Omnibus Russia Ukraine crisis

spaminator

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McDonald's to exit Russia after more than 30 years
The food chain has 847 restaurants in the country

Author of the article:Reuters
Reuters
Uday Sampath Kumar
Publishing date:May 16, 2022 • 20 hours ago • 2 minute read • 26 Comments

McDonald’s Corp on Monday became one of the biggest global brands to exit Russia, laying out plans to sell all its restaurants after operating in the country for more than 30 years following the invasion of Ukraine.


The world’s largest burger chain, which owns about 84% of its nearly 850 restaurants in Russia, will take a related non-cash charge of up to $1.4 billion following its sale.

McDonald’s had in March decided to close its restaurants in the country, including the iconic Pushkin Square location in central Moscow – a symbol of flourishing American capitalism in the dying embers of the Soviet Union.


The burger chain represented the thawing of Cold War tensions and became a way to sample Western food and spirit for millions of people, even though the cost of a burger was several times bigger than the daily budgets of many city dwellers.

“Some might argue that providing access to food and continuing to employ tens of thousands of ordinary citizens is surely the right thing to do,” Chief Executive Chris Kempczinski said in a letter to employees. “But it is impossible to ignore the humanitarian crisis caused by the war in Ukraine.”


Though a vast majority of the stores in Russia are closed, a few franchised stores have stayed open, cashing in on the sky-rocketing popularity of McDonald’s.

Over the weekend, long queues were seen at the restaurant in Moscow’s Leningradsky Station, one of the capital’s only branches that was open, social media footage showed.

The company last year generated about 9%, or $2 billion, of its revenue from Russia and Ukraine.

RETAINS TRADEMARK
McDonald’s is looking to sell its restaurants to a local buyer and would not allow the stores to use its name, logo, branding and menu, retaining its trademark in Russia.

“It (trademark) gives them the option longer term to be able to re-enter the market,” Edward Jones analyst Brian Yarbrough said.


The company said it would ensure its 62,000 employees in Russia continue to be paid until the close of any transaction and that they have future jobs with any potential buyer.

McDonald’s restaurants are expected to start reopening under a new ownership in June, a source close to the company in Russia said.

“It is a hit for McDonald’s financially, but it shows that Western companies and brands are calculating that either they cannot do business in Russia or the costs, including reputational costs, are just too high,” Paul Musgrave, a political science professor at the University of Massachusetts, said.

Earlier in the day, French carmaker Renault said it would sell its majority stake in Avtovaz to a Russian science institute, as companies scramble to comply with sanctions and deal with threats from the Kremlin that foreign-owned assets may be seized.

Analysts expect more major brands to follow McDonald’s. Starbucks Corp and Coca-Cola Co have already paused operations in Russia.

“I would not be surprised to see other companies follow McDonald’s lead of exiting the market,” Edward Jones’ Yarbrough said.
 
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spaminator

Hall of Fame Member
Oct 26, 2009
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McDonald's to exit Russia after more than 30 years
The food chain has 847 restaurants in the country

Author of the article:Reuters
Reuters
Uday Sampath Kumar
Publishing date:May 16, 2022 • 20 hours ago • 2 minute read • 26 Comments

McDonald’s Corp on Monday became one of the biggest global brands to exit Russia, laying out plans to sell all its restaurants after operating in the country for more than 30 years following the invasion of Ukraine.


The world’s largest burger chain, which owns about 84% of its nearly 850 restaurants in Russia, will take a related non-cash charge of up to $1.4 billion following its sale.

McDonald’s had in March decided to close its restaurants in the country, including the iconic Pushkin Square location in central Moscow – a symbol of flourishing American capitalism in the dying embers of the Soviet Union.


The burger chain represented the thawing of Cold War tensions and became a way to sample Western food and spirit for millions of people, even though the cost of a burger was several times bigger than the daily budgets of many city dwellers.

“Some might argue that providing access to food and continuing to employ tens of thousands of ordinary citizens is surely the right thing to do,” Chief Executive Chris Kempczinski said in a letter to employees. “But it is impossible to ignore the humanitarian crisis caused by the war in Ukraine.”


Though a vast majority of the stores in Russia are closed, a few franchised stores have stayed open, cashing in on the sky-rocketing popularity of McDonald’s.

Over the weekend, long queues were seen at the restaurant in Moscow’s Leningradsky Station, one of the capital’s only branches that was open, social media footage showed.

The company last year generated about 9%, or $2 billion, of its revenue from Russia and Ukraine.

RETAINS TRADEMARK
McDonald’s is looking to sell its restaurants to a local buyer and would not allow the stores to use its name, logo, branding and menu, retaining its trademark in Russia.

