Lockdown could bring Edcon to its knees
JOHANNESBURG – The country’s
coronavirus lockdown could likely bring Edcon, one of South Africa’s biggest clothing, and beauty retailers to its knees after it flagged it may not be able to pay its suppliers or honour its accounts as a result of the 21-day lockdown.
coronavirus lockdown could likely bring Edcon, one of South Africa’s biggest clothing, and beauty retailers to its knees after it flagged it may not be able to pay its suppliers or honour its accounts as a result of the 21-day lockdown.
The 90-year-old retailer on Thursday projected that it would lose a further R800 million in turnover during the 21 days of lockdown, and said that it was now expecting a significant shortage of cash by the end of April.
The group, whose retail chains include Edgars, CNA and Jet, said that since the state of disaster two weeks ago, turnover had declined 45 percent year-on-year. It said turnover for March diooed R400m below forecast as sales and cash suffered the Covid-19 profound impact on the South African economy.
Source: iol.co.za
