Source: Barron's
The coronavirus has practically led to a shutdown of the U.S. economy. Millions of Americans are staying home and avoiding large crowds. Several retailers like L Brands (LB) have temporarily closed stores to help stop the spread of the virus. The company had over 2,900 stores in its February quarter, of which 1,143 were related to Victoria's Secret. Macy's (M) divulged it lost the majority of its revenue due to store closures. If Victoria's Secret experiences a sharp decline in revenue, then it could potentially put its sale to Sycamore Partners in jeopardy.