“It (trademark) gives them the option longer term to be able to re-enter the market,” Edward Jones analyst Brian Yarbrough said.


The company said it would ensure its 62,000 employees in Russia continue to be paid until the close of any transaction and that they have future jobs with any potential buyer.

McDonald’s restaurants are expected to start reopening under a new ownership in June, a source close to the company in Russia said.

“It is a hit for McDonald’s financially, but it shows that Western companies and brands are calculating that either they cannot do business in Russia or the costs, including reputational costs, are just too high,” Paul Musgrave, a political science professor at the University of Massachusetts, said.

Earlier in the day, French carmaker Renault said it would sell its majority stake in Avtovaz to a Russian science institute, as companies scramble to comply with sanctions and deal with threats from the Kremlin that foreign-owned assets may be seized.

Analysts expect more major brands to follow McDonald’s. Starbucks Corp and Coca-Cola Co have already paused operations in Russia.

“I would not be surprised to see other companies follow McDonald’s lead of exiting the market,” Edward Jones’ Yarbrough said.
i heard the mcputin sucked. ;)
 

B00Mer

Keep Calm and Carry On
Sep 6, 2008
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Rent Free in Your Head
www.getafteritmedia.com
McDonald's to exit Russia after more than 30 years
The food chain has 847 restaurants in the country

Author of the article:Reuters
Reuters
Uday Sampath Kumar
Publishing date:May 16, 2022 • 20 hours ago • 2 minute read • 26 Comments

McDonald’s Corp on Monday became one of the biggest global brands to exit Russia, laying out plans to sell all its restaurants after operating in the country for more than 30 years following the invasion of Ukraine.


The world’s largest burger chain, which owns about 84% of its nearly 850 restaurants in Russia, will take a related non-cash charge of up to $1.4 billion following its sale.

McDonald’s had in March decided to close its restaurants in the country, including the iconic Pushkin Square location in central Moscow – a symbol of flourishing American capitalism in the dying embers of the Soviet Union.


The burger chain represented the thawing of Cold War tensions and became a way to sample Western food and spirit for millions of people, even though the cost of a burger was several times bigger than the daily budgets of many city dwellers.

“Some might argue that providing access to food and continuing to employ tens of thousands of ordinary citizens is surely the right thing to do,” Chief Executive Chris Kempczinski said in a letter to employees. “But it is impossible to ignore the humanitarian crisis caused by the war in Ukraine.”


Though a vast majority of the stores in Russia are closed, a few franchised stores have stayed open, cashing in on the sky-rocketing popularity of McDonald’s.

Over the weekend, long queues were seen at the restaurant in Moscow’s Leningradsky Station, one of the capital’s only branches that was open, social media footage showed.

The company last year generated about 9%, or $2 billion, of its revenue from Russia and Ukraine.

RETAINS TRADEMARK
McDonald’s is looking to sell its restaurants to a local buyer and would not allow the stores to use its name, logo, branding and menu, retaining its trademark in Russia.

“It (trademark) gives them the option longer term to be able to re-enter the market,” Edward Jones analyst Brian Yarbrough said.


The company said it would ensure its 62,000 employees in Russia continue to be paid until the close of any transaction and that they have future jobs with any potential buyer.

McDonald’s restaurants are expected to start reopening under a new ownership in June, a source close to the company in Russia said.

“It is a hit for McDonald’s financially, but it shows that Western companies and brands are calculating that either they cannot do business in Russia or the costs, including reputational costs, are just too high,” Paul Musgrave, a political science professor at the University of Massachusetts, said.

Earlier in the day, French carmaker Renault said it would sell its majority stake in Avtovaz to a Russian science institute, as companies scramble to comply with sanctions and deal with threats from the Kremlin that foreign-owned assets may be seized.

Analysts expect more major brands to follow McDonald’s. Starbucks Corp and Coca-Cola Co have already paused operations in Russia.

“I would not be surprised to see other companies follow McDonald’s lead of exiting the market,” Edward Jones’ Yarbrough said.

The Russians liked Western civilization.. now maybe the people might start causing civil disobedience and topple Putin and his regime
 

Twin_Moose

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Twin Moose Creek



 

spaminator

Hall of Fame Member
Oct 26, 2009
31,539
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McDonald's to exit Russia after more than 30 years
The food chain has 847 restaurants in the country

Author of the article:Reuters
Reuters
Uday Sampath Kumar
Publishing date:May 16, 2022 • 20 hours ago • 2 minute read • 26 Comments

McDonald’s Corp on Monday became one of the biggest global brands to exit Russia, laying out plans to sell all its restaurants after operating in the country for more than 30 years following the invasion of Ukraine.


