The Israeli fashion group announced that continuing to shut down production plants in China could affect the company's operations in the medium and long term

• worrying. Castro

  Photo:

  Joshua Joseph

Corona virus epidemic continues to affect companies in the economy: After Israeli golf company Adika warned last week through a message to the stock exchange about the negative effects of the situation in China on the company's results, now comes the turn of the Castro Hoodies Group.

The company released an update on operations in China on Monday, announcing that, "The local holiday break in China was supposed to end yesterday after being extended by the local government about a week ago. A number of Chinese suppliers producing some of the group's products said they were not returning to regular operations at this time. This is due to China's lack of clarity regarding the spread of the Corona virus and the measures to be taken to reduce its exposure. "

"The company does not currently anticipate impairment of its operations in the immediate range. Continuing to shut down production plants in China or not returning to regular full-time work could affect the company's operations in the medium and long term."

As there are still no forecasts as to when China's production operations will return to the series, the company cannot assess the impact of continued disruption or cessation of production operations in China on its results, although as the aforementioned disruptions prolong, the Company expects their negative impact on its results to increase.