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Nestlé and Auchan respond to Russian external management of their units

2 min
Nestlé and Auchan respond to Russian external management of their units

This digest was compiled by AI from multiple sources — links to the originals are below.

Nestlé called the external management of its two Russian subsidiaries temporary on Friday, September 18, and said it would take necessary measures to protect its rights. Auchan's Russian unit requested clarification of the decree and said all its facilities continue to operate normally. The moves follow Vladimir Putin's decree transferring the Russian businesses of Nestlé, Auchan, and Leroy Merlin to external management.

Key Facts

  • Nestlé said on September 18 that external management of its two Russian subsidiaries is temporary and it will take necessary measures to protect its rights.
  • Russian firm L.E.V. Management, registered in Moscow in October 2024, is to manage Nestlé's Russian subsidiaries, with Andrei Krayushkin as its general director.
  • Auchan's Russian unit sent a request for clarification of Putin's decree and said all its facilities continue to operate normally.
  • Kremlin spokesman Dmitry Peskov said external management was introduced because the companies are from unfriendly countries involved in military actions against Russia.
  • Nestlé operates six plants in Russia producing confectionery, baby food, pet food, and other products, with its Russian business estimated at up to 1.7 billion Swiss francs.

Nestlé's Response

Nestlé called the external management of its two Russian subsidiaries temporary on Friday, September 18, and said it would take necessary measures to protect its rights. The company said it is assessing the situation and possible options, and is determined to take all necessary measures to protect its rights and ensure business continuity for all stakeholders, especially its employees. Nestlé's Russian subsidiaries are to be managed by Russian firm L.E.V. Management, registered in Moscow in October 2024, with Andrei Krayushkin as general director. According to Novaya Gazeta Europe, Krayushkin's full name and date of birth match those of Major General Andrei Krayushkin, former first deputy head of the Interior Ministry's migration department.

Auchan's Reaction

Auchan's Russian unit, OOO Auchan, sent a request for clarification of Putin's decree without specifying to whom it was addressed. The company told RBC that after receiving the relevant information it will provide a more detailed comment, and that all its facilities continue to operate normally without any changes.

Kremlin Justification

Kremlin spokesman Dmitry Peskov explained that temporary management was introduced in the Russian assets of Nestlé, Auchan, and Leroy Merlin because they are companies from unfriendly countries. Peskov said these countries are actively involved in military actions against Russia and in strikes by the Kyiv regime on Russia's peaceful economic infrastructure.

1 source

Time · lag behind first

Fri 18 Sep
DWbroke it