The South African Breweries (SAB) has canceled another R2.5 billion in investments for its annual capital and infrastructure upgrade programs.
This follows the government’s decision to ban the sale of alcohol for the third time since the start of the nationwide lockdown in March last year.
On Friday, the company said this decision would impact jobs and the profitability of companies that would have worked it in the execution of its upgrade programs.
SAB vice president of finance Richard Rivett-Carnac said they supported responsible measures to curb the spread of COVID-19 including a curfew, restrictions on gatherings as well as heightened law enforcement.
However, they disagree with the outright ban on the sale of alcohol because of its impact on their business and their employees.
Rivett-Carnac said they had decided to cancel another R2.5 billion in capital investments due to the possibility of further bans.
“This follows the announcement of the cancellation of R2.5 billion of capital investments in 2020 and raises the total of SAB investments to R5 billion.”
He said allowing the sale of alcohol for off-site consumption with restricted trading days and hours, would have been an effective way to support the healthcare system.
