Page 66 - UKRRptApr21

McDonald’s Ukraine plans to invest $42mn this year, creating 4,600 new jobs and opening restaurants in four new cities -- Ivano-Frankivsk, Bila Tserkva, Lutsk, and Khmelnytskyi -- Yuliya Badritdinova, McDonald's Managing Director, told reporters on March 31. The new jobs will be split between 1,500 at new restaurants and 3,100 at supplier companies. In addition to new cities, McDonald’s plans openings in Ukraine’s five most populous cities; Dnipro, Kharkiv, Kyiv, Lviv, and Odesa. Looking to 2022, the chain plans to open in Chernivtsi, Kropyvnytskyi, Mariupol, and Uzhgorod. McDonalds invested $25mn in 2020, opening five new restaurants, to bring the total number of stores to 98 in 21 Ukrainian cities. While the company maintained its restaurant payroll of 10,000, the number of customers decreased by 20% y/y and sales fell by almost 4% y/y, Badritdinova said at a press conference in Kyiv.
The number of Ukraine’s restaurants and cafes operating has decreased by 21% last year, to 14,700, from 18,600, said Olha Nasonova, the Director of Restaurants of Ukraine analytical centre, (Interfax-Ukraine). Repeated lockdowns and the absence of foreign tourists has cut turnover by 30%. The current lockdown will have a minimal impact because most restaurants have adapted to the restrictions, and some have closed.
Fozzy Group’s Silpo supermarket chain, is purchasing another Ukrainian store chain, Furshet, according to the Anti-Monopoly Committee. Silpo will buy 21 Furshet stores, raising the chain’s nationwide number to nearly 300. Silpo is still far behind its top rival, ATB-Market, which has over 1,000 stores. As Ukraine steadily moves away from traditional food markets, ATB opened 127 new stores last year.
Swedish retailer H&M plans to open its first store outside of Kyiv in Kharkiv in May. With the 2,100 square meter store in the new Nikolskiy shopping mall, H&M will have six stores in Ukraine after 18 months ago of its initial entry to the market. H&M Ukraine CEO Dominik Fantachino said: “We see a high interest in the H&M brand in the regions.”
McDonald's Ukraine was able to retain its existing staff of 10,000 workers and continued to expand its business during 2020, CEO of the company Yulia Badritdinova said at a press conference report Interfax Ukraine. Some UAH82mn were allocated for the purchase of personal protective equipment for workers and visitors. The CEO also said that over the last year, investments in the development of the company's chain amounted to UAH700mn ($25.1mn). "Five new restaurants had been opened. Now our chain consists of 98 restaurants in 21 cities of Ukraine," Badritdinova said. The first McDonald's in Ukraine was opened on May 24, 1997 in Kyiv. The chain is being developed by enterprise with foreign investment McDonald's Ukraine Ltd. According to the data of the Unified State Register of Legal Entities and Individual Entrepreneurs, MCD Europe Limited (100%, London, United Kingdom) is a foreign direct investment participant. The charter capital of McDonald's Ukraine Ltd. is UAH901.801mn as of February 2021.
9.2.6 Agriculture corporate news
66 UKRAINE Country Report April 2021 www.intellinews.com