Tuesday, May 17, 2022

McDonald’s selling out of Russia

McDonald’s Corp. plans to sell its business in Russia because Russian President Vladimir Putin invaded the Ukraine.

It comes 32 years after Canadian George Cohon, then chairman of McDonald’s Canada, led the company into Russia, opening the first outlet in Pushkin Square where hundreds lined up to get a Big Mac.

The Russian business has 832 outlets.

 “It is impossible to ignore the humanitarian crisis caused by the war in Ukraine,” said Chris Kempczinski, the company’s president and chief executive officer.

When Cohon set up in Russia, he found he needed to establish an entire supply chain from farmers and processing to retail stores.

McDonald’s plans to continue to use its trademarks in Russia, but the new buyer will not be able to use the company’s logo, menu or name once a deal is completed.