Edcon to file for business rescue after losing R2bn due to virus
JOHANNESBURG – The Edcon board has passed a resolution authorizing the company to file for business rescue in the course of the next few days after losing R2 billion due to the Covid-19 pandemic, the company said in a statement today.
Edcon, South Africa’s biggest clothing retailer said in a statement that following the coronavirus outbreak in South Africa, and President Cyril Ramaphos’s first announcement on Sunday, 15th March Edcon has lost R2bn in sales.
“The sales miss and the decline in collections of the debtor’s book has meant that Edcon is unable to pay its suppliers for both the March and April month-ends. Paying April salaries will require assistance from the Unemployment Insurance Fund Covid-19 TERS program,” the company said.
Source: iol.co.za
