British luxury clothing brand Paul Smith ceased operations in Russia

The British luxury clothing chain Paul Smith has announced the cessation of work in Russia. The company stopped deliveries of goods to the country and terminated the contract with the Russian franchise partner. This was reported by the British newspaper Daily Mail.

According to Paul Smith, the company does not directly trade with Russia. According to him, for the last 20 years the business in Russia has been managed by a franchising partner.

“We demanded that these stores be closed, and now we have stopped all deliveries to the distributor,” the source said. According to him, the decision to allow Russian stores to trade on behalf of Paul Smith after the start of the military operation in Ukraine was a mistake.

The Paul Smith stores and online stores in Russia are operated by Bosco di Ciliegi, founded by businessman Mikhail Kusnirovich. The Bosco di Ciliegi network includes more than 200 mono-brand clothing and accessories stores, including Alberta Ferretti, Antonio Marras, Brooks Brothers, Gucci, ISAIA, Moschino and others, as well as jewelry and watches. Since 1992, the company has been renting the GUM building in Moscow, and it also has stores in historical shopping centers in Moscow, St. Petersburg and other cities.

Previously, Paul Smith refused to discuss its presence in Russia. She changed her mind under pressure from a campaign by the Moral Rating Agency lobby group against Western businesses that continued to operate in Russia. The group also called for British multimillionaire Paul Smith to be stripped of his knighthood.

According to the Daily Mail, two British luxury companies continue to operate in Russia: car manufacturer Rolls-Royce and lingerie brand Agent Provocateur.

Olesya Pavlenko