Japan's J.Front Retailing forecasts loss, boosts credit lines (updated)

J. FRONT RETAILING

29/06/2020 08:02

(Recasts with loss forecast)
    TOKYO, June 29 (Reuters) - Japanese department store
operator J.Front Retailing Co  3086.T  forecast a 30 billion yen
($280 million) operating loss for the year through February and
said it increased its credit lines as stores grapple with poor
sales amid the coronavirus pandemic.
    The company also warned of a 30 billion yen operating loss
for the six months through August rather than breaking even as 
it had previously forecast, blaming temporary store closures, a
dearth of tourists and weak consumer spending.
    Kyodo news agency earlier reported that J.Front secured
credit lines totalling 300 billion yen ($2.80 billion) from
banks including Mitsubishi UFJ Financial Group  8306.T  and
Sumitomo Mitsui Financial Group  8316.T .
    J.Front, which owns department stores including Daimaru and
Matsuzakaya, did not confirm the amount, but said it needed to
be ready for risks of a serious fallout.
    "In case the impact of COVID-19 is greater than expected,
the company has curtailed investments... as well as taken
measures taken measures such as increasing the amount of credit
lines for fund raising," it said.
    MUFG declined to comment, while SMFG couldn't be reached for
comment immediately.
    ($1 = 107.0800 yen)

 (Reporting by Ritsuko Ando and Takashi Umekawa; Editing by
Muralikumar Anantharaman and Christopher Cushing)
 ((ran.kim@thomsonreuters.com; +81-3-4563-2740;))