HOUSTON, March 17, 2020 /PRNewswire/ -- RCI
Hospitality Holdings, Inc. (Nasdaq: RICK) updated shareholders
today regarding its response to the coronavirus situation.
"In line with city, county or state requests regarding bars and
restaurants, our subsidiaries have temporarily closed a number of
nightclubs or limited their occupancy, and we are arranging for
many of our Bombshells restaurants to provide take out service,"
said Eric Langan, President &
CEO.
"We want our investors to know we are confident we have the
financial resources to weather this storm. Sales were strong in the
second fiscal quarter through the second week of March. We have
enough cash and resources, including excess borrowing capacity
based on the composition of our asset base.
"We have been and are continuing to plan and prepare for this
uncertain time. We have developed contingency plans and have
already reduced many costs, and we will be lowering expenses
further. In addition, our pending Northeast Corridor club
acquisition will not close in the March quarter as anticipated.
"We want to do our part to help protect our guests, staff, and
entertainers, to prevent the spread of the coronavirus in their
communities.
"For our shareholders, we plan to be in a strong position and
ready to reopen all locations as soon as possible when able to do
so."
RCI will provide another update when it announces 2Q20 nightclub
and restaurant sales in April.
About RCI Hospitality Holdings, Inc. (Nasdaq: RICK)
With more than 40 units, RCI Hospitality Holdings, Inc., through
its subsidiaries, is the country's leading company in gentlemen's
clubs and sports bars/restaurants. Clubs in New York City, Chicago, Dallas/Ft.
Worth, Houston,
Miami, Minneapolis, St.
Louis, Charlotte, Pittsburgh, and other markets operate under
brand names such as Rick's Cabaret, XTC, Club Onyx, Vivid Cabaret,
Jaguars Club, Tootsie's Cabaret, and Scarlett's Cabaret. Sports
bars/restaurants operate under the brand name Bombshells Restaurant
& Bar. Please visit http://www.rcihospitality.com/
Forward-Looking Statements
This press release may contain forward-looking statements that
involve a number of risks and uncertainties that could cause the
company's actual results to differ materially from those indicated
in this press release, including, but not limited to, the risks and
uncertainties associated with (i) operating and managing an adult
business, (ii) the business climates in cities where it operates,
(iii) the success or lack thereof in launching and building the
company's businesses, (iv) cyber security, (v) conditions relevant
to real estate transactions, (vi) our ability to maintain
compliance with the filing requirements of the SEC and the Nasdaq
Stock Market, (vii) the impact of the coronavirus pandemic, and
(viii) numerous other factors such as laws governing the operation
of adult entertainment businesses, competition and dependence on
key personnel. The company has no obligation to update or revise
the forward-looking statements to reflect the occurrence of future
events or circumstances.
Media & Investor Contacts
Gary Fishman and Steven Anreder at 212-532-3232 or
gary.fishman@anreder.com and steven.anreder@anreder.com
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SOURCE RCI Hospitality Holdings, Inc.