igforum.bio / adidas-plans-to-keep-selling-its-yeezy-products-but-without-the-kanye-west-branding-fortune - 146307
A
% Adidas plans to keep selling its Yeezy products—but without the Kanye West branding FortuneGreat ResignationInflationSupply ChainsLeadership Retail ·Adidas <h1>Adidas plans to keep selling its Yeezy product designs—just without the Kanye West branding</h1>BYKim Bhasin and BloombergOctober 26, 2022, 9:40 AM UTCA guest seen wearing a dark grey jogger pants from Urban Outfitters, white socks and beige Adidas Yeezy Foam shoes, outside the Nahmias show, during Paris Fashion Week on June 23, 2022 in Paris.Jeremy Moeller—Getty Images Adidas AG intends to sell existing Yeezy product designs using its own branding after ending its partnership with rapper and designer Ye, formerly Kanye West. Adidas management has indicated that it will start selling the products under the company’s brand at the beginning of next year, according to analysts at Morgan Stanley and RBC Capital Markets.
Ava White Moderator
access_time 5 minutes ago
% Adidas plans to keep selling its Yeezy products—but without the Kanye West branding FortuneGreat ResignationInflationSupply ChainsLeadership Retail ·Adidas

Adidas plans to keep selling its Yeezy product designs—just without the Kanye West branding

BYKim Bhasin and BloombergOctober 26, 2022, 9:40 AM UTCA guest seen wearing a dark grey jogger pants from Urban Outfitters, white socks and beige Adidas Yeezy Foam shoes, outside the Nahmias show, during Paris Fashion Week on June 23, 2022 in Paris.Jeremy Moeller—Getty Images Adidas AG intends to sell existing Yeezy product designs using its own branding after ending its partnership with rapper and designer Ye, formerly Kanye West. Adidas management has indicated that it will start selling the products under the company’s brand at the beginning of next year, according to analysts at Morgan Stanley and RBC Capital Markets.
thumb_up Like (38)
comment Reply (3)
share Share
visibility 159 views
thumb_up 38 likes
comment 3 replies
R
Ryan Garcia 1 minutes ago
That follows the dissolution of the lucrative tie-up, which Adidas has described as one of the indus...
H
Hannah Kim 2 minutes ago
In speaking to analysts, Adidas focused on the potential upside of dissolving its partnership — f...
Show 1 more replies
S
That follows the dissolution of the lucrative tie-up, which Adidas has described as one of the industry’s most successful ever, after Ye made antisemitic comments. “Looking ahead, on our understanding, the company will not sell any Yeezy-branded products and all Yeezy products will be branded under Adidas brand,” Morgan Stanley analyst Edouard Aubin said in a note to clients Tuesday. The company has already been under pressure from investors over weaker demand in China and production delays.
Scarlett Brown Member
access_time 4 minutes ago
That follows the dissolution of the lucrative tie-up, which Adidas has described as one of the industry’s most successful ever, after Ye made antisemitic comments. “Looking ahead, on our understanding, the company will not sell any Yeezy-branded products and all Yeezy products will be branded under Adidas brand,” Morgan Stanley analyst Edouard Aubin said in a note to clients Tuesday. The company has already been under pressure from investors over weaker demand in China and production delays.
thumb_up Like (24)
comment Reply (1)
thumb_up 24 likes
comment 1 replies
R
Ryan Garcia 2 minutes ago
In speaking to analysts, Adidas focused on the potential upside of dissolving its partnership — f...
S
In speaking to analysts, Adidas focused on the potential upside of dissolving its partnership — fewer expenses. “Adidas has the rights to existing Yeezy product designs and can sell these using Adidas branding (not Yeezy branding) following the termination of the Yeezy partnership, which Adidas intends to do” in the first quarter of next year, RBC analyst Piral Dadhania said in a note.
Sebastian Silva Member
access_time 6 minutes ago
In speaking to analysts, Adidas focused on the potential upside of dissolving its partnership — fewer expenses. “Adidas has the rights to existing Yeezy product designs and can sell these using Adidas branding (not Yeezy branding) following the termination of the Yeezy partnership, which Adidas intends to do” in the first quarter of next year, RBC analyst Piral Dadhania said in a note.
thumb_up Like (5)
comment Reply (0)
thumb_up 5 likes
M
“Speaking to the company, it believes it can limit the loss of revenues through this strategy, and will also save on expenses related to royalty and marketing fees no longer payable in 2023.” A spokesperson for Adidas didn’t immediately respond to a request for comment. In a statement Tuesday, Adidas condemned antisemitism and racism and said it would immediately end its relationship with Ye. The company said it would cease production of Yeezy-branded products and halt all payments to Ye and his businesses, but added that it’s the owner of the Yeezy design rights.
Madison Singh Member
access_time 16 minutes ago
“Speaking to the company, it believes it can limit the loss of revenues through this strategy, and will also save on expenses related to royalty and marketing fees no longer payable in 2023.” A spokesperson for Adidas didn’t immediately respond to a request for comment. In a statement Tuesday, Adidas condemned antisemitism and racism and said it would immediately end its relationship with Ye. The company said it would cease production of Yeezy-branded products and halt all payments to Ye and his businesses, but added that it’s the owner of the Yeezy design rights.
thumb_up Like (20)
comment Reply (1)
thumb_up 20 likes
comment 1 replies
L
Lily Watson 7 minutes ago
“Adidas is the sole owner of all design rights to existing products as well as previous and new co...
W
“Adidas is the sole owner of all design rights to existing products as well as previous and new colorways under the partnership,” the company said. Adidas expects to absorb a €250 million ($247 million) hit to earnings this year due to the Ye breakup. Yeezy’s agreement with Adidas was set to run through 2026.
William Brown Member
access_time 20 minutes ago
“Adidas is the sole owner of all design rights to existing products as well as previous and new colorways under the partnership,” the company said. Adidas expects to absorb a €250 million ($247 million) hit to earnings this year due to the Ye breakup. Yeezy’s agreement with Adidas was set to run through 2026.
thumb_up Like (28)
comment Reply (2)
thumb_up 28 likes
comment 2 replies
L
Lucas Martinez 19 minutes ago
Adidas shares fell 3.2% at the close of German trading. “We would expect to see further revenue, m...
L
Liam Wilson 15 minutes ago
Sign up for the Fortune Features email list so you don’t miss our biggest features, exclusive int...
S
Adidas shares fell 3.2% at the close of German trading. “We would expect to see further revenue, margin and earnings consensus downgrades following this latest installment of bad news at Adidas,” RBC’s Dadhania said. “We are doubtful whether Adidas will be able to fully compensate for loss of Yeezy profits in 2023 which is likely to weigh on sentiment further in our view.” Gap Inc., which cut ties with Ye last month and began to wind down its Yeezy Gap apparel line, said Tuesday that it would pull all remaining merchandise and shut down its dedicated website.
Sebastian Silva Member
access_time 24 minutes ago
Adidas shares fell 3.2% at the close of German trading. “We would expect to see further revenue, margin and earnings consensus downgrades following this latest installment of bad news at Adidas,” RBC’s Dadhania said. “We are doubtful whether Adidas will be able to fully compensate for loss of Yeezy profits in 2023 which is likely to weigh on sentiment further in our view.” Gap Inc., which cut ties with Ye last month and began to wind down its Yeezy Gap apparel line, said Tuesday that it would pull all remaining merchandise and shut down its dedicated website.
thumb_up Like (41)
comment Reply (3)
thumb_up 41 likes
comment 3 replies
M
Mason Rodriguez 15 minutes ago
Sign up for the Fortune Features email list so you don’t miss our biggest features, exclusive int...
N
Nathan Chen 14 minutes ago
Here’s how they’ve changed over time, and what they look like nowOctober 25, 2022BYErin PraterFi...
Show 1 more replies
E
Sign up for the Fortune Features email list so you don’t miss our biggest features, exclusive interviews, and investigations. <h3>Most Popular</h3>WellCOVID symptoms aren’t what they used to be.
Ella Rodriguez Member
access_time 7 minutes ago
Sign up for the Fortune Features email list so you don’t miss our biggest features, exclusive interviews, and investigations.

