Business news from Ukraine

Business news from Ukraine

PHILIP MORRIS CEO: WAR MADE LOGISTICS DIFFICULT FOR US

The armed invasion of the Russian Federation into Ukraine had a strong impact on the operations of PJSC “Philip Morris Ukraine”, the tobacco company had the most difficulties with logistics, since its factory and the largest warehouses of products are located in the Kharkiv and Kiev regions, where active battles are now being fought with Russian invaders.

“You can imagine the difficulty we faced when it comes to logistics and delivery of the product. It took us two weeks to resume deliveries in 12 regions and the product is still quickly disappearing from the shelves. Some of our partners stop paying on contracts, so we have to to cover this at the expense of our reserves,” said Maxim Barabash, CEO of the company, in a blitz interview with the Interfax-Ukraine agency on Wednesday.

Philip Morris was able to reopen ten branded Iqos smoke-free food stores across the country in the past week, he said, and plans to open two more this week.

Barabash stressed that during the war with the Russian Federation, the company focuses on the safety of its employees.

“Those who work in stores and warehouses have an air raid shelter nearby. The rest of the teams work remotely, helping both in commercial and volunteer projects, for example, our colleagues with evacuation and delivery of humanitarian aid,” the CEO explained.

He recalled that Philip Morris International Inc. (PMI) in March took concrete steps to wind down the work of its branch in the aggressor country Russia: it stopped the planned investments and withdrew the current ones, namely the installation of a new line for the production of tobacco sticks for Iqos Iluma worth $150 million. In addition, the company canceled the launch of new commercial projects in 2022 and removed a number of cigarette brands from sales in Russia

“Currently, the company is working on options for a proper exit from the Russian market,” Barabash said about the corporation’s plans in the Russian Federation.

Philip Morris International, which includes PJSC “Philip Morris Ukraine”, is one of the world’s largest manufacturers of tobacco products. It produces cigarettes in more than 50 factories and sells them in 180 countries.

The company has been operating in Ukraine for more than 20 years, owns a factory in the Kharkiv region. More than 1.3 thousand people work at the company’s enterprises.

PJSC “Philip Morris Ukraine” in 2020 increased its net profit by 5% compared to 2019 – up to UAH 2.73 billion, assets increased by 18% over the year – up to UAH 11.51 billion, and retained earnings – by 55, 5%, up to UAH 7.79 billion.

ZELENSKY SIGNS DECREES RECALLING AMBASSADORS TO GEORGIA AND MOROCCO

President of Ukraine Volodymyr Zelensky said that he signed decrees on the recall of Ukrainian ambassadors due to the fact that “they are losing time on the diplomatic front” in the countries of their diplomatic mission against the backdrop of Russian aggression in Ukraine.
“There are those who work together with everyone for the defense of the state. In order for Ukraine to win its future. We appreciate the work of each such person. And there are those who waste time just to remain in office. Today I signed decree on the recall of such a person, on the recall of such an ambassador from Morocco. They also returned the ambassador from Georgia. With all due respect – there will be no weapons, there will be no sanctions, there will be no obstacles for Russian business – please look for another job,” Zelensky said in a statement. video message on Wednesday evening.
He also added that he expects concrete results in the coming days from the work of Ukrainian diplomats in Latin America, the Middle East, Southeast Asia and Africa.
“I expect the same results from military attachés every day. The diplomatic front is one of the key fronts. And everyone there must work as efficiently as possible to win and help the Ukrainian army. Just like every one of our defenders on the battlefield. So does everyone on the diplomatic front,” summed up the president.

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GERMAN FOREIGN MINISTER: WE ARE READY TO PROVIDE SECURITY GUARANTEES TO UKRAINE

German Foreign Minister Annalena Burbock said that Germany is ready to provide security guarantees to Ukraine after the end of the war, German media reported.

“If guarantees are needed, then Germany will also be there (among the countries guaranteeing Ukraine’s security – IF-U) and will give guarantees,” Burbock said in the “Menschen bei Maischberger” program on the ARD TV channel.

“We stand in full solidarity and 100 percent with Ukraine,” Burbock said, noting that this applies to both the peace talks and the more recent peace order.

However, as noted by Die Zeit, the minister admits that the negotiations between Ukraine and Russia are not such that a breakthrough could be expected near. According to Burbock, when the Russian side talks about guarantees or neutrality, they mean something completely different than the Ukrainian side.

As reported, on March 29, Ukraine proposed signing a new international treaty on security guarantees, which would include an article similar to Article 5 of the NATO Charter.

EDITORS AND OWNERS OF UKRAINIAN MEDIA HAVE CREATED HUMANITARIAN PROJECT “FIND LOVED ONES”

For the second month in our country there is a war. Millions of Ukrainians have become refugees, and the country’s largest cities have become a zone of active hostilities. In this situation, many families have been separated, people often lose contact with their closest relatives.
A team of journalists and media workers put forward an initiative to create a project to search for missing people “Find loved ones”.
We ask citizens whose relatives do not get in touch to send us all the information they have. We recommend using the following form:
1. Full name of the missing person;
2. Your contact details;
3. Photo of the missing person, description of special features;
4. Approximate place of the last stay of the missing person.
The project is non-commercial, all your appeals will be edited and published free of charge in the media.
We invite colleagues from the media to join the initiative!
The project coordinator is Maksim Urakin, deputy head of the Interfax-Ukraine news agency and publisher of the Open4Business project.
Please send information about the missing to e-mail maksim.urakin@gmail.com

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BIDEN TELLS ZELENSKY ABOUT PLANS TO PROVIDE UKRAINE WITH $500 MILLION IN FINANCIAL ASSISTANCE

US President Joe Biden, in a conversation with his Ukrainian counterpart Vladimir Zelensky, announced Washington’s plans to provide Ukraine with $500 million in direct financial assistance, according to a White House press release.
“President Biden informed President Zelensky that the United States intends to provide the Ukrainian government with $500 million in direct budget support,” the document says.
The two leaders also discussed how the US is working with allies and partners to identify additional opportunities to provide defense assistance to the Ukrainian military. It was also about how the United States is trying to “satisfy the basic needs of Ukraine in the field of security.”
In addition, Zelensky provided Biden with information on the state of negotiations between Ukraine and Russia, the press release also says.

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UKRAINE BECOMES FULL MEMBER OF EUROPEAN COOPERATION IN SCIENCE AND TECHNOLOGY ASSOCIATION

Ukraine has become a full member of the European Cooperation in Science and Technology (COST Association), the Ministry of Education and Science reports.
“COST reaffirms its solidarity with Ukraine and its people. We will continue to promote scientific activities for peaceful purposes while strongly condemning war and violence. COST, by providing networking opportunities for researchers and innovators, can be a powerful weapon against totalitarianism. Therefore, we call for international efforts to ensure the safety of Ukrainian innovators and researchers,” the association said in a statement, quoted by the Ministry of Education.
It is noted that among the strategic priorities of COST can be identified: the promotion and dissemination of advanced science and improvement; empowering and supporting young innovators and researchers; promoting interdisciplinary research for breakthrough science.
In addition, membership in this organization provides Ukrainian innovators and scientists with an additional opportunity to join the COST Actions research networks, which offer an open space for international collaboration of scientists, as well as give impetus to the progress of innovation and research.

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