Coca-Cola bottler halts Ukraine production and evacuates staff
The London-listed company added that it has scrapped its financial forecasts for the current year due to the conflict.
Your support helps us to tell the story
From reproductive rights to climate change to Big Tech, The Independent is on the ground when the story is developing. Whether it's investigating the financials of Elon Musk's pro-Trump PAC or producing our latest documentary, 'The A Word', which shines a light on the American women fighting for reproductive rights, we know how important it is to parse out the facts from the messaging.
At such a critical moment in US history, we need reporters on the ground. Your donation allows us to keep sending journalists to speak to both sides of the story.
The Independent is trusted by Americans across the entire political spectrum. And unlike many other quality news outlets, we choose not to lock Americans out of our reporting and analysis with paywalls. We believe quality journalism should be available to everyone, paid for by those who can afford it.
Your support makes all the difference.Coca-Cola Hellenic Bottling Company (HBC) has temporarily stopped production at its Kyiv factory and evacuated employees following Russia’s invasion of Ukraine.
The London-listed company, which has seen shares plunge in recent weeks due to its exposure to Russia and Ukraine, added that it has scrapped its forecasts for the current year due to the conflict.
Coca-Cola HBC generated roughly 20% of its sales volumes and profits in 2021 from Russia and Ukraine.
“The safety of our employees is our highest priority,” the company said in a statement.
We will update accordingly when we have greater visibility on the impact of the events in the Ukraine and Russia on our business
“We remain in constant contact with our people in Ukraine and Russia and are doing everything we can to support them.”
It said production at the Kyiv site was suspended on February 24 as the Russian invasion began.
The group told shareholders that the situation involving the two countries “has clearly developed further and faster than anticipated”.
Coca-Cola HBC said it is “still too early” to quantify the impact of the crisis and the developing reactions of international governments on the company’s operations.
The company said it believes it is therefore no longer prudent to provide financial guidance for the current year.
The drinks business said it is prepared to use actions to drive revenue growth, including price increases, to offset currency depreciation and rising input costs due to the conflict.
It is also ready to move marketing funds and capital expenditure investment to other markets, it said.
The company added: “We will update accordingly when we have greater visibility on the impact of the events in the Ukraine and Russia on our business.”
Shares in the company moved 4.1% lower in early trading.