21 Apr 2022 09:27

Finland's Wartsila to write off 200 mln euros on assets, operations in Russia

ST. PETERSBURG. April 21 (Interfax) - Wartsila, a Finnish manufacturer of marine power equipment, plans to write off 200 million euros related to assets and business operations in Russia, the company said.

"We are complying with all current and will comply with all future trade sanctions applicable to our operations," the company said.

"In the current environment, it is not viable for Wartsila to maintain activities in Russia and therefore has decided to further downscale its Russian operations. Adjusting the operations will be done in accordance with local regulations. During this process our priority continues to be the safety and wellbeing of our employees," the company said.

Wartsila earlier suspended all deliveries, sales, orders, and bidding to Russia.

"All these actions regarding our business in Russia will also have a negative impact on Wartsila's operational financials," the company said. Russia related activities accounted for about 5% of Wartsila's net sales in 2021, of which service net sales were about 40 million euros.

Wartsila manufactures marine power and propulsion systems, power plants, marine control systems and other equipment. The company has more than 200 offices in 68 countries, including three offices in Russia with 750 employees. The company's net sales totaled 4.8 billion euros in 2021.