![LOGO](https://capedge.com/proxy/8-K/0001193125-20-169540/g917440im1.jpg)
Due to these member trends, the Company anticipates Digital Subscription Revenues to increase as a percentage of the revenue mix in the second quarter as compared to the prior year period. Revenues from Studio subscriptions andin-Studio product sales continue to be pressured in the second quarter of 2020 due to the pause inin-person workshops; the decline in Studio-related revenues has been partially offset by strength in Digital subscriptions and eCommerce product sales.
The Company is confident in its strategy and actions to enhance the value of WW to members andnon-members alike, and to best-position WW in both the immediate-term and for longer term growth opportunities with its award-winning digital platform. At the same time, the Company is focused on maintaining cost discipline and financial flexibility in order to respond to evolving business and consumer conditions, while ensuring its ability to continue to invest in building a digitally-enabled wellness ecosystem.
Amended Revolving Credit Facility
TheCompany has amended its revolving credit facility, increasing the commitments to $175 million from $150 million and raising the consolidated first lien net debt leverage ratio required by the financial maintenance covenant, together providing for significantly more flexible access to liquidity.
On June 5, 2020, WW fully repaid the loans outstanding on its revolver, which it previously drew down as a precautionary measure in light of theCOVID-19 outbreak. Following this repayment, the Company had a strong cash balance of $127 million, as of June 5, 2020.
About WW International, Inc.
WW – Weight Watchers reimagined – is a global wellness company powered by the world’s leading commercial weight management program. We inspire millions of people to adopt healthy habits for real life. Through our engaging tech-enabled experience andface-to-face group workshops, members follow our livable and sustainable program of healthy eating, physical activity, and a helpful mindset. Leveraging more than five decades of experience in building inspired communities and our deep expertise in behavioral science, we aim to democratize wellness and to deliver wellness for all. To learn more about the WW approach to healthy living, please visit ww.com. For more information about our global business, visit our corporate website at corporate.ww.com.
This news release includes “forward-looking statements,” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, including, in particular, revenue and earnings guidance and any statements about the Company’s plans, strategies and prospects and the impact of theCOVID-19 virus. The Company generally uses the words “may,” “will,” “could,” “expect,” “anticipate,” “believe,” “estimate,” “plan,” “intend,” “aim” and similar expressions in this news release to identify forward-looking statements. The Company bases these forward-looking statements on its current views with respect to future events and financial performance. Actual results could differ materially from those projected in the forward-looking statements. These forward-looking statements are subject to risks, uncertainties and assumptions, including, among other things: the impact of the global outbreak of theCOVID-19 virus on the Company’s business and on the business environment and
![LOGO](https://capedge.com/proxy/8-K/0001193125-20-169540/g917440im2.jpg)