French Food Company Danone To Dismiss Russian Dairy Business; Incur €1B Loss - Danone (OTC:GPDNF)

French food company Danone SA GPDNF has decided to initiate a process to transfer the effective control of its Essential Dairy and Plant-based (EDP) business in Russia.
The transaction could result in a write-off of up to €1 billion.
The company decided as it felt the best option to ensure long-term local business continuity for its employees, consumers, and partners.
In the first nine months of 2022, the EDP Russia business represented around 5% of Danone's net sales.
In March, the company said it would continue to produce essential dairy and infant nutrition products in Russia, Reuters reported.
Danone did not disclose to whom its Essential Dairy and Plant-based (EDP) division - which has 7,200 employees and 12 production sites - would be transferred.
The move comes after automaker Nissan Motor Co Ltd NSANY offloaded its assets to the Russian state, incurring a loss of $687 million.
Price Action: GPDNF shares closed higher by 1.97% at $46.55 on Thursday.