Tag: prepares

Global Hospitality Leader Millennium & Copthorne Prepares for Post-COVID-19 Recovery of Hotel Operations

SINGAPORE / LONDON, Nov 18, 2020 – (ACN Newswire) – – A year after delisting from the London Stock Exchange, Millennium & Copthorne Hotels Limited (M&C), a global hospitality leader, disclosed today major initiatives that will prepare it for a recovery by as early as 2021 from the recent challenges caused by the COVID-19 pandemic.

The privatisation granted M&C greater agility and cushioned impact of the pandemic. Lessons learned and operational changes in recent months have helped to lay a much stronger foundation. Properties across the globe have started to show ‘green shoots’ of improvements in occupancy and Gross Operating Profit (GOP) from the second half of 2020 which are expected to gain momentum in 2021.

London-headquartered M&C was privatised on 19 November 2019 after delisting from the London Stock Exchange at a valuation of GBP2.23 billion (S$3.96 billion). M&C operates 66 hotels (seven of which are managed by third parties) in Asia (12), Europe/UK (21), USA (18) and New Zealand (15) under the Millennium Hotels and Resorts (MHR) global brands; and 79 are under franchise and management contracts.

M&C, with an inventory of over 40,000 rooms and operations in 29 countries, is wholly owned by Singapore Exchange-listed City Developments Limited (CDL), a leading global real estate company with total assets of over S$23.8 billion. CDL is also a Sponsor that holds an effective 37.8% effective stake in CDL Hospitality Trusts (CDLHT), a Singapore-listed Real Estate Investment Trust (REIT) with a market value of over S$1.40 billion.

Assessing The Operating Landscape

In 2019, M&C recorded revenue of GBP1.025 billion (S$1.82 billion) (2018: GBP997 million (S$1.78 billion)) and a pre-tax profit of GBP102 million (S$181.2 million) (2018: profit of GBP106 million (S$188.3 million)) and included net valuation and impairment charges of GBP34 million (S$60.4 million) (2018: GBP36 million (S$101.2 million)). Excluding the effects of impairment losses and net revaluation gains, M&C reported profit before tax of GBP136 million (S$241.6 million) in 2019 (2018: GBP142 million (S$252.3 million)).

M&C has assessed as positive recent reports of vaccines against COVID-19, air travel ‘bubbles’, the recent US presidential elections and plans to hold the Tokyo Olympics in 2021 (postponed from 2020). The signing by 15 countries of the Regional Comprehensive Economic Partnership (RCEP) world trade pact also points to a brighter future for the region.

In Singapore, where M&C operates over 2,000 hotel rooms, several properties will resume pre-COVID-19 activities such as selling rooms, corporate bookings, events and weddings in the next few months.

M&C recognises that in this ‘new normal’ hygiene is much more important when a customer chooses a hotel, restaurant or consider events; and that brands must look beyond ‘personal touch’ and ambience to include the promise of safety and to emphasise value for money.

The new business dynamics mean that large hospitality groups such as M&C must have sufficient working capital to weather possible prolonged uncertainty or

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Embraer prepares for ‘very challenging’ 2021 as new COVID waves hamper travel

By Marcelo Rochabrun

(Reuters) – Brazil’s Embraer SA <EMBR3.SA> is preparing for a “very challenging” 2021 as new coronavirus waves in the United States and Europe are appearing to delay a potential recovery in travel, Chief Executive Francisco Gomes Neto said on Tuesday.

The world’s No. 3 planemaker lost $121 million between June and September, the company said, as the pandemic’s first wave curbed travel, hitting demand for commercial jets and private planes.

Gomes Neto told analysts he did not expect sales in 2021 to be better than in 2020, with the company particularly weighed down by lagging commercial jet sales. So far this year, Embraer has already lost $728 million, and the company only expects growth to resume perhaps in 2022.

Shares fell 6% in Brazil on the news and the negative outlook, even as markets overall were up.

But Embraer said on Tuesday it had already delivered more planes in October than in all of the third quarter, a promising sign that could darken down the line if the resurging pandemic is not tamed.

Commercial jet revenue was the hardest hit, falling to $177 million in the quarter from $408 million a year ago as the pandemic ravaged commercial travel.

But the executive jets division, which some analysts believed would be a bright spot as the ultra rich would spend heavily to travel in isolation, also fell significantly. Executive jets revenue fell to $212 million from $363 million a year ago.

Its defense division, however, managed to grow its revenue on higher deliveries of military planes. Still, Embraer’s defense division remains a smaller business segment than the one making civilian planes.

The company said it burned through $567 million in cash during the quarter, which was offset by $750 million in new debt raised in the same period.

(Reporting by Marcelo Rochabrun; Editing by Louise Heavens and David Evans)

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Here’s a look inside Hotel Place Dupuis as Montreal prepares it for city’s homeless

Hotel Place Dupuis in downtown Montreal has long offered its guests upscale, somewhat costly accommodations with a range of amenities just steps from the city’s tourist attractions.

