L3Harris announces $330 million charge related to coronavirus

By Marjorie Censer / May 5, 2020 at 3:30 PM

L3Harris Technologies said today its commercial and international businesses are facing a higher risk of challenges in the wake of the COVID-19 outbreak.

In its earnings announcement today, L3Harris disclosed it recognized a $330 million charge during its most recent quarter for impairment of goodwill and other assets as well as other COVID-19-related impacts.

The "severe decline in global air traffic from travel restrictions and the resulting downturn in the commercial aviation market and its impact on customer operations has significantly reduced demand for flight training, flight simulators and commercial avionics products in the company's Aviation Systems segment's Commercial Aviation Solutions sector," the company said.

As a result, L3 has temporarily closed some flight training facilities in Europe and other locations and recognized the $330 million charge, the company added.