CCTV Transcripts

CCTV Script 09/07/20

— This is the script of CNBC's news report for China's CCTV on July 9, 2020, Thursday.

The two latest clothing retailers to announce bankruptcy and have already filed for bankruptcy protection are well-known U.S. companies, including Ascena, which owns Ann Taylor LOFT and other women's clothing brands. Ascena will close at least 1,200 stores and the Brook Brothers have a long history.

Can even dates back to 1818, former American presidents, including Lincoln Roosevelt, were its loyal customers. This company will close 51 stores permanently while it searches for new buyers. 

According to data from Epiq, an industry group,

so far this year, there have been 3,604 new commercial breaks in the United States, up 26 percent from the same period last year, and bankruptcy filings are accelerating.

In June, that number increased 609, up 43%.

Well-known companies that filed for bankruptcy in June include Chesapeake Energy Corporation, a leader in the US oil and gas sector etc., Industry experts expect U.S. corporate production to rise further in the third quarter as the number of coVID-19 diagnoses continues to climb.

Jim Millstein 

Co-Chairman of Guggenheim Securities  

I think you will see a wave of bankruptcy at the end of the 3rd Q, if we have not got the thing under control, September and October can be really disaster.  

The U.S. retail market will soon have a traditionally big sales season, the back-to-school season, which is often seen as the second biggest in the country after the Thanksgiving Christmas shopping season. But this year, there's been a lot of uncertainty because of the outbreak.

According to an annual back-to-school survey conducted by Deloitte in late May and early June,66 per cent of US parents said they were very anxious about sending their children back to school this autumn. Deloitte estimates that U.S. sales for this year's back-to-school season will be about $28.1 billion, meaning there will be almost no year-over-year growth, as many students may need to take online classes at home.

Sales of electronics are likely to rise, but spending on stationery items, such as clothing and shoes, and laptops and schoolbags, is likely to fall.

Terry Lundgren 

Former Macy's CEO    

Obviously that occasion doesn't look very promising so it wouldn't be as damaging, as five years ago, but it not an occasional buy, so in general overall negative for the industry

I think it would be a long slow recovery, so i am concerned about that for sure

The epidemic has brought huge shocks and uncertainty to the US retail sector and a number of bankruptcies and store closures hit some weak companies.

This will make the market less competitive. In this market environment, the competition between the surviving strong will depend to a large extent on innovation and investment in the future.

In the face of the epidemic, Wal-Mart increased spending on its research and development arm, Wal-Mart LABS. It recently rented larger offices and launched a new subscription and delivery service.

We will also keep a close eye on the actual performance of this year's us back-to-school season and the future of retail.