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Wear it well: Penneys to pay suppliers for €424m orders despite closures

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Fashion retailer Penneys, which trades as Primark abroad, has committed to pay suppliers for £370m (€424m) of orders, despite all its stores being closed due to the coronavirus pandemic.

All of Primark's 376 stores in 12 countries have been closed since March 22, representing a loss of €745m of net sales per month.

The Dublin-headquartered retailer, owned by Associated British Foods, had previously only committed to paying for orders that were in transit or booked for shipment by March 18.

It said yesterday that following talks with suppliers it would pay for an additional £370m of orders that were either in production or finished, and planned for handover by April 17.

Primark said on March 23 it had informed suppliers that it would stop placing new orders.

Irish Independent