COVID-19: Let’s build the future together hand in hand
The world is facing a new, unpredictable and unexpected situation that affects us all. And at Bodegas Covila we are just as concerned as you are. So we have put ourselves to work so that the future is as promising for everyone.
We are a cooperative and as such, we have a degree of collective responsibility for our partners and our workers, but also for our suppliers, customers and the wider community. Guided by these principles, we have put in place a series of measures that we´ll talk about in this post.
To do this, we´ll use empathy, understanding, teamwork, collaboration, honest communication and transparency. We don’t know what that future holds for us, but we want to count on you and this is what we propose in order to go down this path together.
AT COVILA WE´LL KEEP MAKING WINE
At Covila today, we continue to do what we know best: wine. And we do it in the way we do best, with our own hands, our own grapes and our own vineyards.
In order not to stop production, we´ve already decided back in February to stockpile auxiliary materials and supplies in advance. To date, we continue to work as normally as the situation allows, and of course we´ve adopted all the safety measures set out by the authorities. We plan that at least next month we will continue working as before, although we will carry out a special closure during the week of 26 April to 1 May, due to the fact that we expect little activity and that it coincides with holiday periods in Alava and Spain.
In addition, we remain committed to keeping the Covila team all together as long as the situation allows. So we’re going to keep on going and stay on the ball.
THE MARKET: FIRST A SLOWDOWN AND THEN A COMPLETE STANDSTILL.
Our domestic business is now at a standstill, with the entire hospitality sector shut down. We want to send them (bars, restaurants, shops, wine bars, hotels…) a message of encouragement and understanding. We’re confident that by steering in the same direction we’re going to succeed.
With regard to the export market, the situation is different and we continue to serve wine in several countries, staying alert for how the situation may evolve there.
This situation has an impact on both your turnover and ours, so we are going to take economic and financial measures keeping today in mind but also a tomorrow and thus overcome a technical closure situation of the market.
TODAY’S ECONOMIC MEASURES ARE OUR HOPE FOR TOMORROW
The economic situation is complex. The clear decrease in turnover due to the decrease in business is compounded by non-payment notifications that have been communicated to us by several customers. In this regard, we have taken the following decisions:
- It is a priority for Bodegas Covila to try to fully respect the payments committed to our suppliers. It is our way of helping economic activity continue without financial problems moving across the value chain of our industry. This includes farmers, partners, suppliers (boxes, labels, services), other wineries and of course Covila workers.
- Financial measures. We’ve successfully negotiated a number of financial measures with the banks we work with and are awaiting additional measures. We believe that with these decisions we’ll be able to compensate for non-billing and payment delays or, where applicable, defaults.
- We want to avoid unnecessary financial costs, so we request that you don’t ask to pay in advance those invoices that you have not issued, so that we’ll all have a little more room to manoeuvre until we see how all this evolves. We´ll do the same with our clients, although, in the event that this is not expressed to the contrary, we´ll go ahead with the collection of the invoices on their due date.
Finally, we want to address all of our clients and the retail and hospitality sector in general. We fully understand your situation, of not being able to carry out your business activity and therefore with turnovers at a standstill. Add to that the uncertainty about what the future holds.
We at Bodegas Covila are proposing collaboration, because we think it’s the best recipe for coming out of this together. For our part, we´ll try to extend the maturity dates you request. In return we ask you to act responsibly and not make unilateral decisions.. Bodegas Covila works by guaranteeing 100% of the sales we make to our customers and if situations of non-payment occur, we must report it to the insurer. So’s why we think it’s best to call, talk, evaluate all the variables and together make the best decision for the parties.
At the moment we won’t be able to chat over a glass of wine as we like to, but surely that moment will come soon. But you can write to our administration department (Marga, email@example.com) or to Pablo, our manager (firstname.lastname@example.org).
In the meantime, we ask that you take care of yourself. We´ll soon be able to return to the streets and we´ll be proud of how you once again can serve our wines in your bars, restaurants, hotels and other establishments.