Zara owner Inditex to close all 502 stores in Russia
It revealed that its Russian sites account for roughly 8.5% of its global EBITDA
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Inditex, the owner of fashion brands Zara, Pull and Bear and Berksha has announced it is to temporarily close all of its 502 stores located in Russia.
One of the largest fashion operators in the world, Inditex has become the latest to cease its operations in the country following the invasion of Ukraine and the imposition of economic sanctions.
In a statement to the Spanish Market regulator CNMV it said: “In the current circumstances Inditex cannot guarantee the continuity of the operations and commercial conditions in the Russian Federation and temporarily suspends its activity.”
It also confirmed it would provide its workforce of over 9,000 people with a “special support plan” but did not elaborate on the details.
Previously, Inditex had confirmed its sites in Ukraine had also been temporarily closed.
It revealed that its Russian sites account for roughly 8.5% of its global EBITDA while adding: “The investment is not relevant from a financial point of view.”
The news follows a series of moves from prominent retailers suspending activities in the country as a result of the conflict.
