McDonald's permanently exits Russia after more than 30 years

Although McDonald’s became the symbol of the liberal spirit that helped end the Cold War, the international fast-food chain announced on Monday that it will permanently leave Russia after more than 30 years in the country.

The fast-food giant temporarily closed its 850 outlets in March, but said the decision to permanently pull out was made because of the "humanitarian crisis" and "unpredictable operating environment" caused by Russian President Vladimir Putin’s illegal war in Ukraine, CNN reported.

While many brands have left Russia since the war began on Feb. 24, McDonald’s announcement is especially significant as it ends an iconic three-decade long relationship with Moscow after the restaurant first opened its doors on Pushkin Square on January 31, 1990.

On the day the first location opened, more than 30,000 customers stood in line to get a taste of American-style fast food.

Just over a year later, the Soviet Union fell.

"This is a complicated issue that's without precedent and with profound consequences," said McDonald's CEO Chris Kempczinski in a message to staff and suppliers.

"Some might argue that providing access to food and continuing to employ tens of thousands of ordinary citizens, is surely the right thing to do," he added.

"But it is impossible to ignore the humanitarian crisis caused by the war in Ukraine. And it is impossible to imagine the Golden Arches representing the same hope and promise that led us to enter the Russian market 32 years ago."

On Monday, the company announced that it will sell all its sites to a local buyer and begin the process of “de-arching” the restaurants, removing the name, branding and menu. Officials have said that it will retain its trademarks in Russia, however.

In a statement, McDonald’s said it will prioritize paying its 62,000 employees in Russia until any sale was completed and noted that they had “future employment with any potential buyer.”

The company also noted that it would write off a $1.4 billion charge to cover its exit from its Russian investment.