Viad Corp Announces Date of Conference Call to Review First Quarter 2020 Preliminary Results, Waiver of Financial Covenants, and Extension of 10-Q Filing

Viad Corp (NYSE: VVI) will hold a conference call to review preliminary financial results for our 2020 first quarter on Thursday, May 14, 2020 at 5:00 p.m. Eastern Time. The call will be hosted by President and Chief Executive Officer Steve Moster and Chief Financial Officer Ellen Ingersoll, who will be joined by President of Pursuit David Barry. During the call, we will also provide an update on COVID impacts and our liquidity. We will issue a press release outlining our preliminary financial results and updates on that date and will also post it on our website at www.viad.com prior to the call.

Conference Call Details

To join our live teleconference on Thursday, May 14, 2020 at 5:00 p.m. Eastern Time, please call [phone] and enter the passcode 2041759 or access the webcast through our website. A replay will be available for a limited time at [phone] or [phone], passcode 2041759, or visit our website and link to a replay of the webcast.

Waiver of Financial Covenants

On May 8, 2020, we amended the credit agreement for our $450 million revolving credit facility to suspend the testing of the interest coverage ratio and the leverage ratio for the fiscal quarter ending June 30, 2020. The amendment also adds a new minimum liquidity covenant, in addition to other reporting requirements, and extends the deadline for delivery of our quarterly financial statements for the 2020 first quarter. In addition, the amendment sets the applicable interest rate during the covenant waiver period to, at our option: (a) a customary base rate formula, plus a margin of 2.50% per annum (subject to a base rate floor of 2.00%) or (b) a customary eurocurrency rate formula, plus a margin of 3.50% per annum (subject to a eurocurrency rate floor of 1.00%).

Delay of First Quarter 2020 Form 10-Q Filing

The impact of COVID-19 on our business has resulted in the need to perform additional asset impairment testing and other complex financial analysis, which will delay the filing of our first quarter Form 10-Q. We expect to file our Form 10-Q no later than June 25, 2020, which is 45 days after the original due date of May 11, 2020. The preliminary financial results we expect to provide on Thursday, May 14, 2020 will therefore not include impairment charges and the corresponding tax effects, which are currently being evaluated. We do not expect the non-cash impairment charges to impact future operations or affect our liquidity or compliance with debt covenants. However, we expect the impact on Viad’s reported GAAP financial results to be material.