Adidas AG will absorb a hit to earnings of up to €250 million ($247 million) to end its partnership with Ye following a rash of offensive behavior from the rapper and designer that turned a once-thriving shoe brand into a lightning rod for criticism.
The German sports company said it’s cutting ties with Ye, formerly Kanye West, with immediate effect, confirming an earlier story by Bloomberg News. By way of comparison, the blow to earnings this year would be equivalent to about a sixth of last year’s net income from continuing operations.
“Ye’s recent comments and actions have been unacceptable, hateful and dangerous, and they violate the company’s values of diversity and inclusion, mutual respect and fairness,” the company said in a statement.
