H&M has decided to initiate a process of winding down its business in Russia, as part of which it will reopen stores to sell remaining inventory, the Swedish clothing company said in a statement on Monday.
H&M Group has run operations in Russia since 2009. It paused all sales in the country in March. The decision made on Monday means the company will fully exit the country.
"Given current operational challenges and an unpredictable future, the company today announces that it has decided to initiate a process of winding down the business in the country," according to the statement released on the website of the group.
H&M will now focus on ensuring "a responsible wind down of operations and support all colleagues concerned" over the coming months, the statement said.
"As part of the winding down process, the intention is to temporarily reopen physical stores for a limited period of time to sell remaining inventory in Russia," the company said. The entire wind-down is expected to lead to costs for the group amounting to a total of approximately 2 bln Swedish kronas (around $192 mln).
