French hospitality group Accor has said that it will cancel its planned dividend payout against 2019 earnings due to the coronavirus crisis, and that it will shut two thirds of its hotels in the coming weeks due to the crisis.
The group said that it will put 75% of its workers into furlough or temporary unemployment. This is equivalent to over 200,000 people.
"Our activity has been severely disrupted," chief executive Nicolas Bazin told reporters. He did not detail what the hit to revenues or profits will be.
Scrapped Dividend Value
The scrapped dividend is worth €280 million, 25% of which will be redirected to a fund to help employees in financial difficulties, or the group's partners.
Accor said that it has over €2.5 billion available in cash and a €1.2 billion revolving credit facility on which it has yet to draw down.
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