PARIS — Valeo said it was abandoning its 2020 financial targets because of the hit to its business from the coronavirus outbreak, and had secured 1 billion euros ($1.1 billion) in additional credit lines to shore up its finances.
CEO Jacques Aschenbroich will also relinquish 25 percent of his salary “for the duration of the shutdown to support COVID-19 relief initiatives,” the supplier said in a news release on Tuesday.
Members of the executive committee and board of directors will take similar pay cuts.
“Given the drop in business activity, which began to impact Valeo’s plants in Europe and North America in the last two weeks of March, and the lack of visibility regarding when the crisis will end, the 2020 financial objectives announced by Valeo in connection with its 2019 full-year results are no longer valid,” Valeo said.
The supplier said that after securing the new credit lines from its banks, it now had 2.3 billion euros ($2.5 billion) in total of undrawn credit…
