Cutting costs to conserve liquidity and deferral of investment is a higher priority now for NürnbergMesse than continuing with the construction of its NCC Süd convention centre project.
The venue and organiser management has said that construction of the new NCC Süd will now be put back to 2024/2025 in view of the ongoing coronavirus pandemic and its effects on business. NürnbergMesse had been planning to construct its fourth convention centre in the Nuremberg Exhibition Centre grounds, beginning February 2021. That project will now be delayed for three years to start now in February 2024 at the earliest.
“Our hearts still say yes, but our brains say no. In this case, it is better to listen to our brains!”, said Peter Ottmann, CEO NürnbergMesse Group.
His joint CEO colleague Dr Roland Fleck added: “Postponing the start of construction was not an easy decision. But in the midst of the coronavirus turmoil the first priority is to conserve the company’s liquidity.”
As a result of the coronavirus crisis, NürnbergMesse says it must lower costs to maintain profitability and reduce expenditures that drain liquidity. Management has also put on hold The Key office building project in the Nuremberg Exhibition Centre.
However, the two CEOs also said: “Postponed does not mean abandoned. Even now, we have a functional exhibition centre that offers attractive conditions for tradefairs, congresses and events. We are firmly convinced that after the coronavirus pandemic recedes we will once again successfully hold exhibitions, initially without the new building but then, in the medium term, with our future architectural milestone, the new NCC Süd.”
NürnbergMesse Group is one of the 15 largest tradefair companies in the world. It comprises NürnbergMesse GmbH and its 15 subsidiaries and affiliates. The company employs more than 1,000 people at eleven locations around the world.
