Trip.com Stock Tumbles 9% After CEO, Chairman Take Salary Cuts
From topping $38 per share in mid-January, shares in the Chinese booking giant slid about 31%.
Trip.com Group Ltd. (Nasdaq: TCOM) was among the biggest losers in New York Monday, its stock sliding more than 9% to $26.90 per American depositary share.
Travel and hospitality industries have been among those most affected in the coronavirus outbreak in China. Trip.com, Asia's top booking company, has been trying to cope with the crisis in various ways. On Monday, CNN Business reported that Trip.com's chief executive, Jane Sun, and chairman, James Liang, will not take salaries as the company struggles with losses.
In an internal memo, Sun also called for members of senior management to take pay cuts voluntarily, CNN wrote.
Trip.com has delayed the release of its financial results for the year-end trimester and full year 2019, pushed from Feb. 26 to Mar. 18. The company said in a statement, "The revised date would give the Company more time to observe business condition and provide visibility for the first quarter of 2020."
Overall, TCOM stock is down 31% from trading above $38 per share in mid-January, before the outbreak.
The latest numbers of the pandemic are at 110,000 infections globally, with 3,800 dead.
Separately, a hotel used as a coronavirus quarantine center collapsed on Saturday, killing at least 10 people and trapping 71 inside. The hotel is located about 600 miles from Wuhan, in Quanzhou, Fujian province.