Breedon prepares to re-open sites
Leicestershire building materials supplier Breedon says it will start re-opening its sites during coming weeks after being “encouraged” by recent announcement in the construction sector.
The firm closed the majority of its sites on 26 March in response to the coronavirus threat – although a small number remained open. More than 80% of the firm’s UK workforce was furloughed.
Breedon says it has deferred this year’s pay rises, witheld bonus schemes and deferred peformance share plan awards to its top team.
A statement from the company said: “The fact that a number of contractors, housebuilders and merchants have announced that they intend to resume their operations, albeit in a measured way and within strict safety parameters, is clearly good news for our industry. Where demand from our customers justifies it, we will seek to support them, provided we can do so without compromising the safety of our colleagues, our customers, and the communities in which we operate, which remains our overriding priority.
“It is still too early to predict with any certainty how quickly our markets will recover, and we therefore remain unable to provide market guidance at this time. However, we reiterate the points made in our announcement on 26 March 2020, prior to which we were trading broadly in line with our expectations. We have a fundamentally robust and diversified business with traditionally strong cashflow, and remain confident in our ability to prosper in the long term. The pending acquisition of assets from CEMEX in the UK, which has been delayed due to the difficulties caused by COVID-19, will further strengthen our position.”
