Another city owner is under the credit rating of Moody's, and the uncertainty of merchants' renewal is uncertain.

Financial News

Written by: Wen Zongzong

2019-11-22 15:15

The political turmoil caused by the Fugitive Offenders Ordinance has not calmed down. The Kowloon City Festival Walk, which was once the battlefield between the police and the people, was closed down after severe damage. So far, no resumption date has been announced. The rating agency Moody's announced yesterday (21st) that it will hold the Fontaine North Asia Business Trust listed in Festival Walk and Singapore. The credit rating outlook will be cut from "stable" to "negative", but the credit rating "Baa1" will not be maintained. change.

Another city accounts for 60% of the total income of the parent company

Moody's issued a rating report yesterday, stating that the demonstrations in Hong Kong have caused serious damage to the city, and that Festival Walk, as the most important asset of the Mapletree North Asia Business Trust, accounted for the company's total revenue and net property in the year to the end of September. The income is 60%, and its long-term suspension will inevitably affect the company's operations. According to the report, although the property and income losses of Festival Walk are covered by insurance, the extent of coverage is still unknown.

The report also expressed concern about the operational performance of the reopening of the shopping mall. It means that although the revenue of the Festival City is mostly from fixed rents, it is less affected by the worsening of the consumer sentiment, but with Hong Kong's economic and retail sales going downhill, another The renewal of the city merchants may be affected.

However, Moody's said it confirmed that the credit rating of Mapletree North Asia Business Trust is “Baa1”, which is mainly due to the expected coverage of the loss of another city, and the stable income of its Chinese and Japanese assets.

The Christmas Tree of Festival Walk was closed for renovation for three consecutive days until further notice

The retail consumer industry in Hong Kong is overshadowed by the structural challenges

The Li Ka Shing Foundation’s emergency money can be applied for the retail industry up to 60,000 yuan in the second week.

Link Exhibition: Social events slow down the growth of retail income, affecting the renewal of merchants

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