Automatically translated version. May contain inaccuracies compared to the original.
Swiss food producer Nestlé has cautiously reacted to the external management imposed in Russia over two of its subsidiaries. The company called the management "temporary" and stated its intention to take necessary measures to protect its rights. French retailer Auchan, meanwhile, only requested clarification regarding the decree and continues to operate normally.
The company is assessing the situation, Deutsche Welle reports. Nestlé emphasized readiness to act for business continuity in the interests of all stakeholders, first and foremost its own employees.
"The company is evaluating the situation and possible courses of action. Nestlé is determined to take all necessary measures to protect its rights and ensure business continuity for the benefit of all stakeholders, especially its employees," reads the company's statement.
Who will run Nestlé's business in Russia
In Russia, Nestlé's subsidiaries will continue to be managed by the Russian firm "L.E.V. Management," registered in October 2024 in Moscow. The general director of the company is listed as Andriy Krayushkin. The full name and date of birth of the head of the firm match those of Major General Andriy Krayushkin of the Ministry of Internal Affairs—the former first deputy head of the migration department.
Spokesperson for Putin, Dmitry Peskov, said that this concerns only external management of assets. He explained that temporary management of Russian assets of Nestlé, Auchan, and Leroy Merlin was introduced because these companies originate from "unfriendly countries."
"These are unfriendly countries that are now most actively involved in military actions against our country. And countries that have been involved in strikes against our peaceful economic infrastructure," Peskov said.
What Auchan replied
The Russian subsidiary of the French company Auchan—OOO "Auchan"—sent a request for clarification of the decree after Putin's order, without specifying to whom exactly it was addressed.
"After receiving the relevant information, we will be able to provide a more detailed comment. As of today, the company and all its facilities continue to operate normally, with no changes," Auchan said.
Nestlé produces confectionery, baby food, animal feed, and other products at six plants in Russia. After Russia's full-scale invasion of Ukraine in 2022 year, the company did not stop operating in the country, explaining that there is a need for food for the population even in conflict zones. Some other foreign companies also came under state management in Russia and later sold their business—among them the French food producer Danone, the Danish brewing company Carlsberg, and the Dutch Heineken.
Earlier, Informator reported that the Ozon marketplace sold military goods for 290 million dollars in a year—the assortment covered 33 categories, from body armor and drones to optical sights, and part of the company's revenue was linked to a Putin-connected businessman. We also wrote that Europe is seeking a way to use frozen Russian assets and relieve Belgium of concerns—the idea is to move funds from the Belgian Euroclear depository under the control of a new EU custodian to remove legal risks for Brussels.
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