Maxar Expects Delay in Delivery due to COVID-19

Maxar Expects Delay in Delivery due to COVID-19

Maxar currently operates its manufacturing facilities from Palo Alto and San Jose in Santa Clara County. The company had initially closed both the facilities after the March 16 order but reopened them within two days after determining the company was exempt from the county rule

Fremont, CA: Space technology company Maxar Technologies warned its customers that it might not be able to deliver spacecraft on time or budget due to the outbreak of the coronavirus. Despite the outbreak, all of Maxar's locations are continuing operations as they are considered to fall under the nation's critical infrastructure. In a March 20 filing with the U.S. Securities and Exchange Commission, Maxar stated that California’s Santa Clara County's order directing residents to stay at home to prevent the spread of COVID-19 amounts to a force majeure event for the company's Space Infrastructure business there.

Top 10 Space Tech Solution Companies - 2020Maxar currently operates its manufacturing facilities from Palo Alto and San Jose in Santa Clara County. The company had initially closed both the facilities after the March 16 order but reopened them within two days after determining the company was exempt from the county rule. Satellite manufacturing and testing resumed at the facility from March 19. "We resumed essential work on our satellite programs in the factory, including manufacturing, satellite assembly, and test," said Maxar spokesman Turner Brinton. “We maintained the work-from-home approach for a large proportion of our staff even after we determined that we qualified for the exemption. Employee health and safety are paramount, and we have taken numerous steps to make our work environment safe by limiting the number of people in our manufacturing facility; implementing social distancing and isolation strategies such as spreading the onsite workforce out over more shifts; and enhancing the cleaning of our facilities.”

Maxar's CEO and President, Dan Jablonsky, stated that the company had activated its standing pandemic crisis response plan to protect workers, families, and communities while continuing to meet its commitments to the customers. "All Maxar locations are open with limited personnel working onsite for essential operations," he added. In a statement by the company, Maxar explained that the company is exempt from the shelter-in-place order issued March 19 by California Governor Gavin Newsom, as aerospace manufacturing, communications, and defense are federal critical infrastructure sectors.

In a March 20 filing, the company disclosed that it is facing disruptions in its supply chain due to the pandemic. The company sent force majeure notices to customers to protect its legal rights given the uncertain nature of the current pandemic and its impact on cost and schedule. Currently, Maxar is building spacecraft for Intelsat, EchoStar, NASA, and other customers.

See also: Top Aerospace Tech Solution Companies

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