UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

 

 

FORM 8-K

 

 

CURRENT REPORT

Pursuant to Section 13 or 15(d) of the

Securities Exchange Act of 1934

Date of Report (Date of earliest event reported): April 7, 2020

 

 

CECO Environmental Corp.

(Exact Name of registrant as specified in its charter)

 

 

 

 

 

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

 

 

 

 

 

 

 

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Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).

Emerging growth company ☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

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Item 8.01. Other Events.

On April 7, 2020, CECO Environmental Corp. (the “Company”) issued a press release announcing the implementation of proactive steps designed to support customer commitments while instituting business continuity and cost reduction measures to manage through the COVID-19 pandemic.

A copy of the press release is being filed as Exhibit 99.1 to this Current Report on Form 8-K and is incorporated by reference herein.

Item 9.01. Financial Statements and Exhibits.

(d) Exhibits.

 

 

 

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Signatures

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

 

Exhibit 99.1

CECO ENVIRONMENTAL ANNOUNCES PROACTIVE MEASURES DURING COVID-19 PANDEMIC

_{DALLAS, Texas, April 7, 2020 - CECO Environmental Corp.(“CECO,” “CECO Environmental” or the “Company”) (NASDAQ: CECE), a global leader in air quality and fluid handling solutions, announced today the implementation of proactive steps designed to support customer commitments while instituting business continuity and cost reduction measures to manage through the COVID-19 pandemic.}

_{CECO has undertaken necessary measures in compliance with government directives to remain open across its business and continues to work closely with its global supply chain to proactively support customers during this critical time.  As a key supplier to critical infrastructure projects, the company has worked to maintain ongoing essential operations while observing recommended CDC guidelines to minimize the risk of spreading the coronavirus, including implementing, where possible, work-from-home procedures and additional sanitization efforts where facilities remain open to provide necessary services.}

 

_{“Our CECO Environmental operations are continuing forward in alignment with local, national and global directives. The health and safety of our employees and customers remain a top priority and we are extremely grateful for the hard work and contributions of our entire team,” commented Dennis Sadlowski, Chief Executive Officer of CECO Environmental. “We tested and refined our remote work capabilities to support continuing operations prior to the escalation of the COVID-19 restrictions and shelter-at-home government orders,” added Sadlowski.}  

 

_{The Company has also taken several proactive cost reduction measures in response to the economic pressures brought on by the COVID-19 pandemic. The CECO senior management team has agreed to a temporary salary reduction, certain corporate-level costs have been eliminated or reduced, and the Company has instituted a rolling 2-week furlough of U.S.-based employees during the 6-week period beginning the week of April 6, 2020.}

 

_{In addition, as a proactive measure, the Company has elected to drawdown $40 million from its revolving credit facility, which supplements the Company’s already strong cash position.  The Company has maintained a comfortable margin to its covenants and has access to approximately $70 million of undrawn funds.} 

 

_{Matt Eckl, Chief Financial Officer of CECO Environmental, adds, “In these uncertain times, liquidity is of the utmost importance and our drawdown exemplifies our intention to be good stewards of the Company’s assets.  This is just one of many levers available to CECO to ensure we meet the long-term goals of our customers and shareholders.”}

_{About CECO:   CECO Environmental is a global leader in air quality and fluid handling serving the energy, industrial and other niche markets. Providing innovative technology and application expertise, CECO helps companies grow their business with safe, clean and more efficient solutions that help protect our shared environment. In regions around the world, CECO works to improve air quality, optimize the energy value chain and provide custom engineered solutions for applications including oil and gas, power generation, water and wastewater, battery production, poly silicon fabrication, chemical and petrochemical processing along with a range of others. CECO is listed on Nasdaq under the ticker symbol “CECE”. For more information, please visit www.cecoenviro.com.}

_{Media Contacts:}

_{For Investors: Matthew Eckl, Chief Financial Officer (888) 990-6670, investor.relations@onececo.com}

_{For Public Relations: Hila Shpigelman, Head of Marketing, ceco-communications@oncececo.com}