An existing McDonald's licensee, Alexander Govor, who operates 25 restaurants in Siberia, has agreed to buy McDonald’s 850 Russian restaurants and operate them under a new name, the Chicago burger giant said Thursday. Last year, McDonald's Russian operations contributed 9% of the company's total annual sales, or around $2 billion. Govor, a licensee since 2015, has also agreed to retain McDonald’s 62,000 Russian employees for at least two years on equivalent terms. McDonald's owned 84% of its Russian stores, which gave it more control over operations than many of its rivals whose stores are owned by franchisees. Its franchisee in the country, Kuwait-based Alshaya Group, is continuing to pay its 2,000 Russian employees.

Source: ABC News May 19, 2022 18:25 UTC