Yahoo Finance Lego pulls operations from Russia and ends employment in territory
Lego the world’s largest toymaker has pulled all operations from Russia “indefinitely” following the country’s invasion of neighbouring Ukraine.
Although the company did not make the reason for the withdrawal specific it did say that there had been “disruption” in trying to carry out its operations.
The move will end the employment of its Moscow staff and a partnership with Inventive Retail Group the company that operates the company’s 81 stores in Russia.
Lego said: The Lego Group paused shipments to Russia in March. Given the continued extensive disruption in the operating environment, we have decided to indefinitely cease commercial operations in Russia.
“This includes ending employment for most of our Moscow-based team and our partnership with Inventive Retail Group who owned and operated 81 stores on the brand’s behalf.”
Danish business Lego was one of the few remaining Western brands that remaining in Russia after an unofficial economic embargo was imposed in protest to the invasion of the Ukraine by global businesses including McDonalds, Starbucks and Nike.
A few companies such as Burger King had outlets that were run by franchisees in Russia and had to unwind these relationships with third party representatives mostly offloading their interests in the country through selling off real estate and stock.
