What's happened
Adidas has reached a settlement with Ye, formerly Kanye West, ending all legal disputes without financial exchanges. This follows the termination of their partnership in 2022 due to Ye's antisemitic remarks. The settlement coincides with Adidas' strong third-quarter performance, despite challenges in the U.S. market.
Why it matters
What the papers say
According to Business Insider UK, Adidas reported a 10% increase in currency-neutral revenues and a significant operating profit jump, indicating a positive trend for the company. CEO Bjørn Gulden emphasized the importance of maintaining momentum and building a solid platform for future growth. The Independent highlighted that the settlement with Ye involved no financial exchanges, allowing both parties to move on from their disputes. The Guardian noted that the partnership, once one of the most successful in sportswear history, ended due to Ye's antisemitic comments, which Adidas condemned at the time. BBC News reported that the remaining Yeezy stock will be sold by the end of 2024, with proceeds supporting anti-discrimination initiatives. Overall, the coverage reflects a consensus on the positive implications of the settlement for Adidas' future.
How we got here
Adidas ended its partnership with Ye in late 2022 after he made antisemitic comments, leading to significant financial losses for both parties. The company was left with over €1 billion in Yeezy inventory, which it has been selling off while donating proceeds to anti-discrimination initiatives.
Common question
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What Happened Between Adidas and Ye After Their Controversial Partnership?
The partnership between Adidas and Ye, formerly known as Kanye West, was once a hallmark of success in the sportswear industry. However, it ended dramatically due to Ye's controversial remarks. This page explores the aftermath of their split, including financial impacts, legal settlements, and ongoing brand implications for Adidas.
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Adidas AG is a German multinational corporation, founded and headquartered in Herzogenaurach, Germany, that designs and manufactures shoes, clothing and accessories.
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Kanye Omari West is an American rapper, record producer, and fashion designer.
Born in Atlanta and raised in Chicago, West was first known as a producer for Roc-A-Fella Records in the early 2000s, producing singles for several mainstream artists.
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Alexander Emric Jones is an American far-right radio show host, political extremist and conspiracy theorist. He hosts The Alex Jones Show from Austin, Texas, which the Genesis Communications Network syndicates across the United States and online.