Most Popular

WellCOVID symptoms aren’t what they used to be.
thumb_up Like (10)
comment Reply (3)
thumb_up 10 likes
comment 3 replies
H
Henry Schmidt 5 minutes ago
Here’s how they’ve changed over time, and what they look like nowOctober 25, 2022BYErin PraterFi...
M
Madison Singh 4 minutes ago
Adidas plans to keep selling its Yeezy products—but without the Kanye West branding FortuneGreat ...
Show 1 more replies
G
Here’s how they’ve changed over time, and what they look like nowOctober 25, 2022BYErin PraterFinanceHousing market activity is crashing—and it threatens to push the U.S. into recession just like it did in 1981 and 2008October 25, 2022BYLance LambertSuccessI proudly wake up at 8:59 a.m., one minute before starting my remote work job. There are thousands like me, and we...October 23, 2022BYJane Thier
Grace Liu Member
access_time 16 minutes ago
Here’s how they’ve changed over time, and what they look like nowOctober 25, 2022BYErin PraterFinanceHousing market activity is crashing—and it threatens to push the U.S. into recession just like it did in 1981 and 2008October 25, 2022BYLance LambertSuccessI proudly wake up at 8:59 a.m., one minute before starting my remote work job. There are thousands like me, and we...October 23, 2022BYJane Thier
thumb_up Like (47)
comment Reply (2)
thumb_up 47 likes
comment 2 replies
J
James Smith 3 minutes ago
Adidas plans to keep selling its Yeezy products—but without the Kanye West branding FortuneGreat ...
C
Christopher Lee 4 minutes ago
That follows the dissolution of the lucrative tie-up, which Adidas has described as one of the indus...

Write a Reply

Similar Discussions