Nestlé insists there has been no "change of ownership" in its Russia business despite the Kremlin placing the Swiss giant's local assets under "temporary administration".
In an announcement yesterday (21 September), the Nestlé Group of Companies in Russia confirmed shares in its authorised capital had been "transferred" to the temporary management of Russian joint-stock company LEV Management.
However, Nestlé added that "this action does not constitute nationalisation of the company or a change of ownership" in its Russian subsidiary.
The statement follows a decree signed by Russian President Vladimir Putin last week that placed Nestlé Russia and Nestlé Kuban under state-directed administration.
Under the decree, the interests held by Société des Produits Nestlé and Nestlé Deutschland - both units of the wider Nestlé group - would be managed by LEV Management.
Nestlé said yesterday its "full commercial operations" in Russia continue and pledged to "unconditionally" fulfil obligations to customers, partners and employees.
The subsidiary also expressed confidence that cooperation with LEV Management would contribute to the company's "further development and improve ...