The Gap Inc. (GPS) will suspend its quarterly dividend because of the COVID-19 pandemic. The clothing retailer last raised its quarterly dividend by 5.4 percent to $0.2425 per share in the first quarter of 2018.

Gap states that it will be suspending the company’s regular quarterly cash dividend for the remainder of fiscal year 2020. In its press release the company provides an update in response to the COVID-19 outbreak. Gap states that the company’s previously declared first quarter fiscal year 2020 dividend, of $0.2425 per share, will now be payable on or after April 28, 2021 to shareholders of record at the close of business on April 7, 2021, subject to the right of the company to further defer the record and payment dates, depending upon, among other factors, the progression of the COVID-19 outbreak, business performance and the macroeconomic environment. The company determined that taking these actions was in the best interests of the company in order to preserve liquidity in the context of the impact of COVID-19 on its operations. The company intends to review its quarterly cash dividend policy as developments warrant.

Gap Inc. is a leading global retailer offering clothing, accessories, and personal care products for men, women, and children under the Old Navy, Gap, Banana Republic, Athleta, Intermix, Janie and Jack, and Hill City brands. Fiscal year 2019 net sales were $16.4 billion. Gap Inc. products are available for purchase in more than 90 countries worldwide through company-operated stores, franchise stores, and e-commerce sites.