The company said about 7,000 of its 7,600 workers had been furloughed and would receive 80% of their salary under the government's job retention scheme, while its directors also volunteered a 20% cut to pay.
Rank, whose net gaming revenue fell 4% for the third quarter, forecast annual underlying operating profit between US$59.76m and US$72.5m, assuming its venues remain closed for the rest of the financial year.
"Where relevant, Rank has topped up the UK government's coronavirus job retention scheme so that all colleagues in furlough will receive 80% of their salary. The executive and non-executive directors have volunteered a 20% reduction in salaries and fees with effect from April 1 for as long as our colleagues are in furlough," stated the company.
The UK government measures, and similar schemes in Spain and Belgium, will pocket Rank about US$10m per month.
"Immediately prior to lockdown measures in the UK we estimated that during a period of full closure of all venues, monthly cash outflow before mitigation was US$31m and would be reduced to US$21m with mitigating actions within our control," Rank said. "As a result of the HM Treasury's support measures and further progress on our own mitigations, we now estimate that our monthly cash outflow rate will be reduced to approximately US$12.5m from May 2020."
Source: GMB / Reuters
