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Hit by Political Crossfire, Lotte's China Exit Stalls

  • Retailer has struggled to sell Chinese retail store chain
  • Lotte Shopping losing 50 billion won every quarter: analyst
Bloomberg business news
Bloomberg’s Dave McCombs reports on the surprise jailing of Lotte Group Chairman Shin Dong-bin.(Source: Bloomberg)
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Lotte Group’s efforts to sell its China stores have stalled as buyers aren’t sure they will be able to run the outlets normally after government allegations of fire safety infractions, a company executive said.

South Korea’s largest department store operator, Lotte Shopping Co., has taken a sales hit in China over the past year after the group provided land for South Korea’s deployment of the U.S. missile defense system known as Thaad. Most of the retailer’s outlets in China were soon after forced to suspend operations by authorities for the fire safety violations.