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Auchan set up its branch in Russia

Deliveries of goods and investments in the Russian chain of stores will no longer be carried out, however, the stores have not yet been closed.

Auchan’s leadership decided to separate its branch in Russia. In particular, the main office stopped chain deliveries and investments in Russia. This was announced on Tuesday, April 5, in the Ukrainian office of the company.

“Under the onslaught of thousands of employees, dozens of letters-the main office decided to reduce investments and stop deliveries to the Russian Federation,” the message said.

What does this mean for Russia?

  • New stores will not open.

  • Existing stores will not be renovated.

  • IT technologies and projects will not be supported.

  • Basic software will not be updated, such as cash, logistics, commercial, etc.

  • Imported goods will not be supplied to the Russian Federation – and this is 90% of the range of clothing, footwear, household goods, fabrics.

The Ukrainian branch of the company said that stores in Russia are no longer profitable, and the new sanctions will lead to a significant decrease in turnover and tax payments. Ultimately, there is a high probability that the Russian Auchan network will go bankrupt.

We will recall, earlier Auchan rejected the call of the President of Ukraine Volodymyr Zelensky to leave Russia.

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Source: korrespondent

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