Buzz Bingo halls in Edinburgh and Kilmarnock will close permanently as the company announce hundreds of job losses throughout the UK.
On Wednesday it was revealed that 26 of Buzz Bingo’s 117 halls will close, putting 573 jobs at risk.
The sites in Edinburgh Westerhailes and Kilmarnock are among the list of 26 closures.
The company said the move will be part of a Company Voluntary Arrangement (CVA) restructuring deal to secure its long-term future.
A total of 91 clubs will continue to trade with plans to start the reopening of sites from August 6.
It will need to secure approval from creditors at a meeting on the restructuring proposal on August 3.
The company, which employs around 3400 people, said it has earmarked sites for closure due to what it “expects will be an unsustainable operating environment for the foreseeable future”.
Buzz closed its sites across the UK on March 21 due to the Government-mandated lockdown, before reducing costs and furloughing the majority of its staff.
However, the company said it will “take time” for footfall to reach pre-virus levels due to social distancing measures and weaker customer confidence.
Chris Matthews, chief executive of Buzz Bingo, said: “The ongoing pandemic has had far-reaching consequences for the entire leisure and hospitality sector and an immediate and significant impact on our business.
“Following a thorough review of our options, the proposed CVA will restructure our retail portfolio to ensure we are well positioned for a return to growth, while adapting to the ongoing, challenging environment as we start to reopen the majority of our clubs.
“The restructure will, very sadly, impact a number of our colleagues and my priority is to support all those affected and keep them fully informed as we continue with this process.
“I would like to thank every single one of our colleagues for their continued understanding and commitment over this period.”
Melanie Leech, chief executive of the British Property Federation (BPF), said: “These situations are never easy, particularly now for the retail, hospitality and leisure businesses on our high streets at the sharp end of the Covid-19 pandemic.
“Property owners, however, need to take into consideration the impact on their investors, including the millions of people whose savings and pensions are invested in commercial property, as they vote on any CVA proposal.”
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