31st Dec 2020 13:17
(Alliance News) - Associated British Foods PLC on Thursday said 253 Primark stores, representing almost two thirds of its entire selling space, will be closed from Friday due to increased virus restrictions.
AB Foods said the closures follow announcements by the UK and Republic of Ireland governments on Wednesday of increased restrictions on the movement of people and trading activity to limit the spread of Covid-19.
The FTSE 100-listed food processing & retailing company said the stores affected by the temporarily closures - with periods of closure varying by market - represent 64% of its total retail selling space.
AB Foods raised its estimated loss of sales from these closed stores for the announced periods of closure in its current financial year to GBP650 million. This is up from the estimate of GBP430 million that the company announced on December 4. The GBP430 million loss resulted from the loss of autumn sales amid the second lockdown in the UK during November.
AB Foods shares closed 1.6% lower in London on Thursday at 2,264.00 pence each. For the year, the stock is down 12%.
By Evelina Grecenko; [email protected]
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