Credit Concerns Among Business Partners and Product Procurement Risk

「Our group seeks to understand the financial condition and creditworthiness of suppliers, contract manufacturers, logistics providers, B2B business partners and other business partners.」

「Deterioration in the financial condition or creditworthiness of business partners may result in bad debts, delayed payments or disruptions to product procurement and sales. In addition, the bankruptcy or closure of department stores, shopping centers, station buildings, fashion buildings and other facilities where our stores operate may bring the operations of profitable stores and other stores at those facilities to an end, and may require the recognition of additional losses or allowances, which may affect our group’s results of operations and financial position.」

「Credit concerns involving business partners may cause unexpected bad-debt and product procurement risks to materialize, while an unexpected bankruptcy of a major commercial facility where our stores operate may also occur.」

「Credit concerns involving business partners may cause unexpected bad-debt and product procurement risks to materialize. In addition, an unexpected bankruptcy of a major commercial facility where our stores operate may delay the collection of our group’s receivables or require the recognition of additional losses or allowances, which may affect our group’s results of operations and financial position.」

「Counterparty credit concerns may expose us to unexpected bad-debt and product procurement risks, while an unexpected failure of a large commercial facility where we operate stores could delay collection of receivables and require additional losses or provisions to be recognized.」