NKE Nike Inc

   By Cristina Roca and Sara Germano 
 

Nike Inc. said it will temporarily close its European base in the Netherlands after an employee there was diagnosed with coronavirus, and that it also closed and disinfected its world headquarters in Oregon over the weekend as a precaution.

The sporting-goods giant said its European offices will be disinfected and closed until Wednesday. About 2,000 employees work at Nike in Hilversum, about 20 miles southeast of Amsterdam. It wasn't immediately clear how or when the affected employee contracted coronavirus.

Nike also closed and deep cleaned its campus in Beaverton, Ore., over the weekend following a presumed case in nearby Lake Oswego, the company told The Wall Street Journal.

Nike and its competitors in the sportswear industry--including Under Armour Inc., Adidas AG and Puma SE--have already said they are bracing for negative impacts from coronavirus quarantines in China since January, which interrupted their supply chains and dented demand. Last week, analysts at HSBC downgraded their rating of Nike to hold from buy in part due to the risk of slashed profits in their China business.

Europe, the Middle East and Africa is the second-fastest-growing segment of Nike's business, with 10% growth year over year for the quarter ended Nov. 30. In recent years, Nike has looked to both Europe and Greater China, its fastest-growing market, for sales boosts as demand at home has slowed.

The company is expected to report quarterly earnings on March 24.

Write to Cristina Roca at cristina.roca@dowjones.com; @_cristinaroca and Sara Germano at sara.germano@wsj.com

(END) Dow Jones Newswires

March 02, 2020 09:22 ET (14:22 GMT)

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