Business
First Quarter Trading Update
First Quarter Trading Update.
About this update from Intercontinental Hotels Group Plc
[{"type":"text","content":"\n \n \n RNS Number : 1961M\n InterContinental Hotels Group PLC\n 07 May 2020\n \n \n \n \n 7 May 2020\n \n \n InterContinental Hotels Group PLC\n \n \n 2020 First Quarter Trading Update\n \n \n \n \n \n \n Highlights\n \n \n \n \n \n \n · \n \n Group Q1 comparable RevPAR1 down 24.9%; March down 55%; April expected to be down around 80%\n \n \n \n · \n \n ~15% (~1,000 hotels) of the estate closed as at the end of April; ~10% (~440 hotels) in the Americas,\n~50% (~560 hotels) in EMEAA and ~2% (10 hotels) in Greater China\n \n \n \n · \n \n Occupancy levels in comparable open hotels in the low-to-mid 20% range\n \n \n \n · \n \n 4.6% YoY net system size growth to 882k rooms\n \n \n \n · \n \n 6k rooms opened, including 1k in March\n \n \n \n · \n \n Signed 14k rooms (104 hotels) in the quarter, including 4k in March, taking the pipeline to 288k rooms\n \n \n \n ·\n \n Delivering on our cost reduction and cash conservation actions across the System Fund and Fee Business; on track to reduce Fee Business costs by up to $150m and capex by ~$100m; further cost measures to be implemented to manage the business through the evolving trading environment\n \n \n \n ·\n \n ~$2bn of liquidity available; extension secured on $1.275bn syndicated RCF until September 2023 in addition to covenant waivers already in place; £600m (~$740m) of CCFF funding issued\n \n \n \n \n \n \n \n \n \n \n Keith Barr, Chief Executive Officer, InterContinental Hotels Group PLC, said:\n \n \n \n \n \n \n \"Covid-19 represents the most significant challenge both IHG and our industry have ever faced. We are responding on every front and taking decisive action to the benefit of all our stakeholders. Our top priority remains to support our guests, colleagues and hotel owners through this crisis, whilst protecting for the long term and positioning the business for recovery. I would like to sincerely thank everyone at IHG and our owners for the way they have responded to this challenge. This includes protecting the health and safety of guests and colleagues; flexing booking and cancellation options for guests and protecting their loyalty membership status; and repurposing hotels to provide essential activities including accommodation to frontline workers, military personnel and vulnerable members of society. We have been working closely with our owners to hel...