Tadeu Marroco, CEO of British tobacco company British American Tobacco (BAT), said that the sale of assets in Russia was a “big blow” for BAT. The agency writes about this Reuters.
According to him, the deal was made at a price “far removed from the real value of the business.” The BAT director explained that the contract provides for the possibility of repurchase of the asset. However, it seems unlikely that BAT will use it due to the Russian authorities’ obligation to make a decision within two years.
BAT had previously sold its Russian business for an undisclosed amount. Experts estimate the company’s loss from leaving the Russian market at $1.2 billion. reportedIt plans to write off $31.5 billion in asset impairment charges in 2023, primarily due to acquired U.S. tobacco brands.
“This accounting change is primarily due to a number of US conventional tobacco brands that we have acquired, the carrying values and economic useful lives of which are now estimated over an estimated 30-year period,” BAT said in a statement.
BAT also plans to refocus on e-cigarettes and similar products and expects half of its revenue to come from this segment by 2035.
Carlsberg at the beginning of November was threatened Russia applied to the court and demanded compensation for Baltika.
former marketer guess famous tobacco brands leaving Russia
Source: Gazeta
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