// Debenhams defers all historic concession balances for 30 days amid Covid-19 pandemic
// The measure was taken in order to to mitigate the government-mandated shut down of its store estate
In a bid to save the business amid the ongoing coronavirus pandemic, Debenhams is deferring all its concession balances for 30 days.
A letter seen by Drapers that was sent to suppliers from chief executive Stefaan Vansteenkiste stated that Debenhams was aware that suppliers may have been expecting to receive payment from them, but consistent with its other suppliers, it would be deferring all historic concession balances for 30 days.
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Vansteenkiste stated he regretted the measure but said it was necessary to mitigate the government-mandated shut down of the Debenhams store estate.
The letter also stated that Debenhams was managing to maintain its online business, and it intended to continue to do so until it was no longer possible.
Debenahms extended its payment terms on March 20 to wholesale suppliers and then joined the fast-growing list of retailers temporarily shutting stores before Prime Minister Boris Johnson announced the lockdown on March 24.