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Subsequent Events
3 Months Ended
Jun. 30, 2020
Subsequent Events [Abstract]  
SUBSEQUENT EVENTS

NOTE 17 – SUBSEQUENT EVENTS

 

On July 1, 2020, Jiangmen Treasure Success and Jiangmen V-Apparel Manufacturing Limited entered into a factory lease agreement, which was a replacement of a previous lease agreement dated August 31, 2019. The new lease has a one-year term with monthly rent amount of CNY28,300 (approximately $4,000) for additional office space and sample production purposes.

 

On July 6, 2020, the Company incorporated a new entity in Jordan, Jerash The First Medical Supplies Manufacturing Company Limited, as a wholly owned subsidiary of Jerash Garments with a total registered capital of JOD150,000 (approximately $212,000), to capture the market potential and contribute to the global effort of stemming COVID-19. The company has received temporary approval to produce medical supplies in Jordan and is applying for the relevant certifications to export products to the U.S. and Europe. The company also started to receive local sub-contracting orders of medical product in July 2020.

 

On August 5, 2020, the Board of Directors approved the payments of a dividend of $0.05 per share payable on August 24, 2020 to stockholders of record as the close of business on August 17, 2020.

 

The spread of COVID-19 around the world since March 2020 has caused significant volatility in U.S. and international markets. The Company's sales declined in the first quarter of fiscal 2021. There is significant uncertainty around the breadth and duration of business disruptions related to COVID-19, as well as its impact on the U.S. and international economies and, as such, the Company is unable to estimate the impact on the Company's financial condition and operations in the long run.