The Dutch Heineken, the second largest beer producer in the world, has decided to leave the Russian market and transfer business in the country to a new local owner.
“We have come to the conclusion that owning a business in Russia is no longer sustainable and feasible in the current environment. As a result, we have decided to leave Russia,” the company said in a statement.
Until the transfer of the Russian business to a new owner in the Russian Federation, all seven Heineken breweries will continue to operate to preserve jobs and serve their customers and consumers. Under any circumstances, the concern guarantees the preservation of wages for all Russian employees until the end of 2022. The priority also remains the fulfillment of obligations to customers, partners and consumers, the report says. The company does not expect a profit from the transaction and expects impairment and non-cash costs of EUR 0.4 billion.
Earlier, Heineken announced that it was suspending investments and imports into the Russian Federation, as well as the production and sale of its flagship Heineken brand. In addition, the company renounced income from Russian business – all payments, royalties and dividends were suspended.
The manufacturer’s portfolio includes about 300 brands.