Troubled Xerox Corp. said Tuesday it has no plans to file for bankruptcy, and that it believes it has enough cash on hand to fund its daily operations.
“Xerox has no plans to file for bankruptcy,” company spokeswoman Christa Carone said.
“As we said last month, Xerox as of Dec. 20 has $1.4 billion of cash on hand,” Carone said. “We believe our liquidity remains sufficient to meet our current and anticipated needs.”
The struggling office machines manufacturer, responding to a report in Tuesday’s New York Post, did acknowledge it had hired the Blackstone Group, a New York-based investment firm, as one of several financial advisers to counsel the company on its turnaround plan.
Xerox has been struggling for more than a year with increased competition, slow sales of its copiers and a stock price that has plunged nearly 80 percent from its 52-week high of $29.31 amid investor concerns that it may be running out of cash. Shares of Xerox were down 50 cents at $5.87 in late trading on the New York Stock Exchange.
“It is commonly known that Xerox has engaged a number of advisers, including Blackstone, as general financial advisers,” Carone said. She did not elaborate.
The company warned last month that it expects a drop in its fourth-quarter earnings, but did not say how steep the decline would be.
The company is in the midst of a major restructuring, including the sales of between $2 billion and $4 billion in assets and a $1 billion cost-reduction program.