The world’s largest burger chain, which owns about 84% of its nearly 850 restaurants in Russia, will take a related non-cash charge of up to $1.4 billion following its sale.

McDonald’s had in March decided to close its restaurants in the country, including the iconic Pushkin Square location in central Moscow – a symbol of flourishing American capitalism in the dying embers of the Soviet Union.


The burger chain represented the thawing of Cold War tensions and became a way to sample Western food and spirit for millions of people, even though the cost of a burger was several times bigger than the daily budgets of many city dwellers.

“Some might argue that providing access to food and continuing to employ tens of thousands of ordinary citizens is surely the right thing to do,” Chief Executive Chris Kempczinski said in a letter to employees. “But it is impossible to ignore the humanitarian crisis caused by the war in Ukraine.”


Though a vast majority of the stores in Russia are closed, a few franchised stores have stayed open, cashing in on the sky-rocketing popularity of McDonald’s.

Over the weekend, long queues were seen at the restaurant in Moscow’s Leningradsky Station, one of the capital’s only branches that was open, social media footage showed.

The company last year generated about 9%, or $2 billion, of its revenue from Russia and Ukraine.

RETAINS TRADEMARK
McDonald’s is looking to sell its restaurants to a local buyer and would not allow the stores to use its name, logo, branding and menu, retaining its trademark in Russia.

“It (trademark) gives them the option longer term to be able to re-enter the market,” Edward Jones analyst Brian Yarbrough said.


The company said it would ensure its 62,000 employees in Russia continue to be paid until the close of any transaction and that they have future jobs with any potential buyer.

McDonald’s restaurants are expected to start reopening under a new ownership in June, a source close to the company in Russia said.

“It is a hit for McDonald’s financially, but it shows that Western companies and brands are calculating that either they cannot do business in Russia or the costs, including reputational costs, are just too high,” Paul Musgrave, a political science professor at the University of Massachusetts, said.

Earlier in the day, French carmaker Renault said it would sell its majority stake in Avtovaz to a Russian science institute, as companies scramble to comply with sanctions and deal with threats from the Kremlin that foreign-owned assets may be seized.

Analysts expect more major brands to follow McDonald’s. Starbucks Corp and Coca-Cola Co have already paused operations in Russia.

“I would not be surprised to see other companies follow McDonald’s lead of exiting the market,” Edward Jones’ Yarbrough said.
Russians line up for final Big Mac ahead of McDonald's exit
Author of the article:Reuters
Reuters
Publishing date:May 17, 2022 • 22 hours ago • 3 minute read • Join the conversation

Russians lined up in a Moscow train station on Tuesday for what may be their last Big Mac from one of the few McDonald’s restaurants still open in the country.


The world’s largest burger chain is rolling down the shutters in Russia after more than 30 years, becoming one of the biggest global brands to leave following Moscow’s actions in Ukraine.

McDonald’s exit ends a chapter in the U.S. company’s history that began when it started serving its burgers in Russia as a symbol of American capitalism.

The company had already decided to temporarily close its restaurants in the country in March. They included the iconic Pushkin Square location in central Moscow, which broke global records when opening on Jan. 31, 1990, as more than 30,000 people queued around the block for Big Macs costing 3 roubles.


“McDonald’s operates in few places now,” said 32-year-old Irina, who was queuing at the branch in Moscow’s Leningradsky Station, from where trains head north to St. Petersburg. “I miss McDonald’s, so when I go to St Petersburg, I drop by and treat myself to a Big Mac.”


QUALITY CONTROL
McDonald’s plans to sell 84% of its nearly 850 restaurants in Russia to a local buyer. The future of the remaining restaurants, operated by franchisees, is unclear.

The new owners will not be allowed to use Mcdonald’s name, logo, branding and menu. That left some Russians worried that the quality will suffer.

“I read yesterday that McDonald’s was closing soon and opening under a new name, so I rushed here today to buy my favorite cheeseburger, milkshake and chips,” said Alla, 21. “What if the quality gets worse after the rebranding?”

The franchised restaurants remain open and have seen a pick up in business since McDonald’s closed its outlets.

“In accessible locations in the centre of Moscow and St. Petersburg we are seeing elevated demand,” franchisee Rosinter Restaurants said on Tuesday.


McDonald’s will retain its trademark in Russia, which analysts said left the door open for a return. In the meantime, restaurants will start reopening under new ownership and branding in June, a source close to the company said.

DRIVING 250KM FOR MCDONALD’S
In southern Russia and Siberia, some franchised outlets are still trading.

