Coca-Cola HBC, the Greek stock with the highest capitalization, is staring at huge losses after The Coca-Cola Company’s decision to suspend operations in Russia.
That is not only because it risks losing some 20% of its sales volume and operating profits, but also because the group has significant production activity in Russia, with 10 factories, from Moscow to Vladivostok and from Saint Petersburg to Novosibirsk.
It is no coincidence the Greek group did not clarify in a statement on Wednesday whether it would suspend its operating units or not: “Following the recent statement by The Coca-Cola Company, according to which it is suspending its activity in Russia, we are cooperating closely for its implementation respecting its decision in full, and assessing carefully the best possible options for our employees, clients and suppliers in Russia,” read the CCHBC statement.
Asked by Kathimerini late on Tuesday whether it will suspend the operation of its production plants in Russia, the group did not respond. Sources say that after the inconclusive statement issued on Wednesday there will be no further declaration on the matter.
CCHBC has been active in Russia since 1994 and in 2001 it acquired from the parent company all its activities in the country.