Finnish fashion and design brand Marimekko is feeling the impact of the coronavirus pandemic.
On Wednesday morning the company lowered its financial forecast saying the virus could have a “significant impact on the company’s sales and profitability.”
For health reasons Marimekko has decided to temporarily close all its stores in Finland, Sweden, Germany, Norway, Denmark, USA and Australia – and start negotiations for redundancies which will affect all staff either through temporary lay-offs of permanent staff cuts.
“The coronavirus pandemic is a human crisis that affects us all, and its effects on the economy and on consumer demand – especially as the state of emergency is prolonged – are huge” says Tiina Alahuhta-Kasko, Marimekko President and CEO.
Although Alahuhta-Kasko says the company has a strong balance sheet, they “must take unfortunate measures to adjust the amount of work available to secure the financial position of our company and thus, in the long run, to maximize our jobs.”
Marimekko was founded in the early 1950s and its bold print patterns helped earn it a reputation with fashioniastas around the world.
There are 150 Marimekko stores worldwide with the key markets in Europe, North America and the Asia-Pacific region. The company employs around 450 people and in 2019 had sales of branded products worth €251 million.