Polaris Suspends Some Operations, Withdraws Guidance

By Colin Kellaher

Polaris Inc. said Monday it is suspending operations at some manufacturing plants and moving to shore up its financial position due to the coronavirus pandemic, and is withdrawing guidance.

Polaris said it can't meaningfully quantify the impact of the pandemic on its results, and it is withdrawing the first-quarter and full-year financial guidance it issued in late January. Polaris also said it is drawing down additional cash under its revolving credit facility, postponing capital expenditures that don't impact near-term programs and suspending its stock-buyback program in a bid to further increase financial flexibility and liquidity.

The Median, Minn., maker of powersports vehicles said it is suspending production schedules and plant operations for one week at six U.S. plants, plus one each in Mexico and Poland.

The company said it has about $450 million in cash on hand, and roughly $280 million available under its current credit facility, adding it is exploring access to additional capital with its lending partners.

Shares of Polaris were recently down 4% to $45.54.

Write to Colin Kellaher at [e-mail]

(END) Dow Jones Newswires

March 23, 2020 13:46 ET (17:46 GMT)

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