Adidas CEO Bjorn Gulden revealed the company might be unable to sell roughly $320 million worth of unsold Yeezy shoes on Wednesday (November 8). According to the Associated Press, Gulden admitted the company could write off the remaining inventory after terminating its relationship with Kanye West.
“Right now, that is financially the worst case and it is a possibility,” Gulden told reporters on a conference call. “Currently, there is no decision.”
Adidas sold some of its Yeezy inventory via two releases in 2023. A portion of the profits were donated to the Anti-Defamation League and a charitable organization founded by Philonise Floyd, the brother of the late George Floyd. Gulden wanted Adidas to release more of its Yeezy stock in 2024 but did not know if it was feasible.
“We of course hope we can do more drops next year and we can get more value out of it and donate the proceeds,” he said. “But right now, financially, we haven’t made a decision and that’s why the outlook is the way it is.”
Adidas ended its partnership with Kanye in 2022. The company cut ties due to Ye’s antisemitic remarks. The company reported a $540 million loss following the split.
