MCDONALD’S TO LEAVE RUSSIAN MARKET, SELL BUSINESS TO LOCAL BUYER

Mon 16 May 2022:

McDonald’s announced Monday that it will exit the Russian market and sell its operations in the increasingly isolated country.

Since Russia’s invasion of Ukraine in February, several Western companies have left the country.

Renault, meanwhile, declared on Monday that it has handed over its Russian assets to the Russian government in Moscow, marking the first big nationalisation of the economic disentanglement.

McDonald’s in March closed all of its 850 restaurants in the country, where it says it employs 62,000 people.

“After more than 30 years of operations in the country, McDonald’s Corporation announced it will exit the Russian market and has initiated a process to sell its Russian business.” it said in a statement on Monday.

“The humanitarian crisis caused by the war in Ukraine, and the precipitating unpredictable operating environment, have led McDonald’s to conclude that continued ownership of the business in Russia is no longer tenable, nor is it consistent with McDonald’s values.”

It said it was looking to sell “its entire portfolio of McDonald’s restaurants in Russia to a local buyer”.

The restaurants would no longer be permitted to use the McDonald’s name, logo, branding, or menu after the transaction, according to the company.