At its annual meeting Thursday, the company confirmed plans to sell its remaining stock of Yeezy sneakers rather than destroy the merchandise. Adidas also told investors that an investigation into Ye’s workplace misconduct did not substantiate claims of harassment.
CEO Bjørn Gulden confirmed the brand will sell its remaining Yeezy inventory, with a portion of the sales going to charities.
The company announced an internal investigation failed to substantiate claims that Ye, formerly known as Kanye West, harrassed Adidas employees.
Key shareholders ultimately expressed their confidence in Gülden’s turnaround plan, which aims to reassert the brand’s credibility in performance sports products, and return to growth in China and North America.
The German sportswear giant’s partnership with Ye generated $1.7 billion in 2021, accounting for nearly 7 percent of its annual revenue. Now that the company has cut ties with the rapper, will it keep selling Yeezy designs?
Vogue-produced campaigns, streetwear tie-ups, fashion week events and special relationships with Off-White and Puma have helped Italian giant AC Milan infiltrate the industry where other teams have fallen short.