Fast food company Yum! Brands, Inc. (NYSE: YUM) takes "tremendous pride" in its important role of providing safe access to affordable food, CEO David Gibbs said on CNBC's "Closing Bell" segment Wednesday.
Yum 'Open For Business'
Yum remains "open for business" across the world, although 15% of stores and its business look very different today given a focus on delivery, carry-out and drive-through orders, Gibbs said.
The parent company of KFC, Taco Bell and Pizza Hut is looking to make the most out of the situation by finding new ways to use its brand that "didn't exist before," he said.
For example, Yum China Holdings Inc (NYSE: YUMC) CEO Joey Wat developed a new contactless-delivery process where an order is placed through an app and delivered without any form of contact with the driver, the CEO said.
"We will constantly be evolving our brands to react to consumer needs."
Yum's Balance Sheet Update
Yum announced several business updates Wednesday, including the suspension of its share buyback program and the news that it will borrow $525 million from its revolving line of credit. Gibbs said this brings the company's cash balance to more than $1 billion, a "good position."
The infusion is also part of the company's plan to take a more cautious approach and to be better able to respond to any calls for help from franchisees and "ride out this crisis," the CEO said.
The stock was trading down 3.2% at $70.54 in Thursday's premarket session.
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Public domain photo via Wikimedia.
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