The Epidemic Affects Levi' S Closes Half Of China'S Stores And Prohibits Employees From Entering China.

Hammett Singh, chief financial officer of Levi s Levi Strauss, said on Thursday that after the outbreak of the coronavirus, American Cowboy brand Levi Strauss&Co had closed about half of its stores in China. Due to the impact of the epidemic on finance in the short term, it is expected that the company will lose about 3% of its annual revenue.

At the same time, Levi 's also prohibits all employees from entering China in the near future.

It is noteworthy that, just a few months ago, Levi 's flagship store in Chu Han street, Wuhan, opened in Wuhan in October 2019, covering an area of 700 square meters, and is the sixth largest brand store in the world. Wuhan is the origin city of coronavirus, with a population of 11 million. The influenza like virus has been spread to 23 countries.

Singer, chief financial officer of the parent company, told Reuters in an interview that the closure of Chinese stores said: "this will impede our growth target in the short term." This contributed about 3% of the company's revenue.

Earlier, Spain's fast fashion Zara, Sweden's fast fashion H&M and SWAROVSKI brands also shut down stores in Wuhan and other parts of Hubei. Lifestyle and home brands IKEA chose to suspend operations in the entire Chinese market. In a report released on Monday, Pierre Brian, a Dow Jones analyst, warned that the luxury retail environment in major cities around the world, especially in the mainland of China, is not optimistic.

Influenza like viruses have raised alarm around the world, Starbucks (Starbucks Corp) and Tesla Inc. Companies warn that business slowdown in the world's most populous country will be a financial blow. Earlier this week, Starbucks also said it would close about half of its stores in China.