Adidas credit downgraded by S&P as demise of Kanye West partnership sparks earnings concerns

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Adidas debt gets downgraded as end of Kanye West deal raises earnings concerns

S&P Global Ratings lowered its long- and short-term debt ratings on Adidas AG on Tuesday, citing deteriorating credit metrics in the wave of the termination of its partnership with Kanye West on the Yeezy product line.

Adidas is also facing competitive pressures in the key Chinese market, which accounted for 15.5% of total sales in the nine months through Sept. 30, as well as shrinking consumer demand in Western countries, said S&P. Adidas said that if it decides not to repurpose any of its existing inventory of Yeezy products, that would result in a write-off of an additional €500 million that would hurt its operating profit.For more: Adidas has a lot of Kanye West–designed Yeezy gear in its warehouses, and that could cost the company more than $1 billion

 

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I can't wait to buy more Adidas at a good price level. In the next 50 years adidas will be Adidas but who's Yeezy?

Go woke, go broke.

They knew they were dealing with a mentally unstable man that has spiraled numerous times. This was a partnership on their part built out of pure greed.

Go woke, go broke

That's going to cost them a lot of business

And how much in stock decline, we should know exactly how much they lost for being woke

Hahahahahah

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