Adidas terminates partnership with Ye immediately

GERMANY: Adidas on Tuesday said it does not tolerate antisemitism and any other sort of hate speech and declared that the sportswear company had terminated any association with Ye (formerly Kanye West).

Antisemitism is hostility to, prejudice towards, or discrimination against Jews.

The company said Ye's recent comments and actions had been unacceptable, hateful and dangerous, and they violate the company's values of diversity and inclusion, mutual respect and fairness.

After a thorough review, the company said it had taken the decision to terminate the partnership with Ye immediately, end production of Yeezy-branded products and stop all payments to Ye and his companies. Adidas will stop the Adidas Yeezy business with immediate effect.

This is expected to have a short-term negative impact of up to EUR250 million on the company's net income in 2022, given the high seasonality of the fourth quarter.

Adidas is the sole owner of all design rights to existing products as well as previous and new colourways under the partnership.

The company said more information will be given as part of the company's upcoming third quarter (Q3) earnings announcement on November 9, 2022.