Paint maker Tikkurila leaving Russia

ST. PETERSBURG. June 23 (Interfax) - PPG Industries Inc., which owns Finnish paint company Tikkurila, is leaving Russia due to the situation in Ukraine, Tikkurila said.

"Currently, we continue to make only a minimum amount of sales sufficient to generate enough local currency to pay [company] employees. We had previously ceased all sales to the Russian oil and gas industry, state-owned entities, parties that fall within the scope of recent regulations and the aerospace market," Tikkurila said, adding that it plans to donate net profits, if any, generated by its Russian operations in 2022 to nonprofit organizations providing direct humanitarian support.

"Due to our inability to sustainably operate even at this minimum level, PPG has taken the decision to activate options to exit Russia, including a possible sale or a controlled withdrawal from the Russia market," Tikkurila said.

Tikkurila, a major paint producer in Northern and Eastern Europe that has been part of U.S. group PPG Industries since June 2021, has plants in 11 countries. In Russia, the company has three production facilities, three training centers and ten warehouses, and about 1,000 employees as of the end of 2021. Tikkurila had an 18.5% share of the Russian decorative paints market last year.