But nowadays, the tourism industry is stagnating while the number of homeless people living outdoors is growing. So, the city teamed up with the province to offer 380 hotel beds to those in need.

“Since the pandemic, we’ve noticed that there’s more and more people that are actually in the streets,” Montreal Mayor Valérie Plante said Tuesday.

“Maybe before, they were sleeping on someone’s couch, or they were managing, but right now it’s more difficult.”

The mayor is hoping the hotel will deter people from staying in encampments like the one on Notre-Dame Street, east of downtown.

“I’m definitely asking the population — the people in their tents right now — to slowly accept the support we are offering them,” said Plante.

Homeless people of Montreal will be encouraged to move out of their tents and into rooms that overlook the city’s skyline. (Charles Contant/CBC)

The stretch of green space that serves as a buffer between Notre-Dame and the densely packed neighbourhood to the north filled up with tents over the summer and fall after the city relaxed its ban on camping in public spaces.

Several encampments popped up around the city, though few are as prominent as the one on Notre-Dame.

The hotel beds will be available until March. Plante said there will be floors for men and women — ensuring people can be comfortable in the hotel.

The encampment on Notre-Dame Street began growing over the summer after the city relaxed its prohibition on camping in public spaces during the pandemic. (Charles Contant/CBC)

Hotel owners ready to help

Eve Paré, president and CEO of the Hotel Association of Greater Montreal, said many hotels in the area have been offering services to assist with the pandemic, be it to for health-care workers or victims of domestic abuse.

“Now this is the latest, with homeless people,” she said. “With us, it’s a duty to care.”

In this situation, the hotel owner was already planning renovations, so the timing was ideal as the space does need to be adjusted before welcoming homeless people.

The hotel rooms will provide amenities not found in tents, like running water, toilets and baths. (Charles Contant/CBC)

Paré said the owner is happy to help through the winter, but it’s not the ultimate fix to a serious problem. She said long-term solutions are needed.

Looking for long-term solution

The Welcome Hall Mission will be managing the shelter inside the hotel. It will be run with public health measures in place, and be open to people of all genders and their pets too.

Sam Watts, the organization’s CEO, said the hotel will be designed to help people connect with resources and, hopefully, to begin the process of getting off the streets for good.

Sam Watts, CEO of the Welcome Hall Mission, says there will be outreach workers at the hotel to
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Boeing to cut thousands of additional jobs through 2021 as it prepares for long air travel slump

  • Boeing’s CEO Dave Calhoun told employees the company aims to have a staff of 130,000 by the end of 2021.
  • Earlier this year, Boeing targeted a 10% cut to its staff, which stood at 160,000 people at the start of the year.
  • The announcement came after the company reported third-quarter results, which were ahead of estimates but show Boeing’s struggles in the pandemic.



a group of fighter jets fly through the air: Grounded Boeing 737 MAX aircraft are seen parked in an aerial photo at Boeing Field in Seattle, Washington, July 1, 2019.


© Provided by CNBC
Grounded Boeing 737 MAX aircraft are seen parked in an aerial photo at Boeing Field in Seattle, Washington, July 1, 2019.

Boeing, which is already shedding 16,000 jobs, said Wednesday it will cut thousands more through the end of next year as it prepares for a long slump in air travel and aircraft demand because of the coronavirus pandemic.

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Boeing’s CEO Dave Calhoun told employees the company aims to have a staff of 130,000 by the end of 2021. Earlier this year, Boeing targeted a 10% cut to its staff, which stood at 160,000 people at the start of the year.

About 19,000 employees are leaving Boeing this year, but the company is adding some jobs in its more stable defense unit.

“As we align to market realities, our business units and functions are carefully making staffing decisions to prioritize natural attrition and stability in order to limit the impact on our people and our company,” Calhoun said in a staff note. “We anticipate a workforce of about 130,000 employees by the end of 2021. Throughout this process, we will communicate with you every step of the way.”

The announcement came after the company reported third-quarter results, which were ahead of estimates but show Boeing’s struggles in the pandemic.

Here are the numbers: 

  • Loss: $1.39 per share, vs. $2.52 a share expected by Refinitive’s consensus estimates
  • Revenue:  $14.1 billion, vs. $13.9 billion expected

Boeing shares were up fractionally in premarket trading.

Boeing reported negative free cash flow of $5.08 billion, better than analysts’ estimates and than the previous quarter’s negative $5.6 billion, according to FactSet.

The pandemic’s impact on air travel demand, which is still not back to half of last year’s levels, has worsened Boeing’s crisis, which started two years ago with the first of two crashes of its best-selling 737 Max.

Regulators are at the tail-end of the planes’ review but have still not signed off on them, preventing Boeing from delivering them to customers and crimping its cash flow as a result.

Boeing executives will detail their results on a 10:30 a.m. ET call.

Boeing to reduce workforce to fewer than 130,000 by the end of 2021

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