With COVID-19 Coronavirus spreading and governments around the World enforcing restrictions, we are happy to report that our production has so far continued largely undisturbed. We will continue to do everything in our power to deliver ordered gliders, even though customers may not be allowed to use them for the time being.
As you will have followed on the news, Coronavirus does not spare Germany or other European countries. Numbers keep rising and by now, most people may have realised that we all have to contribute in slowing down the speed in which the virus is spreading.
First of all, we are very happy and grateful that we have no known Corona cases in our families and in our staff.
Now we are working hard to secure our production for the coming weeks. Our management team holds daily online meetings to discuss and manage the ever-changing situation.
From the very beginning, the health of our employees has been our top priority. However, we must not lose sight of the day-to-day necessities such as securing cash flow. Since the beginning of the crisis a few weeks ago, we have intensified hygiene measures and introduced strict social distance control: Persons working on aircraft are required to keep at least two metres' distance from each other whenever their work allows it. We have cancelled all activities that would bring a larger number of people together and asked people not to go to other departments unless absolutely necessary. Employees who have any doubts about possible symptoms are asked to stay at home until they are sure they are not infected. Those who can work from home are already doing so. We are glad that our IT infrastructure is already ready for this.
Some of our suppliers and subcontractors are located outside Germany, which makes our supply chain vulnerable. The news of the closure of the borders and travel restrictions from surrounding countries has initially worried us, but in recent days there has been good news here. Everyone seems to be allowed to work, even if there are one or two restrictions. The transport of goods has not been stopped - despite initial information to the contrary or misleading information - but has only become a little more difficult, slower and possibly more expensive. At the moment we seem to be lucky - please keep your fingers crossed for us.
The most recent risk we were confronted with was the closure of civil aviation and airports. While in our home state of Baden-Württemberg all air sports have come to a standstill for a few days now, commercial aviation has been exempted from this ban for the time being, and we also received information that we as an aircraft manufacturer can still test new gliders and carry out the flight tests required for the certification of new models.
First of all, we would like to thank our employees, who work flexibly and with commitment under the conditions currently required. Our loyal customers are another important pillar, and we cannot thank them enough in these difficult times. They have shown themselves to be cooperative and flexible and are supporting us as much as they can, especially in that they are willing to accept and pay for the aircraft they have ordered, even though they may not be allowed to fly them for the time being. This is a relief for us, as we are able to secure our cash flow which helps us to continue without additional difficulties. Many thanks for this support!