Gap inc - expect material impacts from evolving covid-19 pandemic

Gap inc - expect material impacts from evolving covid-19 pandemic.gap - at end of fiscal quarter ending may 2, currently expect to have $750-$850 million of cash and cash equivalents inclusive of short-term investments.gap inc - suspending rent payments for co's stores that have been closed because of covid-19 pandemic.gap inc - existing cash and cash expected to be generated from operations may not be sufficient to fund operations.gap says will need to take additional actions to both preserve existing liquidity and seek additional sources of liquidity within next 12 months.gap - actions will include some combination of new debt financing or other short-term credit facility & further deferring capital expenditures.gap inc says novel coronavirus disease pandemic is expected to have a material adverse effect on business & results of operations.gap inc - temporarily closed a significant number of stores globally and furloughed the majority of store teams.gap inc - may face longer term store closure requirements and other operational restrictions with respect to some or all of physical locations.gap - actions to preserve cash position will include further reducing headcount, operating expenses, receipts and orders for merchandise.gap inc - consumer fears about becoming ill with may continue, which will adversely affect traffic to franchisees’ stores.
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