Japan to See 1st Biz Failure from New Coronavirus Outbreak

Economy

Tokyo, Feb. 25 (Jiji Press)--A hotel in central Japan is set to file for bankruptcy due to a plunge in the number of customers amid the outbreak of the new coronavirus, officials of credit agency Tokyo Shoko Research Ltd. said Tuesday.

This will mark the first business failure in the country from the fallout of the viral outbreak, according to the officials.

The bankruptcy filing by the hotel, Fujimiso, in the city of Gamagori in Aichi Prefecture, will be made with Nagoya District Court's branch in the city of Toyohashi in the prefecture, the officials said.

Fujimiso, which has been focusing on attracting tourists from China in recent years, started to see a number of cancellations of reservations from Chinese group tourists last month amid the viral outbreak, which originated in the country, the officials noted.

Fujimiso, established in February 1956, has 96 million yen in capital. The amount of its liabilities is now being investigated, according to the officials.

[Copyright The Jiji Press, Ltd.]

Jiji Press