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Mondelēz To Reopen War-Damaged Potato-Chip Plant In Ukraine

Mondelēz International plans to reopen a potato-chip plant on the outskirts of Kyiv, which was closed following Russia's invasion of Ukraine, a spokeswoman said.

The Oreo cookie maker will continue making repairs on the factory, which sustained serious damage in March, as it resumes production, she said in an email.

The plant, in Vyshhorod, makes the local brand of potato chip called Lyuks.

'Significant Damage'

Mondelēz's biscuit factory in Trostyanets, in the eastern region of Ukraine, remains closed after it suffered 'significant damage.'

Chicago-based Mondelēz International flagged in earnings releases that the impact of the war in Ukraine war on global commodities including wheat and oil will dent its annual profits by 3 cents per share and reduce its sales by $200 million.

The company, which owns the Cadbury brand, said it recorded $75 million in property, plant and equipment impairments from the war.

The Oreo plant - one of at least two Mondelēz factories in Ukraine, according to Mondelēz employees - was closed as soon as the war began, Mondelēz said in an emailed statement earlier this year.

Telecommunications Outages

On 1 April, Mondelēz, which makes Milka chocolate and other locally-branded biscuits in Europe, said telecommunications outages in the Trostyanets area have made it challenging to reach all of its employees.

The company said that is also working with Ukrainian authorities to resupply water and power to the area and is donating wheat and sugar to local non-governmental organisations.

Read More: Mondelēz Plans To Sell Trident, Dentyne Among Other Brands

News by Reuters, additional reporting and edited by Donna Ahern, Checkout. For more A-brand news, click here. Click subscribe to sign up for the Checkout print edition.

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Enjoy the most important stories from the world of Irish grocery retail, curated for you by our team of experts every week.
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