March 20, 2020 / 7:23 AM / 13 days ago

BRIEF-IHG Says Demand For Hotels Currently At Lowest It Has Seen Amid Virus Crisis

March 20 (Reuters) - InterContinental Hotels Group PLC :

* INTERCO. HOTELS GRP - BUSINESS UPDATE

* IHG - DEMAND FOR HOTELS IS CURRENTLY AT LOWEST LEVELS WE’VE EVER SEEN

* IHG - IHG’S GLOBAL REVPAR DECREASED 6% ACROSS JANUARY AND FEBRUARY

* IHG - TO REDUCE COSTS AND PRESERVE CASH GIVE US CAPACITY TO MANAGE BUSINESS

* IHG - DECISIVELY TO CHALLENGE DISCRETIONARY COSTS, CUT SALARY AND INCENTIVES, SUBSTANTIAL DECREASES FOR BOARD, EXECUTIVE COMMITTEE

* IHG - REDUCING GROSS CAPITAL EXPENDITURE BY AROUND $100M FROM 2019 LEVELS AND MANAGING WORKING CAPITAL

* IHG - WILL DEFER CONSIDERATION OF FURTHER DIVIDENDS UNTIL VISIBILITY HAS IMPROVED

* IHG - MEASURES WILL RESULT IN A REDUCTION OF UP TO $150M IN OUR FEE BUSINESS COSTS

* IHG - FOR MARCH ANTICIPATING GLOBAL REVPAR DECLINES OF AROUND 60%, WITH STEEPER DECLINES IN THOSE MARKETS MOST IMPACTED BY RESTRICTIONS

* IHG - CANCELLATION ACTIVITY FOR APRIL AND MAY, AND CURRENT BOOKING TRENDS, INDICATE CONTINUED CHALLENGING CONDITIONS

* IHG - IN GREATER CHINA, HAVE 60 HOTELS CLOSED COMPARED TO 178 AT PEAK, IN RECENT DAYS BEGUN TO SEE IMPROVEMENTS IN OCCUPANCY, ALBEIT AT LOW LEVELS Source text for Eikon: Further company coverage:

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