STOCKHOLM, March 19 (Reuters) - Sweden's Autoliv said on Thursday it was cutting costs to limit the impact from the coronavirus outbreak, and said it had tapped $500 million from its revolving credit facility to partly pay down short-term debt.
The company, the world's biggest maker of airbags, said it needed to take measures due to the large number of plant closures at clients in recent days and expected ahead, and said it estimated that 63 customer plants in Europe would close or had already closed.
"In light of these events, we are taking cost reduction actions to mitigate the impacts," the company said in a statement.
"Autoliv will adjust its production in accordance with the development of the demand situation, and it cannot be excluded that temporary Autoliv plant closures may become necessary."
The company also said it had decided to tap $500 million of its existing committed $1.1 billion revolving credit facility, saying it intended to use $300 million of the draw down to pay existing short-term debt maturities for the next three months.
Autoliv said it was currently not possible to predict the overall operational and financial impact of the virus outbreak, but noted it would likely lead to negative effects on operations.
Reporting by Johannes Hellstrom; Editing by Simon Johnson