Regina Exhibition Association estimates $4M in losses so far due to COVID-19
Strategic plan had called for a multi-year deficit even before pandemic hit
The Evraz Place event complex in Regina was already in a tough spot even before the coronavirus pandemic reached Saskatchewan.
On Feb. 19, Regina Exhibition Association Limited (REAL) presented their 15-year strategic plan to the City of Regina's priorities and planning committee. At that time, the non-profit said it needed to change the way it did business or it would have a 14-year deficit.
The plan was accepted by the committee and included several ideas to diversify the business, including paid parking, a new indoor arena and leasing out space for retail.
Then everything changed.
Saskatchewan had its first case of COVID-19 on March 12. On March 20, gatherings were limited to 10 people and the provincial government declared a state of emergency.
"It really was an overnight shift in our business, where we were expecting [a] 15,000 or 16,000 person weekend and it turned off really with one public health order, and rightfully so," said Tim Reid, president and CEO of REAL.
Reid said REAL had to cancel a professional bull riding event, a major trade show and a figure skating event.
The plan approved by city council is on hold. Reid said he isn't sure what the economy will be like coming out of the pandemic.
"It's almost like this strange pause right now where everybody's really focusing on the crisis but also recognizing that at some point regular business has to start to return, and the road to recovery will be a long one."
Reid said the not-for-profit has lost about 85 per cent of its revenue since people were told to stay home.
"When your business turns off and it's dependent on mass public gatherings it affects us really quickly and really deeply," he said. "Four weeks, we've probably lost $4 million. We anticipate that'll be about $6 million in top-line revenue by the end of this coming month."
REAL is asking the Regina City Council to amend a bylaw that limits their loan amount, to allow them to borrow more funds in the wake of the pandemic. The City of Regina will discuss the amendment at a special council meeting on April 15.
National association calling for industry funding
The Canadian Association of Fairs and Exhibitions said late last month that the federal government should provide specific funding for the industry.
"Our industry is in a unique position. Every day this pandemic continues, and mass gatherings are cancelled, is another day that cuts into our short season," said Amanda Frigon, president of the association. "There will be no chance of recovery as more and more events get cancelled."
"Those types of events will be more important in future than ever before," Reid said. "We need to maintain those historic events and those historic exhibition associations, because they're really part of the identity of our provinces or our country."
Reid said REAL isn't calling for national funding for itself and will focus on working with local partners.
Reid hopeful for Rider games later in the year
On April 7, the CFL announced its season wouldn't start until July.
Riders' president Craig Reynolds told reporters on April 8 that the virus controls the agenda and health officials will be deciding the timeline.
Reid said he is hopeful there will still be football, even if later in the year. As well, Reid said he's still hopeful to host the Grey Cup in 2020 because it's important to the league and a major tourism event.
Even with everything going on, Reid said the industry is hopeful for a rebound in the future.
"There's actually a strong desire for us to get back to doing the things that we love, getting together with other people, and the challenge with it is we just don't know when that is."
Reid said looking forward, he would like to host the Queen City Ex in August.
"Personally I'm hanging on to that one with some optimism," he said. "It's probably got a lower probability than some of our events this fall. But I'd really like that one to see that event go forward."
"I think by that time we could all use an excuse for a ferris wheel ride and cotton candy."