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The ongoing question of what Adidas will do with their unsold Yeezy stock has finally been answered. After their partnership ended with Kanye “Ye” West ended in the fall of last year over the rapper's problematic anti-Semitic comments, Adidas had tons of leftover Yeezys. Since then, they confirmed that they wouldn't destroy it, but would instead sell it and donate some of the money to the charities harmed by West's comments, per The Guardian.
Chief executive Bjorn Gulden shared his plans on Thursday, May 11. “Burning the goods is not the solution … What we are trying to do now over time is to sell parts of this merchandise and donate money to the organizations hurt by Kanye’s statements,” Gulden said.
However, Gulden continued, stating that when and who they will be donating to has yet to be determined. “When we will do that and how we will do that is not clear yet, but we are working on those things.”
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This unsold stock is worth approximately $1.3 billion, and the fact its been sitting in storage collecting dust contributed to Adidas’s first annual loss in 31 years. By selling the stock, the company could recuperate about half the loss. Ditching Yeezy wasn't a financially sustainable decision as the line was Adidas's most successful one, but the comments made by Kanye West were unforgivable.
Since the termination, the German sportswear company was hit with a class action lawsuit which claims that they knew about Ye’s problematic behavior for years. Although the company denies that, it's just another financial woe on top of another.