One man from southern Russia drove for two and a half hours to find an open restaurant, he said in an online review posted on Yandex on April 21.

“I came to this McDonald’s especially from Samara, only 250km,” the user wrote. “I remembered the atmosphere and happily dived into it.

“The food and burgers are just as tasty and flavourful,” he said. “Thank you for being relatively close by.”


The burger chain came to symbolize a thawing of Cold War tensions and was a way for millions of Soviet citizens to sample Western food and culture, even though the cost of a burger was several times bigger than the daily budgets of many city dwellers.

In the past few years, McDonald’s has became one of the most affordable, and quick, lunch options in Russia. Based on The Economist magazine’s Big Mac index, which shows purchasing power parity, the rouble was the most undervalued currency in early February 2022.

“Standing in a queue for a while is nothing to be afraid of, if one remembers how long we stood in the 90s, said Ivan Tumanov, 45, who was also waiting in line at Leningradsky Station. “Let’s remind ourselves today of a taste of the West.”
 

spaminator

Hall of Fame Member
Oct 26, 2009
31,539
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Russians line up for final Big Mac ahead of McDonald's exit
Author of the article:Reuters
Reuters
Publishing date:May 17, 2022 • 22 hours ago • 3 minute read • Join the conversation

Russians lined up in a Moscow train station on Tuesday for what may be their last Big Mac from one of the few McDonald’s restaurants still open in the country.


The world’s largest burger chain is rolling down the shutters in Russia after more than 30 years, becoming one of the biggest global brands to leave following Moscow’s actions in Ukraine.

McDonald’s exit ends a chapter in the U.S. company’s history that began when it started serving its burgers in Russia as a symbol of American capitalism.

The company had already decided to temporarily close its restaurants in the country in March. They included the iconic Pushkin Square location in central Moscow, which broke global records when opening on Jan. 31, 1990, as more than 30,000 people queued around the block for Big Macs costing 3 roubles.


“McDonald’s operates in few places now,” said 32-year-old Irina, who was queuing at the branch in Moscow’s Leningradsky Station, from where trains head north to St. Petersburg. “I miss McDonald’s, so when I go to St Petersburg, I drop by and treat myself to a Big Mac.”


QUALITY CONTROL
McDonald’s plans to sell 84% of its nearly 850 restaurants in Russia to a local buyer. The future of the remaining restaurants, operated by franchisees, is unclear.

The new owners will not be allowed to use Mcdonald’s name, logo, branding and menu. That left some Russians worried that the quality will suffer.

“I read yesterday that McDonald’s was closing soon and opening under a new name, so I rushed here today to buy my favorite cheeseburger, milkshake and chips,” said Alla, 21. “What if the quality gets worse after the rebranding?”

The franchised restaurants remain open and have seen a pick up in business since McDonald’s closed its outlets.

“In accessible locations in the centre of Moscow and St. Petersburg we are seeing elevated demand,” franchisee Rosinter Restaurants said on Tuesday.


McDonald’s will retain its trademark in Russia, which analysts said left the door open for a return. In the meantime, restaurants will start reopening under new ownership and branding in June, a source close to the company said.

DRIVING 250KM FOR MCDONALD’S
In southern Russia and Siberia, some franchised outlets are still trading.

One man from southern Russia drove for two and a half hours to find an open restaurant, he said in an online review posted on Yandex on April 21.

“I came to this McDonald’s especially from Samara, only 250km,” the user wrote. “I remembered the atmosphere and happily dived into it.

“The food and burgers are just as tasty and flavourful,” he said. “Thank you for being relatively close by.”


The burger chain came to symbolize a thawing of Cold War tensions and was a way for millions of Soviet citizens to sample Western food and culture, even though the cost of a burger was several times bigger than the daily budgets of many city dwellers.

In the past few years, McDonald’s has became one of the most affordable, and quick, lunch options in Russia. Based on The Economist magazine’s Big Mac index, which shows purchasing power parity, the rouble was the most undervalued currency in early February 2022.

“Standing in a queue for a while is nothing to be afraid of, if one remembers how long we stood in the 90s, said Ivan Tumanov, 45, who was also waiting in line at Leningradsky Station. “Let’s remind ourselves today of a taste of the West.”
im surprised they werent executed.
 
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Blackleaf

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Ukraine is the second-biggest country in Europe after Russia, 2.5 times bigger than the UK. Russia is also twice the size of Canada.

As a sense of scale, here's what the war would be like if Texas was where most of Ukraine is...

32fcb832-49b8-4c1b-b3a9-069e0e95f926-austin_kyiv_final-01.jpg
 
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