The Restaurant Group plc (TRG) today announces increased flexibility in its banking facilities and an update on Board remuneration and estate reopening plans.
The group has accessed £50m from the Government CLBILS scheme, supported by Lloyds Banking Group.
The Executive Directors and Non-Executive Directors have volunteered to take a 20% reduction in their base salaries or fees while the business continues to access the Coronavirus Job Retention Scheme. This follows on from the 40% reduction (20% for the CFO) that was volunteered from 1 April 2020.
As a result of recent corporate restructuring the revised trading portfolio of the Group will comprise approximately 400 restaurants and pubs.
The group has now started a phased reopening of its restaurants and pubs for eat-in trade in line with government guidance.
TRG stated, 'We are very pleased to be able to welcome back our customers and colleagues ensuring that their safety is paramount, whilst maintaining an enjoyable experience. The diversified portfolio of the firm allows each division to adapt to the challenges of social distancing uniquely, whilst keeping the customer at the heart of every decision.'
The current reopening plans for the group are to have approximately:
> 25% of the total estate operational by the end of July;
> 60% by the end of August; and
> 90% by the end of September, with the reopening phasing varying by division.
> The remaining 10% of the estate is not expected to open this calendar year reflecting locations where footfall is anticipated to remain considerably weak (primarily in some airport locations).
The update comes after TRG announced a Company Voluntary Arrangement (CVA) process on 10 June, which principally comprises the Frankie and Benny's estate, was successfully approved.
This will mean 120 sites will close and will leave approximately 160 sites, of which approximately 85 will be subject to a reduction in rental costs and revised lease terms.