According to numerous world news reports, the Russian government has seized the assets of Nestlé and French retailer Auchan in the country, placing them under temporary control of a management firm in the wake of the ongoing Russian war with Ukraine.

Nestlé published a statement this morning saying it was assessing its options. The company operates six facilities in Russia, according to reports, with more than 7,000 employees there. According to 2021 figures, sales in Russia accounted for 2% of its total — roughly $2.4 billion (or 2 billion Swiss francs).

The presidential decree noted that it was making the move against the companies because they are from “unfriendly countries” actively involved in hostilities against Russia. L.E.V. Management has taken control of the assets.

“Nestlé is committed to taking all necessary steps to protect its rights and ensure continuity of business operations in the interests of all stakeholders, particularly its employees,” the company said in its statement this morning.

In March 2022, shortly after the war first began, Nestlé cut back production in Russia to only infant foods and veterinary and medical nutrition products, according to reports back then. That came after the prime minister of Ukraine at the time (Denys Shmyhal) asked Nestlé’s then-CEO Mark Schneider to cease all Russian operations. The company said afterward that it was not making a profit off its Russian operations, but reportedly did not want to take the “important food” items it was producing from the Russian people.

In July 2023, the Russian government seized the assets of the Russian subsidiaries of French yogurt maker Danone and Danish brewer Carlsberg.

Then, in August 2023, Heineken N.V. sold its Russian operations to Russia’s Arnest Group for 1 euro — and more than a year later, Unilever sold its Russian assets for 520 million euros to Arnest Group.

Auchan is a France-based retailer selling groceries, clothes, household goods and electronics across Europe.