Mondelez Defends $1 Billion Russia Business as CEO Admits Taxes Help Fund Ukraine War
Updated
Updated · BBC.com · Jun 16
Mondelez Defends $1 Billion Russia Business as CEO Admits Taxes Help Fund Ukraine War
2 articles · Updated · BBC.com · Jun 16
Summary
Dirk Van de Put said Mondelez was right to stay in Russia after the 2022 invasion, even though he is "not pleased" its tax payments there help fund the war in Ukraine.
The CEO argued an exit could have cost thousands of jobs and led the Kremlin to confiscate Mondelez plants, keep selling its products and generate even more income for Russia.
Russia has produced $1 billion to $1.4 billion in annual sales for Mondelez since the full-scale invasion, though the company says it halted new investment and suspended advertising there.
Pressure has persisted from lawmakers: more than 70 British MPs last year urged Mondelez to sever Russian ties, saying continued operations cannot be justified as business as usual.
Mondelez says it remains committed to Ukraine too, operating two plants there, rebuilding one twice after strikes at a cost of tens of millions, and keeping staff employed with doubled pay.