...- The global travel industry is facing a precipitous and unprecedented fall in revenue per available room (RevPar) because of the rapid spread of COVID-19 globally. Our economists now point to a global recession in 2020 because of the escalating pandemic. - Our base case assumes that across Europe, RevPar will decline by 20%-30% for 2020 and that a full recovery will only be achieved in 2022-2023. - In our view, the near-to-medium term decline in revenue, earnings, and cash flow generation will have a material effect on hotel group Accor S.A.'s 2020 financial position although the company's strong liquidity position should help it withstand the impact. We are therefore affirming our '###-' rating on Accor. - We are revising our outlook on Accor to negative because although the company's asset-light model gives it some cushion against the pressure it will face in 2020, visibility about the length and severity of the crisis is still not clear....
