SATS ASA: Update on the temporary closure of clubs in certain Norwegian municipalities
Reference is made to the stock exchange announcements “SATS ASA: Temporarily closure of 10 clubs in Bergen and 43 clubs in Oslo” on 6 November 2020 and “SATS ASA: Update on the temporarily closure of clubs in Bergen and Oslo” on 9 November from SATS ASA (“the Company”).
The local authorities in Norway are continuously updating their COVID-19 restrictions and recommendations. Nine municipalities where SATS is located are currently imposing temporary lock-downs of gyms, affecting 71 out of 245 clubs in the Company’s portfolio. SATS continues to follow local authorities’ advices on how to act. Bergen and Oslo initially imposed lock-downs until 23 November and 1 December, respectively. These are now extended until 6 and 13 December.
The Norwegian government has announced a compensation package for companies with a revenue loss of more than 30%, where a proportion of the fixed costs from November to February will be compensated. The scheme is not yet fully formalized, but based on the current knowledge, SATS will be eligible to receive compensation.
The Company has the past few months shown that it is safe to visit a SATS club. The focus on strong infection control measures has yielded results, with no members being infected at SATS, based on knowledge from governmental infection tracking. SATS is more than ready to reopen the clubs again, and to continue contributing to improving the public health.
Cecilie Elde, Chief Financial Officer, phone: +47 924 14 195
Stine Klund, Finance and Investor Relations Manager, phone: +47 986 99 259
Malin Selander, Head of Communication & PR, phone: +46 70 426 40 06