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Retailers, restaurants hit in protests, adding to coronavirus damage

Many retailers and restaurants, crippled by the corona­virus pandemic, are now grappling with damage from violent protests.

A looter robs a Target store amid protests in Oakland, California at the weekend. Picture: AFP
A looter robs a Target store amid protests in Oakland, California at the weekend. Picture: AFP

Many retailers and restaurants, already crippled by the corona­virus pandemic, are grappling with damage to their properties and new closures following protests sparked by the death of ­George Floyd that have sometimes turned violent.

From Minneapolis, where Mr Floyd died while handcuffed and in police custody, to California and Georgia, big and small retailers and restaurants have shut locations in anticipation of violence or are working to rebuild after destruction over the past week.

Target, Walmart, Nike and small family businesses have collectively closed hundreds of locations or are recovering from looting and physical damage related to protests. Adidas said it was temporarily closing all its US stores, while Amazon said it had scaled back or adjusted delivery routes in a handful of cities to protect employees.

Many executives and business owners expressed solidarity with protesters, who object to broader issues of racism and social justice.

About a dozen Walmart stores have been damaged, with more closed pre-emptively over the past few days. On Sunday evening, Walmart closed several hundred stores throughout the country. The damage so far has included looting and other property damage, but no employees had been hurt, a Walmart spokesman said on Sunday.

“What’s disturbing over the last 24 hours is it isn’t just at night,” the spokesman said. “We’ve even had issues this morning in broad daylight.”

Walmart chief executive Doug McMillon said in a statement on Friday that “this week is further proof we must remain vigilant in standing together against racism and discrimination”.

Target, which is based in Minneapolis, over the weekend closed more than 200 US stores, boarding up many of them pre-emptively. Some stores had reopened, in some cases with more limited hours, a spokesman said.

Last week, a Target store in south Minneapolis on Lake Street was one of the first US businesses to be looted and badly damaged. About seven Target stores have been damaged around the country, according to the company’s website. “Most of those stores have damage where we anticipate we can open in the coming weeks, with the exception of the Lake Street store,” which Target aimed to open by the end of the year, said the spokesman. Store workers would be paid for up to 14 days during store closures and could work at other locations.

“We are a community in pain,” Target chief executive Brian Cornell said in a statement on Friday. “The murder of George Floyd has unleashed the pent-up pain of years.”

Walmart and Target stores were open during the coronavirus pandemic that forced thousands of retailers and restaurants to shut in March and April, leading to millions of job losses.

Some of those businesses were just starting to reopen as protests kicked off following Mr Floyd’s death during an arrest. Authorities have charged one of the ­arresting Minneapolis officers, Derek Chauvin, with third-degree murder and manslaughter. Mr Chauvin was seen on video pressing his knee on Mr Floyd’s neck while Mr Floyd begged for help.

In some cities, smaller businesses bore the brunt of the damage. In Minneapolis, a family-owned liquor store, an Indian restaurant, a chiropractor and other businesses were left in rubble near the closed Lake Street Target.

Cynthia Gerdes, co-founder of Hell’s Kitchen in Minneapolis, shut her 18-year-old restaurant because of the coronavirus in March. She had drawn up plans to start offering takeout in July, but is now weighing how Mr Floyd’s death and the resulting unrest will affect the city’s business and reputation. “It’s a double whammy. It’s a gut punch,” said Ms Gerdes, whose business depends on conventions and office workers.

Ms Gerdes said her building near one of the city’s main police stations was now boarded up, with some windows smashed. She put up a sign in her restaurant’s windows supporting the protesters, but said she wondered about how long the impact would last.

“It’s just so surreal at this point,” said Ms Gerdes, who said she was exploring options for her establishment and 138 employees.

A Starbucks spokeswoman said that it closed some of its stores on Saturday for the safety of its workers after people damaged a handful of locations.

McDonald’s said on Sunday that the burger company and its franchisees closed a small number of restaurants temporarily and were starting to reopen them where safe. “We are working closely with our franchisees to understand the impact,” the company said.

Some Nike and Adidas stores in major US cities were looted and damaged in the protests. A Nike spokesman said employees were not harmed. The company, which previously made NFL quarterback-turned-activist Colin Kaepernick the face of an advertising campaign, launched a “Don’t Do It” ad, offering a spin on its popular catchphrase.

“For once, Don’t Do It … Don’t pretend there’s not a problem in America,” the company said in a film shared on Twitter on Friday.

Adidas retweeted its rival’s ad, along with the message: “Together is how we move forward. Together is how we make a change.”

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Original URL: https://www.theaustralian.com.au/business/the-wall-street-journal/retailers-restaurants-hit-in-protests-adding-to-coronavirus-damage/news-story/c90c1bab26436a035aabe6a3a1ba1d72