UPDATE 1-Gap pulls forecast, suspends dividend, taps $500 mln credit as coronavirus bites

(Adds details on forecast, curbed expenses)

March 26 (Reuters) – Gap Inc withdrew its full-year forecast, suspended its dividend and will draw down on its entire $500 million credit facility as the apparel retailer looks to weather the coronavirus crisis.

The company said on Thursday it would also reduce capital expenditure by nearly $300 million during the year, as well as review all operating expenses to curb spending.

The fast-spreading virus has spread to nearly 200 countries prompting store closures across the world.

The company last week announced the temporary closure of all of its North American stores. (Reporting by Saumya Sibi Joseph in Bengaluru; Editing by Ramakrishnan M. Abd Sriraj Kalluvila)

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