PRESS: US brand Nike to leave Russia

MOSCOW, May 25 (PRIME) -- U.S. apparel and footwear producer Nike has not prolonged the franchising agreement with Inventive Retail Group (IRG), owning 37 outlets of the brand in Russia, Vedomosti business daily reported on Wednesday citing a letter of IRG CEO Tikhon Smykov.

“Nike has not prolonged the franchising agreement with IRG, which owns the largest in Russia monobrand chain of the U.S. retailer. It is said in a letter of IRG CEO Tikhon Smykov to his employees… He explains the decision by Nike’s inability to organize supplies to Russia ‘in the foreseeable future’,” Vedomosti reported.

“Due to operational difficulties, Nike has decided not to prolong its current and not to enter into new business relations, including UP&Run,” the newspaper quoted a representative of Nike.

End