March 12, 2020
Over the past several weeks, Navistar has been closely monitoring the coronavirus (COVID-19) outbreak and its impact to our business. We want you to know that we are taking action to protect our most important assets – our employees, business partners and customers – while maintaining our highest quality and service standards. This is our top priority at every Navistar location worldwide.
In alignment with guidance from the U.S. Centers for Disease Control (CDC) and World Health Organization (WHO) regarding threat assessment protocols, we have activated a cross-functional response team to ensure our business continuity and preparedness plans are updated based on the latest developments of this rapidly changing situation.
Below, I have outlined some key actions we are taking to ensure the safety of our people and business operations.
Employees and business partners visiting Navistar sites
Additional cleaning measures and procedures are being taken to ensure the thorough cleanliness of our offices and plants. To further protect the health of employees and visitors in our facilities, we have posted best practices for preventing the spread of illness and have additional personal hygiene and cleaning products available.
Consistent with the U.S. Department of State travel advisories, we have implemented a ban on business travel to restricted areas. We do not expect our vendors or suppliers to travel to or visit Navistar offices during this time. We have encouraged teleconferences, video meetings and the use of other remote meeting technology when possible.
Supply chain impacts
We have engaged a third-party vendor to thoroughly evaluate our supply base and determine the potential business impacts of COVID-19. At this time, we have determined it is a low severity issue. The minor issues seen to date have been mitigated through air freight, substitutions of parts and monitoring of suppliers.
We have prepared a triage team to rapidly react to any future supply risks, and mitigation plans have been developed for high risk components.
Trade show and event participation
Given the nature of the rapidly changing situation, out of an abundance of caution for the safety of all attendees and the need to avoid the potential spread of the virus, we are modifying or withdrawing our participation at upcoming trade shows and events. The decision regarding our level of involvement in these affairs will be made on a case-by-case basis. We will seek to replace physical presence with digital or virtual presence whenever possible. We remain proud supporters of the trade shows and industry events and look forward to resuming scheduled participation as soon as we are able.
As a reminder, we encourage you to not only be aware of the best practices to prevent the spread of illness, but also sharing these preventative actions with your family members and community. Visit www.who.int/emergencies/diseases/novel-coronavirus-2019/advice-for-public for additional information.
We will continue to monitor the COVID-19 outbreak, coordinate with local officials and provide updates as the situation warrants.
Thank you for your continued support during this time.
Troy A. Clarke
Navistar Chairman, President and CEO