Food giant Danone prepares to exit Russia

French food giant Danone has announced plans to sell its Russian operations. The development could cost the company 1 billion euros ($978 million). French milk and dairy products producer Danone is preparing to exit Russia. The company, which also owns Russia’s leading dairy brand Prostokvashino, generates about 5 percent of its total revenues from there. The company, which is preparing to sell its operations in Russia, will continue to export some specialty foods to Russia. According to a statement from the company, the sale could result in a loss of 1 billion euros. Following the Moscow government’s invasion of Ukraine in February, Danone, like many international companies, suspended investments in Russia. Some companies are continuing their operations. Nestle continues to import some products to Russia, while its British rival Unilever continues operations in its factories in Russia. Bernstein analyst Bruno Monteyne said, “The restrictions made it very difficult for the company to continue its operations. It was impossible to improve its operations.”