By Joshua Kirby


Adidas AG will end its partnership with rapper and designer Kanye West and their joint Yeezy label immediately following a series of controversies, the German sportswear giant said Tuesday.

The decision will result in a drag of up to 250 million euros ($246.9 million) on the company's net profit for 2022, Adidas said, noting the high seasonality of the last quarter of the year.

The company said it will immediately end production of Yeezy-branded products and stop all payments to Mr. West, who also goes by the name Ye.

"Adidas does not tolerate antisemitism and any other sort of hate speech. Ye's recent comments and actions have been unacceptable, hateful and dangerous, and they violate the company's values of diversity and inclusion, mutual respect and fairness," Adidas said.

Earlier this month, the company said it was placing the partnership under review, despite repeated attempts to privately resolve attempts with Mr. West. The designer has criticised the company, as well as Chief Executive Kasper Rorsted personally, on his social media channels, and has also invited controversy with gestures and statements seen as racist and antisemitic.


Write to Joshua Kirby at joshua.kirby@wsj.com; @joshualeokirby


(END) Dow Jones Newswires

10-25-22 0657ET