Tower Club Inc. to end corporate life in January 2022

The Tower Club Inc. (TCI) over the weekend announced the end of its corporate life effective end-January 2022, citing growing operating losses through the years.

In a statement on Sunday, the TCI said its shareholders -- in its general shareholders' meeting on September 25 -- voted to shorten its corporate life and permanently close the closure of its food outlets and gym.

According to TCI, it incurred operating losses through the years due to declines in patronage and higher delinquency rates from the non-payment of monthly dues, with revenues down 28% in the first half of the year.

"It was foreseen that these losses will continue to rise and become more unsustainable because of the COVID pandemic's devastating impact on the dining, entertainment and leisure sector," the statement read.

With the recent developments, TCI said higher losses exacerbated by the pandemic are projected to make the capital deficient by next year.

"The Club, through the years, had implemented measures to boost revenues particularly in banqueting operations, and to collect unpaid membership dues, but the overall drop in income has worsened due to the COVID pandemic," TCI said.

Incorporated in August 2001, the TCI owns and operates The Tower Club, which aims to be an exclusive, premium business club operating at the Philamlife Tower in Makati City. —LBG, GMA News