Zara owner Inditex halts trading in Russian stores and online platform

Zara owner Inditex has joined the growing list of Western companies to suspend its operations in Russia, closing its 502 stores and stopping online sales.

The Spanish fashion giant is the latest company to suspend operations and impose sanctions on Russia following the invasion of Ukraine. The 502 stores include 86 outlets of its biggest brand Zara, as well as its Bershka, Massimo Dutti and Pull & Bear brands.

Russia contributes to around 8.5% of the company's global EBIT (earnings before interest and tax). According to Inditex, all its stores in Russia are leased, and the total investment in the country is not financially significant.

Inditex said in a statement: "In the current circumstances Inditex cannot guarantee the continuity of the operations and commercial conditions in the Russian Federation and temporarily suspends its activity."

Inditex added that it would provide its Russian Federation employees of more than 9,000 people with a "special support plan", without giving any details. The group also confirmed the temporary closure of its 79 stores in Ukraine.