Pandemic blamed as Dominion Diamond enters court protection from creditors [Toronto Globe and Mail (Ontario, Canada)]
FTI Consulting, Inc. (FCN)
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Source: Toronto Globe and Mail
Pandemic blamed as Dominion Diamond enters court protection from creditors The owner of Canada’s first diamond mine blames transportation and business disruptions caused by measures to control the COVID-19 pandemic for its decision to seek court protection from creditors. In an affidavit filed with the Alberta Court of Queen’s Bench, Krystal Kaye, chief financial officer for Dominion Diamond Mines ULC, said the pandemic has had a “devastating impact” on the global diamond mining industry. “Global diamond sales saw an almost immediate slowdown when the COVID-19 related lockdown began in China and the impact has become more acute as lockdown measures have been implemented in nearly all parts of the world in which Dominion operates,” she said in the filing. Travel and business lockdowns were felt most keenly in India, where most of the world’s rough diamonds are sorted, cut and polished; in Antwerp, Belgium, where they’re sold; and the United States, the top buyer of diamonds for retail
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