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US spirits producer posts $52 mln loss due to suspended operations in Russia

Brown-Forman, which owns the Jack Daniel's whiskey and Finlandia vodka brand, announced suspension of its operations in Russia in March

WASHINGTON, June 9. /TASS/. The US spirits producer Brown-Forman posted a $52 million non-cash impairment charge for its Finlandia brand name, according to the financial report released on the company’s website on Wednesday.

"During the fourth quarter, we recognized a $52 million non-cash impairment charge for our Finlandia brand name. The impairment reflects a decline in our long-term outlook for Finlandia due to our suspension of operations in Russia, a key market for the brand," the report said.

Brown-Forman, which owns the Jack Daniel's whiskey and Finlandia vodka brand, announced suspension of its operations in Russia in March.

On February 24, Russian President Vladimir Putin announced a special military operation based on a request from the heads of the Donbass republics, noting that Moscow had no plans to occupy Ukrainian territories. In response, the United States, the European Union, the United Kingdom and a number of other countries announced sanctions on Russian individuals and legal entities, while numerous foreign companies announced the suspension of operations in Russia.