Millennium & Copthorne Hotels NZ Ltd said on Wednesday its first-half revenue loss would certainly exceed the $24 million forecast 9 days ago.
With the closure of some of its hotels, managing director BK Chiu said: “This figure will certainly increase, and it is now almost certain that Millennium & Copthorne’s hotel operations for both the first & second halves of 2020 will trade at a loss.”
Hotels that provide accommodation services for essential workers & people who need to be isolated or quarantined would remain open, but the company would only take such essential services bookings if required.
The hotel chain closed all its restaurants & bars Monday. Since last week, the company’s been in consultation with all staff about their future employment. Options include continuing on normal hours, reduced hours or redundancy.
Mr Chiu said the company was looking to use the Government’s wage subsidy scheme for employees. Most corporate office & some hotel staff are now working from home, and the company’s directors have agreed to reduce their fees by 20% for the rest of the year.
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Attribution: Company release.