MANILA -- The two comedy bars of TV host and comedian Allan K will cease operations given the uncertainty caused by the COVID-19 pandemic, according to a report.

In an article published on Tuesday, the entertainment website Pep said Allan K and Lito Alejandria, the general manager for Zirkoh and Klownz, recently held a meeting to announce the sad news to their employees.

"We regret to inform you that our company, Klownz Comedy Bar Inc., is facing a tremendous economic financial loss brought about by the coronavirus 19 pandemic in the Philippines," read a letter to employees, as provided by Allan K and Alejandria to Pep.

"And because of this unprecedented uncertainty, our overhead expenses cannot be met, that is the reason that the company resorted to closure effective July 29, 2020," it added.

The letter also stated that employees will be given their unpaid salary, 13th month pay, and additional cash assistance.

"As much as we want to give you the statutory separation pay as provided by the law, the company can no longer afford the same as we are now in the verge of bankruptcy and we do not have enough funds to pay the same," it said.

"You are no longer required to work on July 29, 2020. Thank you and we appreciate the service you have rendered to the company."

Both located in Quezon City, Klownz and Zirkoh have operated for 18 and 16 years, respectively.