NH Hotel Group implements contingency plans, strengthens its liquidity up to €675 million and prepares for a progressive reopening with maximum health guarantees.
The uncertainty generated by COVID-19 at the beginning of the year accelerated the implementation of strict contingency plans to minimize operating expenses through temporary adjustments of personnel, reduction of supply costs, suspension of investments in marketing and renegotiation of rents
In addition, NH Hotel Group has activated various measures aimed at preserving and strengthening its liquidity to meet operational needs in the coming months, most notably the reduction of investment in hotel maintenance and repositioning, the drawdown of credit lines, the cancellation of the proposed dividend from 2019 profits and the signing in May of a syndicated loan of €225 million with maturity in 2023. As a result, the Group has a liquidity of over €675 million
Since the beginning of May, the Group has reopened its sales channels and reservation systems, and plans a progressive reopening of hotels in the main cities, initially concentrating the demand of each destination in those establishments that allow the optimisation of resources and profitability
The Company has completely redesigned the customer experience to ensure that safety and social distancing requirements are met at its facilities and is collaborating with SGS in the implementation of a protocol of measures and assessments that will allow the reopening of hotels with maximum guarantees of hygiene and disinfection