- Tampa zoo rushes Chompers the porcupine and others to safety as Milton nears
- Shanghai stocks pare early surge on stimulus worries amid Asia retreat
- New Japan PM to hold talks on ASEAN sidelines
- Record number of climbers chase 14-peak dream in Tibet
- Former South Korea clinic for US 'comfort women' to be demolished
- China holds off on fresh stimulus but 'confident' will hit growth target
- Chiefs battle past Saints to stay unbeaten
- Deal on climate aid hangs in balance at UN COP29 summit
- Royals hit back against Yankees, Tigers maul Guardians
- German suspect in 'Maddie' case faces verdict in sex crimes trial
- Top economic official 'confident' China will hit 2024 growth target
- COP29 fight looms over climate funds for developing world
- Shanghai stocks soar to extend stimulus rally amid Asia-wide drop
- Australia moves to expand Antarctic marine park
- Tragedy of Madrid street sweeper highlights how heatwaves kill
- Survivors wait for aid as Trump's lies help cloud Helene response
- Fleeing Israeli bombs, Lebanon's displaced met with suspicion
- Jila Mossaed, from refugee poet to Swedish Academy
- Will Tesla's robotaxi reveal live up to hype?
- Drugs, people smuggling at heart of Mexico's raging violence
- 'Invisibility' and quantum computing tipped for physics Nobel
- Musk says he is 'all in' on Trump in US election
- Category 5 Hurricane Milton roars towards storm-battered Florida
- Carpenter bomb stuns Guardians as Tigers level series
- Harris, Trump and Biden mark Oct. 7 attacks as US election looms
- Oil prices extend gains on Mideast tensions, Wall Street falls
- US judge orders Google to open Android to rival app stores
- On attacks anniversary, Israel fights 'sacred' multi-front war
- Nobel scientist uncovered tiny genetic switches with big potential
- Grammy-winning Cissy Houston, mother of Whitney, dies at 91
- UN biodiversity summit in Colombia aims to turn words into action
- Georgia Supreme Court reinstates six-week abortion ban
- 'Dark day': Victims mourned around the globe on Oct. 7 anniversary
- On attacks anniversary, Israel fights multi-front war
- Mexican mayor murdered days after taking office
- Intensifying to Category 5, Hurricane Milton targets Florida
- Mission to probe smashed asteroid launches despite hurricane
- Biden, Harris mark Oct. 7 with call for Mideast peace
- Dupont set for Toulouse return after post-Olympic holiday
- French rugby bosses tighten discipline after nightmare Argentina tour
- Oil prices extend gains on Mideast tensions, Wall Street slips
- Visitors to get rare view of Rome's Trevi Fountain
- Europe's asteroid mission Hera launches despite hurricane
- Man City and Premier League both claim victory in legal case
- Deschamps delight as 'light back on' for Pogba after doping ban
- Biden, Harris urge Mideast peace on Oct. 7 anniversary
- Neeskens, tough midfielder in Cruyff's Ajax and Dutch teams
- UN warns world's water cycle becoming ever more erratic
- Oil prices extend gains on Mideast tensions, Wall Street retreats
- Ex-Dutch football star Johan Neeskens dies
RBGPF | 100% | 60.52 | $ | |
SCS | -0.15% | 12.95 | $ | |
AZN | -0.78% | 76.87 | $ | |
NGG | -1.56% | 65.48 | $ | |
RIO | -0.11% | 69.62 | $ | |
CMSC | -0.53% | 24.57 | $ | |
RYCEF | -0.15% | 6.87 | $ | |
GSK | -0.49% | 38.63 | $ | |
VOD | 0.31% | 9.69 | $ | |
BTI | -0.26% | 35.2 | $ | |
BCE | -0.54% | 33.53 | $ | |
RELX | -0.54% | 46.04 | $ | |
JRI | -0.76% | 13.18 | $ | |
BCC | 1.68% | 141.27 | $ | |
CMSD | -0.09% | 24.79 | $ | |
BP | 0.78% | 33.14 | $ |
Adidas shares slide following China corruption claims
Adidas shares slid Monday as the German sportswear giant said it was investigating alleged bribery in China after senior employees were reportedly accused of embezzling huge sums.
It is another blow to the group, which has been betting on healthy business in key market China this year as it seeks to recover from the tumultuous end of its lucrative tie-up with rapper Kanye West.
The bribery claims emerged at the weekend when the Financial Times reported that an anonymous letter, allegedly written by "employees of Adidas China", named several Chinese staff members.
In a statement Adidas said that in June it "received an anonymous letter indicating potential compliance violations in China".
The group takes such allegations "very seriously and is clearly committed to complying with legal and internal regulations and ethical standards in all markets where we operate," it said.
"Adidas is currently intensively investigating this matter together with external legal counsel."
Shares in the outfitter slid more than four percent on Frankfurt's blue-chip DAX index before winning back some ground to end the day 2.6 percent lower.
According to the Financial Times, those accused included one of the company's executives involved with Adidas's marketing budget in China, which it said stood at 250 million euros ($268 million) a year.
Another Adidas China manager is said to have received "millions in cash from suppliers, and physical items such as real estate", according to the paper.
The letter, which was posted this month on the Chinese social media platform Xiaohongshu, was no longer visible on the website at the weekend, but a purported copy, the authenticity of which AFP was unable to verify, was posted on several accounts.
Company insiders quoted by the paper said the letter did not provide evidence for the allegations but appeared well-informed about confidential internal issues.
- Kanye woes -
China was traditionally a hugely important market for Adidas but its business in the world's second-biggest economy was hit hard during long-running coronavirus lockdowns.
The group's Greater China sales had however been recovering strongly, growing eight percent last year, and it was forecasting double-digit growth in 2024.
But the corruption allegations "could jeopardise the goal of finally regaining a foothold in (China) after the massive slumps of the past four years," warned Juergen Molnar, an analyst at RoboMarkets.
The rebound in China had been a much-needed boost after Adidas in 2022 ended its lucrative tie-up with West following an outcry over his anti-Semitic comments.
Adidas had developed the popular line of Yeezy trainers with West, and the end of the partnership contributed to the group reporting its first annual loss in over 30 years in 2023.
However in recent months the company had been returning to a better financial footing.
Th.Berger--AMWN