EMEA Morning Briefing: Stocks to Fall; Focus on -2-

Adidas Warns of Losses Stemming From Yeezy Fallout

Adidas AG warned it could swing to a loss in 2023 should it fail to sell its inventory of Yeezy shoes, following the termination of its partnership with rapper Kanye West.

The German sportswear giant on Thursday said it expected sales to fall at a high single-digit rate in currency-neutral terms because of the "significant adverse impact of not selling the existing stock" from the once-lucrative Yeezy collaboration. This would lower revenues by 1.2 billion euros (about $1.29 billion), and operating profit by 500 million euros, it said.

South Africa President Declares State of Disaster Over Power Cuts

JOHANNESBURG-South African President Cyril Ramaphosa on Thursday declared a national state of disaster over the country's rolling power cuts and said he would appoint a minister of electricity to oversee the response to the outages, which have reached new records in recent weeks.

The power cuts-caused by constant breakdowns and lengthy maintenance shutdowns affecting South Africa's aging fleet of coal-fired power stations-have left households and businesses without electricity for as much as 11 1/2 hours a day over the past three months.

Elon Musk's Twitter Tenure Draws Criticism From Jack Dorsey

Twitter Inc. co-founder Jack Dorsey has joined a new social network, and he is using it to take aim at Twitter's new owner, Elon Musk.

Mr. Dorsey in recent weeks has been posting frequently on Nostr, a decentralized network that some have proposed as an alternative to Twitter. When Twitter suffered hourslong technical glitches Wednesday, Mr. Dorsey voiced frustrations on Nostr.

Yahoo to Lay Off 20% of Workforce

Yahoo Inc. will lay off 20% of its workforce by the end of the year, with nearly 1,000 positions being eliminated this week, the company said Thursday.

The company is overhauling and shrinking its advertising tech unit, and is the latest in a string of tech companies conducting layoffs in response to concerns about slowing economic growth, rising interest rates and high inflation.

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Expected Major Events for Friday

05:30/NED: Dec Manufacturing output

06:00/FIN: Dec Industrial Production

06:00/FIN: Dec Balance of Payments

07:00/NOR: Jan PPI

07:00/NOR: Jan CPI

07:00/DEN: Jan CPI

07:00/TUR: Dec Employment / Unemployment

07:00/UK: Dec UK trade

07:00/UK: Dec Index of production

07:00/UK: Dec Index of services

07:00/UK: 4Q Business investment in the UK: provisional results

07:00/TUR: Dec Industrial Production Index

07:00/UK: 4Q First quarterly estimate of GDP

07:00/UK: Dec Monthly GDP estimates

07:30/HUN: Jan CPI

08:00/SVK: Dec Industrial production

08:00/SVK: Dec Employment and average monthly wage in selected branches

08:00/SVK: Dec Turnover in selected branches of economy, incl Industry & Construction

08:00/AUT: Dec Production Index

08:00/CZE: Dec Import & export price indices

08:00/CZE: Jan CPI

09:00/ITA: Dec Industrial Production

09:00/BUL: Dec Industrial Production

09:00/BUL: Nov Trade with EU Member States - preliminary data

09:00/BUL: Dec Trade with third countries - preliminary data

09:00/EU: Jan Long term interest rates statistics

10:00/GRE: Dec Industrial Production Index

10:00/LUX: Jan CPI

11:00/POR: Jan CPI

12:30/UK: Jan NIESR Monthly GDP Tracker

15:59/UKR: Jan CPI

16:59/GER: Dec Balance of Payments

All times in GMT. Powered by Onclusive and Dow Jones.

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This article is a text version of a Wall Street Journal newsletter published earlier today.

(END) Dow Jones Newswires

02-10-23 0015ET