Adidas expects to lose over $770M after cutting ties with Kanye West's brand Yeezy in 2022.
The company does not intend to renew the partnership.
The German sportswear giant said that the loss was due to the adverse impact of the Yeezy deal being terminated.
- Adidas and West announced a partnership in 2013 to launch a new line of sneakers and clothing.
- The partnership proved to be a major success, as Yeezy became one of Adidas' most popular and profitable collaborations.
- However, Kanye West's controversial statements forced the company to terminate their partnership.
- Adidas' CFO, Harm Ohlmeyer, stated that the company's decision to end the Yeezy partnership would enable it to focus on its core brands.
- The Yeezy brand generated $1.3B in revenue in 2019, only four years after launching.
