The Spanish companies Inditex (Zara, Bershka, Pull & Bear, etc.) and Tendam (Cortefiel) have “temporarily” suspended their activity in Russia due to the conflict with Ukraine.
The decision concerns both their physical stores (more than 500 in the case of Inditex and around 50 for Tendam) and the online channel. In a statement sent to the Comision Nacional del Mercado de Valores (CNMV), the stock market supervisor, Inditex managers explained that they cannot “ensure the continuity of operations in the current circumstances“, marked by the Russian invasion of Ukraine.
The top priority of the company remains its workforce in the country, made up of more than 9,000 people, and for them it will implement “a special support plan”, although it has not provided further details on this subject.
“Russia represents about 8.5% of the group’s global EBIT”, explained the same sources, who also underlined that all shops operate for rent“therefore the investment is not significant from a financial point of view”.
On Russian soil, Inditex manages the Bershka, Pull & Bear, Zara, Stradivarius, Oysho, Massimo Dutti, Zara Home and Uterque brands. For their part, Tendam executives have indicated that this suspension of its operations in Russia “will be carried out guaranteeing maximum protection “for its 400 employees in the country.
The company – owner of the brands Cortefiel, Women’secret, Springfield and Pedro del Hierro, among others – has already closed its franchises in Ukraine last week. The textile company has shown its willingness to “cooperate in whatever may be necessary” with the Spanish authorities and international NGOs in the context of this conflict.
The two Spanish multinationals thus follow in the footsteps of other large companies they have cut off their business with Russia in recent dayseither to protest against the invasion of Ukraine, or to supply problems or to respect the sanctions imposed by other governments against Moscow.
In the textile sector, Swedish Hennes and Mauritz (H&M) announced on Wednesday the temporary suspension of sales in Russia due to the war with Ukraine, a decision that was also made by brands such as Nike, Adidas, Mango, Burberry, Hermes.