(CercleFinance.com) – After having interrupted its commercial activities in Russia last March, H&M formalized on Monday its desire to put an end to its presence in the country, where it had been present since 2009.
In a press release published in the morning, the Swedish clothing group invokes the difficulty of the current operating environment and the unpredictability of the situation, explaining that it is not able to continue its local activities under such conditions.
The closure of its Russian branch will result in charges of around two billion Swedish crowns (around 190 million euros), including an impact of one billion crowns at the cash level.
These exceptional items will be accounted for in the third quarter results, the company said.
H&M says it intends to temporarily reopen its stores in the country, for a limited period, in order to get rid of its existing stocks.
On the Stockholm Stock Exchange, the title H & M fell back 0.1% Monday morning, also victim of a deterioration of UBS analysts, now ‘neutral’ on the value.
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