Swedens SKF to exit Russia, take 500 million SEK write-down

div classBodysc17zpet90 cdBBJodivpSTOCKHOLM Reuters Swedish bearings maker SKF said on Friday it would leave Russia and take a related writedown of 500 million crowns 52.4 million in the second quarter.p

pSales in Russia accounted for roughly 2 of the companys total sales in 2021.pdivdivdiv classBodysc17zpet90 cdBBJodiv

p“The Russian invasion of Ukraine has a severe effect on our operations in both Ukraine and Russia,” SKF CEO Rickard Gustafson said in a statement. “We have concluded that it is impossible for us to continue our operations in Russia, as the basis and stability for our business does not exist.” p

pSKF, which has about 270 employees in total in Russia, said it intended to divest the business “in a controlled manner” with the ambition of ensuring a future for its employees. p

pSKF, the worlds biggest maker of industrial bearings, has one factory in Russia that employs around 80 people and manufactures bearings for the railway industry.p

pSKF has 1,100 employees in Ukraine and the country accounted for less than 0.5 of sales in 2021. p

p1 9.5416 Swedish crownsp

p Reporting by Helena Soderpalm Editing by Johan Ahlander and Simon Johnsonp

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