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Business

Fast-Food Chains Stay Open in Russia, Mostly Quiet About Ukraine




McDonald’s has made no statement about the invasion. A company spokesman did not respond to questions about whether its restaurants in Russia were open, and how they are receiving supplies or handling payments. Global logistics and freight firms have halted shipments to Russia and access to critical international financial and payment systems is shut down in the country.

PepsiCo has also not made a statement about its operations in Russia, and spokesmen did not respond to multiple emails seeking comment. The company says on its website that it is the largest food and beverage manufacturer in Russia, has invested hundreds of millions of dollars in three manufacturing plants in the country. Last year, Russia accounted for $ 3.4 billion, or more than 4 percent, of PepsiCo̵[ads1]7;s $ 79.4 billion in revenues.

PepsiCo struck an agreement in the early 1970s that allowed Russia to bottle Pepsi, becoming the first American consumer product manufactured and sold in the Soviet Union. In exchange, a subsidiary company, which already marketed Soviet vodka, got the exclusive rights to also sell Soviet champagne, wine and brandy in the United States. In the late 1980s, the Soviets, in renewing their agreement with PepsiCo, gave it a fleet of ships.

In a statement to global employees on Friday, the chief executive of Starbucks, Kevin Johnson, condemned the “unprovoked, unjust and horrific attacks” on Ukraine by Russia.

Mr. Johnson added that the company would donate any royalties it receives from its operations in Russia to humanitarian relief efforts in Ukraine along with other financial contributions. On Saturday, a cheery website for Starbucks in Russia, which is operated by the Kuwaiti conglomerate Alshaya Group, showed the roughly 130 stores in the country open and operating with normal business hours.

Yum Brands, which has more than 1,000 KFCs and 50 Pizza Huts in Russia – all owned and operated by franchisees – said it was making financial donations to various humanitarian relief organizations.

As for the operations in Russia, the company said in a statement that it is “monitoring the evolving situation very closely” and that it was too early to discuss the impact.



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