Building products group Boral is cutting down on work shifts and closing plants as the Covid-19 coronavirus pandemic cuts demand in all geographies in which it operates.
The company told investors that most of the company’s plants were regarded as critical infrastructure and continued operating, including its US fly ash business (pictured) which is an essential service to energy production.
The fly ash business involves harvesting and beneficiation of ash and processing into a pozzolan for commercial use in concrete.
Where appropriate hygiene and social distancing was possible, Boral is continuing to operate.
“In some areas, however particularly North America and Asia, more stringent mandates and restrictions have resulted in temporary closures of several operations.
“In addition, demand is declining in most markets and is expected to continue to decline, particularly in residential construction markets where the pipeline of work is substantially reducing in all geographies.”
The company has responded to the Covid-19 downturn by cutting costs, right-sizing operations to meet demand, and cutting capital expenditure by $70 million this financial year.
Boral CEO Mike Kane said: “We are…carefully managing the business to protect the financial stability of Boral and to ensure Boral is in good shape when we get through the pandemic crisis.
“Through our business continuity and scenario planning, we are preparing for a full range of potential disruptions.”
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