French sporting giant Decathlon has backtracked on its decision to remain open in Russia, citing difficulty around “supply conditions” as the reason behind the move.
The move to shut stores comes following calls for a boycott of the sporting goods retailer after it decided to remain open, with Ukraine’s foreign minister among those calling for the company to suspend operations in Russia.
While its 60 stores will shut, Decathlon said it will continue to support its 2,500 staff in the nation.
Decathlon said: “In the dramatic context of Ukraine, we are following the evolution of events and particularly the situation of those directly affected.
“In strict compliance with international sanctions, Decathlon notes that the supply conditions are no longer met to continue its activity in Russia. Decathlon has to suspend the operation of its stores.”
The Mulliez family, which owns Decathlon, has also faced criticism for continuing the operations of its other businesses in Russia as other retailers shuttered stores in response to the ongoing conflict.
Supermarket Auchan employs 41,000 employees in 311 stores, while DIY chain Leroy Merlin operates 112 stores in Russia. The family was accused of profiting from the conflict after revealing plans for a Russian expansion following the departure of rivals from the market.
Auchan chief executive Yves Claude told Le Journal du Dimanche that leaving Russia would be “imaginable from the economic point of view but not from the human point of view”.
Auchan said: “Our job is to do everything we can to ensure that the inhabitants of our countries of operation have access to good quality food at an affordable price and thus meet the essential food needs of the civilian population.
“Abandoning our employees, their families and our customers is not the choice we have made.”
- Never miss a story – sign up to Retail Week’s breaking news alerts
No comments yet