SHAKOPEE, Minn., April 1, 2020 /PRNewswire/ -- Canterbury Park
Holding Corporation, (NASDAQ: CPHC) ("Canterbury Park" or the
"Company") today announced that the Company is taking additional
action to help mitigate the financial impact resulting from the
suspension of operations at Canterbury Park since March 16, 2020 in response to the ongoing
COVID-19 pandemic.
Given the uncertainty on the duration of Canterbury Park's
temporary closure and with no meaningful revenue being generated
during this time, the Company has implemented temporary unpaid
furloughs impacting approximately 850 employees. The Company will
continue to operate with a significantly reduced staff of key
personnel, all of whom are subject to salary reductions that will
remain in effect until the Company begins to return to normal
operations.
"Since suspending all operations at Canterbury Park on
March 16, 2020, we have acted
aggressively to preserve cash by reducing our operating expenses,
suspending or delaying our 2020 planned capital expenditures, and
suspending our quarterly cash dividend," said Randy Sampson, Canterbury Park President and
CEO. "The additional actions we are implementing today are the
hardest we have ever had to make given the impact on our dedicated
employees for whom this situation is beyond our collective control.
While this was an extremely difficult decision to make, the Board
of Directors and I remain committed to taking the necessary actions
that help ensure our employees' health and safety as well as the
Company's long-term future. We continue to work closely with
Governor Walz, the Minnesota Department of Health and other
government entities, and will seek their guidance on when
Canterbury Park can reopen so that our team members' way of life
can get back to normal. We look forward to seeing our
dedicated team members return to Canterbury Park once we
reopen."
Subsequent to the Company's March 16,
2020 voluntary suspension of activities at Canterbury Park,
Minnesota Governor Tim Walz issued Emergency Executive Order 20-04
and subsequently Emergency Executive Order 20-18 causing the
closure of bars, restaurants and other public accommodations
including Canterbury Park until May 1,
2020 at 5:00 p.m.
About Canterbury Park
Canterbury Park Holding Corporation owns and operates Canterbury
Park Racetrack and Card Casino in Shakopee, Minnesota, the only thoroughbred and
quarter horse racing facility in the State. The Company offers live
racing from May to September. The Card Casino typically hosts card
games 24 hours a day, seven days a week, dealing both poker and
table games. The Company also conducts year-round wagering on
simulcast horse racing and hosts a variety of other entertainment
and special events at its Shakopee
facility. The Company is redeveloping 140 acres of
underutilized land surrounding the Racetrack in a project know as
Canterbury Commons.™ The Company is pursuing several mixed-use
development opportunities for this land, directly and through joint
ventures. For more information about the Company, please visit
www.canterburypark.com.
Cautionary Statement
From time to time, in reports filed with the Securities and
Exchange Commission, in press releases, and in other communications
to shareholders or the investing public, we may make
forward-looking statements concerning possible or anticipated
future financial performance, business activities or plans. These
statements are typically preceded by the words "believes,"
"expects," "anticipates," "intends" or similar expressions. For
these forward-looking statements, we claim the protection of the
safe harbor for forward-looking statements contained in federal
securities laws. Shareholders and the investing public should
understand that these forward-looking statements are subject to
risks and uncertainties which could affect our actual results and
cause actual results to differ materially from those indicated in
the forward-looking statements. We report these risks and
uncertainties in our Form 10-K Report to the SEC. They include, but
are not limited to: any temporary and more permanent effects on our
operations, revenue, profitability and liquidity resulting from the
COVID-19 coronavirus and our March 16,
2020 suspension of operations; material fluctuations in
attendance at the Racetrack; material changes in the level of
wagering by patrons; decline in interest in the unbanked card games
offered in the Card Casino; competition from other venues offering
unbanked card games or other forms of wagering; competition from
other sports and entertainment options; increases in compensation
and employee benefit costs; increases in the percentage of revenues
allocated for purse fund payments; higher than expected expense
related to new marketing initiatives; the impact of wagering
products and technologies introduced by competitors; the general
health of the gaming sector; legislative and regulatory decisions
and changes; our ability to successfully develop our real estate;
temporary disruptions or changes in access to our facilities caused
by ongoing infrastructure improvements; and other factors that are
beyond our ability to control or predict.
Media
Contact:
|
Investor
Contact:
|
Jeff Maday
|
Richard Land, Jim
Leahy
|
Media Relations
Manager
|
JCIR
|
Canterbury Park
Holding Corporation
|
212-835-8500 or
cphc@jcir.com
|
952-292-7524 or
jmaday@canterburypark.com
|
|
View original content to download
multimedia:http://www.prnewswire.com/news-releases/canterbury-park-holding-corporation-announces-temporary-employee-furloughs-301032968.html
SOURCE Canterbury Park Holding Corporation