The company decided, a few months after the start of Russia’s invasion of Ukraine, to finally withdraw from the aggressor country. Before that, plan to sell the remaining clothes.
H&M’s largest range of clothing stores is shutting down its business in Russia and thus joining the growing list of companies completely leaving the aggressor country. This was reported on Monday, July 18, by the Reuters news agency, citing a statement by CEO Helena Helmersson.
The company suspended its business in Russia in early March of this year after Russia’s invasion of Ukraine. The Russian Federation is the sixth largest market. H&M expanded its stores here while reducing the number of physical stores in other markets.
“After careful consideration, we came to the conclusion that it is not possible to continue our business in Russia under the current circumstances,” Helmersson said.
The chain aims to temporarily reopen physical stores for a limited time to sell the remaining inventory in Russia.
All of the stoppage activities cost approximately $ 191.3 million. The amount will be included in the third quarter results as a non -recurring expense.
Recall that the popular furniture retailer IKEA is selling four of its factories in Russia and is reducing its staff.
In addition, Coca-Cola HBC will no longer manufacture or sell Coca-Cola or other brands in Russia.
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Source: korrespondent
I am David Wyatt, a professional writer and journalist for Buna Times. I specialize in the world section of news coverage, where I bring to light stories and issues that affect us globally. As a graduate of Journalism, I have always had the passion to spread knowledge through writing.