PREIT (NYSE: PEI) today provided an update on its efforts to stabilize cash flow while operations are temporarily suspended, concurrently positioning itself for a rapid re-boot of mall operations. The Company has significantly reduced its expense burden while balancing the ability to quickly re-engage. In the event the operations halt continues longer than anticipated, the Company has additional levers to pull to further reduce expenses.
EXPENSE MANAGEMENT
Last week, the Company took the difficult but necessary step of implementing a furlough of 37% of our staff by way of temporary suspension or hours reduction. The furlough impacted 41 of our corporate office colleagues and 62 of our property colleagues, and we continue to provide benefits to the impacted employees.
STIMULUS
The Company submitted an application for stimulus funds available through the CARES Act. The funds are being pursued through the Paycheck Protection Plan which is being administered jointly by the Treasury and the SBA.
COMMUNITY & TENANT SUPPORT
The Company continues to work to support its operating tenants and local community partners through food donations and parking lot activations. Read about our community support initiatives here. We have also launched a webpage to share resources with local and regional tenants including information on the federal emergency loan programs to assist them with obtaining relief.
"The task ahead of us all is to make every effort to bring health and wellness to the communities we serve and support one another in our pursuit of regaining normalcy," said Joseph F. Coradino, Chairman and CEO of PREIT. "Malls are a vital part of local economies, employing thousands and providing meaningful tax contributions to their municipalities. PREIT continues to make strides in positioning the Company and our partners for future success."
To view prior releases related to PREIT's response to COVID-19, please click here or here.
About PREIT
PREIT (NYSE:PEI) is a publicly traded real estate investment trust that owns and manages innovative properties at the forefront of shaping consumer experiences through the built environment. PREIT's robust portfolio of carefully curated retail and lifestyle offerings mixed with destination dining and entertainment experiences are located primarily in densely-populated, high barrier-to-entry markets with tremendous opportunity to create vibrant multi-use destinations. Additional information is available at www.preit.com or on Twitter or LinkedIn.
