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NO FRY ZONE: McDonald’s SHUTS all 850 stores in Russia 

McDONALD’S has said it is temporarily closing all of its 850 restaurants in Russia amid the country’s invasion of Ukraine. 

The closure is seen as “highly symbolic” as it was among the first American chain to enter the former Soviet Union three decades ago following the fall of the Berlin wall in 1989. 

When McDonald’s opened its first store in Moscow, in Jan. 31, 1990, it was hailed as a sign of the thawing Cold War. 

Thousands of Russians lined up before dawn to try hamburgers __ many for the first time. By the end of the day, 30,000 meals had been rung up on 27 cash registers, an opening-day record for the company.

When the store opened it was a “huge deal” in Moscow, even Russian President Yeltsin paid a visit to the first outlet behind the Iron Curtain.

The burger giant said it will continue paying its 62,000 employees in Russia “who have poured their heart and soul into our McDonald´s brand.” But in an open letter to employees, McDonald´s President and CEO Chris Kempckinski said closing those stores, for now, is the right thing to do.

“Our values mean we cannot ignore the needless human suffering unfolding in Ukraine,” Kempczinski said.

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Kempczinski said it’s impossible to know when the company will be able to reopen its stores.

“The situation is extraordinarily challenging for a global brand like ours, and there are many considerations,” Kempczinski wrote in the letter. 

The fast-food chain works with hundreds of Russian suppliers, for example, and serves millions of customers each day.

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McDonald´s has also temporarily closed 108 restaurants in Ukraine and continues to pay those employees.

McDonald’s could take a big financial hit because of the closures.

Unlike other big fast-food brands in Russia that are owned by franchisees including KFC, Pizza Hut, Starbucks and Burger King, McDonald´s owns 84% of its Russian locations.

In a recent regulatory filing, the Chicago-based company said its restaurants in Russia and Ukraine contribute 9% of its annual revenue, or around $2 billion last year.

Yum Brands, the parent company of KFC and Pizza Hut, said Monday that it is donating all of the profits from its 1,050 restaurants in Russia to humanitarian efforts. 

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It has also suspended new restaurant development in the country. Burger King said it is redirecting the profits from its 800 Russian stores to relief efforts and donating $2 million in food vouchers to Ukrainian refugees. 

Starbucks is also donating profits from its 130 Russian stores to humanitarian efforts.

McDonald’s said Tuesday it has donated more than $5 million to its employee assistance fund and to relief efforts. 

It has also parked a Ronald McDonald House Charities mobile medical care unit at the Polish border with Ukraine; another mobile care unit is en route to the border in Latvia, the company said.

More follows. 

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