Brief: Luen Thai Sees Loss Of Around Us$10.7 Mln For Four Months Ended 30 April

Luen Thai Holdings

05/06/2020 15:36

June 5 (Reuters) - Luen Thai Holdings Ltd  0311.HK :
    * EXPECTS CO MAY NOT BE ABLE TO RECOVER ALL OVERDUE TRADE
RECEIVABLES FROM SOME CUSTOMERS IN US AND UK
    * SEES A LOSS OF AROUND US$10.7 MLN FOR FOUR MONTHS ENDED 30
APRIL
2020
    * HAS ALSO IMPLEMENTED SALARY REDUCTION FOR ITS STAFF
MEMBERS
    * ALL EXEC DIRECTORS TO TAKE A PAY CUT BY 50% FROM MAY TO
JULY;
MAY BE EXTENDED TO END OF YR
    * FULL RETURN TO NORMAL LEVELS OF OPS MAY NOT BE FEASIBLE
FOR TIME
BEING, & SITUATION IS LIKELY TO REMAIN UNCERTAIN
    * EXPECTED TURAROUND IS MAINLY DUE TO IMPACTS OF COVID-19
OUTBREAK
    * MADE ENCOURAGING PROGRESS IN RESUMPTION OF MANUFACTURING
BUSINESS; ORDERS FROM CUSTOMERS TO GRADUALLY INCREASE
    * PLANS TO FURTHER EXPAND PERSONAL PROTECTIVE EQUIPMENT
PRODUCTION
LINE TO OTHER FACTORIES OWNED BY GROUP IN SOUTHEAST ASIA

Source text for Eikon:  ID:nHKSbFfRDs 
Further company coverage:  0311.HK 

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