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Restaurant chain dishes up closures

By Li Jiabao | chinadaily.com.cn | Updated: 2013-07-16 16:18

Restaurant chain Beijing Xiangeqing Co closed some of its stores owing to a decline in lavish dining, financial news portal Caijing said on Monday.

The company revised its performance in the first half of this year in a weekend announcement and said that losses may reach 160 to 240 million yuan ($26 million to $39 million).

It predicted in April that losses could be 70 to 120 million yuan in the first half of this year, compared with a net profit of 76.48 million yuan in the same period last year.

The company adjusted its operational strategy this year, including lowering dinning costs, canceling expensive dishes and scrapping minimum orders.

No details were given about the closed stores but losses from the closures will be 80 to 110 million yuan, the company said.

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