Adidas Bribery Allegations Lead To Staff Exits In China
Portfolio Pulse from Shivani Kumaresan
Adidas AG (OTC:ADDYY) is facing internal turmoil due to a bribery investigation in its China operations, leading to the departure of two employees. The company received an anonymous letter alleging misconduct, which led to the identification and dismissal of staff members involved in unethical practices. Despite these issues, Adidas has increased its full-year revenue guidance.
June 26, 2024 | 5:59 pm
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Adidas AG is dealing with a bribery investigation in its China operations, leading to the departure of two employees. Despite the internal issues, the company has raised its full-year revenue guidance.
The bribery investigation and staff exits could negatively impact investor sentiment in the short term. However, the increase in full-year revenue guidance may offset some of the negative impact, leading to a neutral short-term price direction.
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