The Coronavirus Impact on Outdoor Retailer’s Parent Company
Emerald Holdings, Inc. has suffered significant losses as event cancellations pile up
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Emerald Holding, Inc., the parent company of Outdoor Retailer and one of the outdoor industry’s largest event organizers, has released some dismaying numbers as the coronavirus crisis continues to rattle the economy and disrupt plans.
Among the group’s most consequential recent announcements was a decision to hold off all events between now and early June. (Outdoor Retailer is scheduled to stage June 23-25.) Twenty events have been postponed so far, the equivalent of an estimated $45 million of revenue, and 10 events have been cancelled altogether, costing the group an estimated $50 million. Emerald holds insurance to protect against event interruptions and is currently pursuing claims to recoup some of the money, the company reports. The stock is currently trading at less than three dollars per share.
“Emerald’s primary focus is on the health and safety of our employees, exhibitors, attendees, and the communities that our events are built to serve,” Brian Field, Emerald’s interim president and CEO, said in a statement. Field noted that “recommendations and mandates provided by various local, state, and federal government agencies” had necessitated the changes, but that the company looks forward to getting back on track.
The big question, of course, is whether the Outdoor Retailer Summer Market, one of the industry’s most influential and well-attended trade shows, will run as scheduled in June in Denver. With event interruptions pushing further into the spring and summer, it seems unlikely that the show will go on. At the moment, however, Emerald maintains that Outdoor Retailer will proceed as planned.