3rd Apr 2020 10:53
(Alliance News) - TT Electronics PLC on Friday said it has chosen former Cobham PLC chief financial officer Warren Tucker as its new chair.
Tucker will be appointed to the engineered electronics firm's board as chair following the TT Electronics annual general meeting, currently scheduled for May 6. He will be replacing Neil Carson in the role, Carson having announced his intention to step down back in December.
Currently, Tucker is a non-executive director at consumer goods company Reckitt Benckiser Group PLC, and has been since 2010, though he will be stepping down in May. He has also been a non-executive director at Tate & Lyle PLC since 2018 and at the the UK government's Foreign & Commonwealth Office since 2015.
Between 2003 and 2013 Tucker was CFO at manufacturing firm Cobham and before that "held senior finance roles at Cable & Wireless and British Airways".
TT Electronics also said Senior Independent Director Stephen King is to step down in September after nine years. Following the AGM, Jack Boyer will be the new senior independent director.
Separately, TT Electronics said it is withdrawing its proposed final 2019 dividend, retaining GBP8.0 million of cash.
"Despite the group's balance sheet strength and liquidity position, given the exceptional levels of uncertainty, and recognising the other mitigating actions the company is taking the board considers it prudent to conserve cash," said TT Electronics.
Further is has also withdrawn its 2020 guidance in the face of market uncertainty ""and the potential for disruption caused by Covid-19".
The company has put personal protection measures in place such as social distancing and its operations are continuing to meet "critical needs" of medical, aerospace, and defence customers. Disruption has so far "been relatively modest" and its operations in China are already at full capacity again. Only three small facilities located in Tunisia, Barbados, and Malaysia are closed.
TT Electronics said it has taken steps to shrink costs and conserve cash flow, including implementing a temporary hiring freeze and curtailing "all discretionary expenditure".
At the end of 2019, TT Electronics has GBP51.5 million of net debt, excluding lease liabilities. It also had GBP60.2 million of cash and GBP66.8 million of undrawn headroom in its GP180 million committed revolving credit facility maturing November 2023.
Shares in TT Electronics were up 1.9% at 159.90 pence each on Friday in London.
By Anna Farley; [email protected]
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