The Coca-Cola Company (NYSE:KO) announced the halting of its business operations in Russia, while rival PepsiCo Inc. (NASDAQ:PEP) is reportedly exploring several strategies on how to wind down its presence in the country.
What Happened: Atlanta-headquartered Coca-Cola issued a statement that denounced Russia’s invasion of Ukraine as spurring its decision.
“Our hearts are with the people who are enduring unconscionable effects from these tragic events in Ukraine,” the company said in the unattributed statement.
“We will continue to monitor and assess the situation as circumstances evolve.”
Regarding PepsiCo, the Wall Street Journal cited unnamed “people familiar with the matter” in reporting the Purchase, New York-based company was “exploring options for its business in Russia, including writing off the value of the unit.” Revenue from PepsiCo’s Russian unit was $3.4 billion in 2021, but writing off the unit would not have a negative effect on the company because, according to the Journal's sourcing, "it contributes little to PepsiCo’s earnings."
As of this writing, PepsiCo has not issued any public statement on its Russian business.
See Also: Why Is The Letter 'Z' A Symbol Of Support For Russia's Ukraine War?
What Else Happened: Joining the beverage companies in the corporate exodus from Russia is Yum! Brands Inc. (NYSE:YUM), the parent company of KFC, Pizza Hut and Taco Bell.
The company, which has 1,000 KFC locations and 50 Pizza Hut locations in Russia that are almost entirely owned and operated by franchisees, said in a statement on its website that it "suspended all investment and restaurant development in Russia while we continue to assess additional options."
Photo: Courtesy of Gregor Fischer on Flickr
