Adidas says it nonetheless plans to sell Yeezy designs — simply with a different name.
The shoe and attire model introduced its intentions to maintain promoting Yeezy merchandise — which had been created by Ye, previously generally known as Kanye West — in a quarterly earnings name Wednesday.
“I can confirm that Adidas is the sole owner of all design rights related to existing product, as well as previous and new colorways under the partnership,” Adidas Chief Financial Officer Harm Ohlmeyer stated through the name. “We intend to make use of these rights as early as 2023.”
“Going forward we will leverage the existing inventory with the exact plans being developed as we speak,” Ohlymeyer added.
The announcement comes after Adidas stated final month that it couldwith the rapper after he made . In an Otcober 25 press launch, the company stated it could “end production of Yeezy branded products and stop all payments to Ye and his companies.”
The Germany-based company stated it could be taking a loss as a results of terminating its relationship with Ye and Yeezy branded merchandise.
“This is expected to have a short-term negative impact of up to 250 million euros on the company’s net income in 2022 given the high seasonality of the fourth quarter.”
However, in Wednesday’s quarterly earnings name, Ohlmeyer stated it could make up for these losses by persevering with to sell the merchandise with out the additional prices that include a partnership.
“We will save over 300 million euros related to royalty payments and marketing fees,” he stated. “This will help us to compensate the vast majority of the top and the bottom line impact in 2023.”
Ye designed the Yeezy line in a partnership with Adidas that started in 2015 with the Boost 750 shoe. Since his antisemitic feedback, the singer has been dropped by a number of different manufacturers he partnered with, together withand Balenciaga.
On Tuesday, Adidas announced it will be led by a new CEO beginning subsequent year. The present CEO, Kasper Rorsted, will be succeeded by Puma’s Bjørn Gulden, who’s credited with turning across the company and growing its gross sales.