said. “We have been able to successfully navigate through difficult times over the years and adapt to changing environments, which gives us confidence that our strong business model, financial position and resilience will continue to position us well for long-term success as we emerge from the COVID-19 crisis.”
For more information on Gildan Activewear, visit www.gildan.com.