Airbus announced plans to halt operations in both Spain and France for the next four days as Europe implements strict lockdown procedures. It was reported yesterday that Airbus had put together contingency plans to slow or stop production, and today the company put that plan into place.
“This will allow sufficient time to implement stringent health and safety conditions in terms of hygiene, cleaning and self-distancing, while improving the efficiency of operations under the new working conditions,” the company said in a statement. “In those countries, the company will also continue to maximize homeworking wherever possible. These measures will be implemented locally in coordination with the social partners.”
The company said it is working with customers and suppliers to “minimize the impact” of this decision on their operations. Its French sites include the main Toulouse assembly line which produces the A350 among other types.
On March 12, Airbus had reported that one of the company’s employees at its Madrid (Getafe) site in Spain had tested positive for COVID-19 and was receiving medical attention.
Additionally, Airbus signaled that if the crisis lasts for several months, government support would be needed, as reported in Reuters.
Airbus stock is down 8.1% to €63.41 on Euronext at 1:15 ET.
Source: Equities News