Sweden’s Svenska Spel Furloughs Land-based Staff and Cancels Dividend

Sweden’s Svenska Spel Furloughs Land-based Staff and Cancels Dividend
Sweden’s Svenska Spel Furloughs Land-based Staff and Cancels DividendReading Time: < 1 minute

 

Swedish gambling operator Svenska Spel has declared measures to mitigate the effects of coronavirus on its business. The measures include cancelling a proposed dividend and furloughing majority of its casino staff.

The operator has closed all four of its Casino Cosmopol venues after the Swedish government banned gatherings of more than 50 people. This will see 800 of Svenska Spel’s 900 land-based staff across the casinos in Stockholm, Gothenburg, Malmö and Sundsvall and at its head office furloughed until operations can resume.

Svenska Spel Sport and Casino, the online subsidiary of Svenska Spel, has already shifted 45 of its 135 employees to part-time working.

“We are implementing these measures to adapt the business to the current situation, and are doing so with the utmost care for our employees,” Patrik Hofbauer, president and chief executive of Svenska Spel, said.

“Our hope is to be able to quickly resume full operations and staffing when the situation improves. But right now we do not know how this situation will develop, or how long it will last, and therefore it is necessary that we take steps to ensure a sustainable business,” Hofbauer added.

Svenska Spel’s board of directors has also opted to withdraw its recommendation for an SEK850m dividend to be issued to shareholders.