British American Tobacco (BAT), one of the world’s largest manufacturers of tobacco products, is ceasing its activities in Russia, the company said in a press release.
On Wednesday, the company announced that it was suspending investments in Russia.
“Today we have started the process of rapid transfer of our Russian business in full compliance with international and local legislation. In addition to continuing to pay salaries to our 2.5 thousand employees, we will do everything possible to ensure their work in the future. After the completion of the process, BAT will no longer be present in Russia,” the company said in a statement today.
The company adds that in light of the decision taken and the continuing uncertainty regarding Ukraine and Russia, BAT considers it reasonable to revise its forecasts of its activities. So, now she expects that the group’s revenue growth at a constant exchange rate will be from 2% to 4% by the end of the year.
Last year, Ukraine and Russia accounted for 3% of the group’s revenue and a slightly smaller share of adjusted profit from operations.
BAT was founded in 1902 in England. The company’s brand portfolio includes such brands as Lucky Strike, Pall Mall, Kent, Dunhill, as well as a number of brands specific to individual markets.