McDonald’s Russia changes name after sale of US business

Former McDonald’s restaurants across Russia were preparing to reopen under a new brand on Friday, Reuters reported while noting that the US-based fast food chain sold its locations in Russia to a local licensee last month to support a boycott led by the United States. Russian business.

“McDonald’s iconic ‘Golden Arches’ have been dismantled at the Moscow and St Petersburg sites, where they will make way for a new logo featuring two fries and a burger patty on a green background. The reopening will initially cover 15 locations in Moscow and the surrounding region,” the news agency reported on June 10.

“The name of the new channel remains a closely guarded secret. The renaming of the McDonald’s app to ‘My Burger’ sparked some excitement online on Friday, but the chain’s press team said it was only temporary,” Reuters reported, citing a original report from Russia. RBC Daily newspaper.

“Some things change, but stable work is here to stay,” read a post on McDonald’s old smartphone app on June 10.

McDonald’s reached an agreement on May 19 to sell its entire restaurant portfolio to a local licensee named Alexander Govor. The deal was reached three days after the US-based multinational announced its intention to sell its business in Russia.

The company explained the decision in a May 16 press release, writing:

After more than 30 years of operations in the country, McDonald’s Corporation announced that it would leave the Russian market and started a process of selling its Russian business. This follows McDonald’s announcement on March 8, 2022, that it had temporarily closed restaurants in Russia and suspended operations in the market.

The humanitarian crisis caused by the war in Ukraine and the precipitating unpredictable operating environment have led McDonald’s to conclude that maintaining corporate ownership in Russia is no longer tenable, nor is it consistent with the values ​​of McDonald’s.

The US fast food chain’s departure from Russia followed in the footsteps of many Western and US-allied companies that abandoned operations in the country after its latest war with neighboring Ukraine launched on February 24. The US government began imposing financial sanctions on the Russians. individuals and entities on February 24 in reaction to the Kremlin’s latest conflict with Kyiv. The campaign continued to inspire US allies to impose their own economic sanctions on Moscow. This effort has further spurred general boycotts of Russian companies by Western companies, such as the one exercised by McDonald’s in recent days.

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Post expires at 4:12pm on Wednesday June 22nd, 2022