StockMarketWire.com - Ireland and UK hotel owner Dalata Hotel said it had scrapped its dividend and laid off workers in response to the worsening coronavirus pandemic.

The company had planned to pay a final dividend of 7.25c per share.

Sales in the three months through March to slip 16% on-year. And a severe impact on its business occurring over the past two weeks was expected to continue for as long as current restrictions on movement and travel remained.

Dalata Hotel said it had 'significant financial headroom' with cash resources of €80m post disbursement of quarterly rent and interest scheduled to be paid over the next few days.

It said it could also avail of further undrawn committed debt facilities of about €65m.

'Unfortunately, we have also had to temporarily lay off a large number of employees for whom we currently have no work,' the company said.

'Dalata welcomes the income support initiatives announced by the Irish and UK Governments in response to the Covid- 19 outbreak.'

'The group will seek to avail of these schemes and retain the link between these employees and Dalata.'

'These staff members remain part of the Dalata team and the group looks forward to welcoming them back to work as soon as our business recovers.'


At 1:15pm: [LON:DAL] Dalata Hotel Group Plc share price was +34.65p at 241p



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