The outbreak of the coronavirus has dealt a shock to the global economy with unprecedented speed. Following are developments Wednesday related to the national and global response, the work place and the spread of the virus.
— AMC Entertainment lost nearly $2.2 billion in its first quarter as it struggled with the closure of all of its movie theaters amid the virus outbreak. The company recorded an impairment charge of about $1.85 billion. AMC said Wednesday that it expects to have all of its theaters worldwide open in July. It has 10 theaters reopened in Europe.
— Red Robin Gourmet Burgers' sales fell 25.3% in its fiscal first quarter as the restaurant operator had to temporarily close its dining rooms. However, off-premise sales jumped 86.1% as the company shifted to pickup and delivery of orders. Red Robin has about 270 dining rooms reopened. The company has more than 550 restaurants in North America.
— With stores closed, GameStop's fiscal first-quarter sales declined 34% but its online sales skyrocketed 519% globally as customers continued to seek out video games. In March the retailer temporarily closed all 3,526 of its U.S. locations — with about 65% of these locations offering limited curbside pickup.
GameStop said it had about 85% of its U.S. locations open at the end of last month, with limited customer access or curbside delivery. About 90% of its international locations opened in May. However, the video game retailer said it has since had to temporarily close about 100 U.S. stores due to nationwide protests. It anticipates keeping about 35 of those locations closed for the foreseeable future given extensive damage.
— Spanish fast-fashion retailer Inditex, owner of chains like Zara and Massimo Dutti, said first-quarter sales plunged 44% as up to 88% of its stores worldwide were shut because of the pandemic. However, online sales were up 50% in during the quarter and surged 95% in April alone. The company, which operates in 96 markets worldwide, plans to spend 1 billion euros ($1.14 billion) to boost online sales to more than a quarter of its total revenue by 2022 from just 14% in fiscal 2019. The retailer also plans to pare back its fleet of 7,412 stores to between 6,700 and 6,900 by shutting up to 1,200 smaller, older stores and opening 450 larger locations that use less energy and recycle all materials.