Adidas Reports $441 Million in Lost Sales After Breakup With Kanye West and Yeezy Brand

Adidas, the German sportswear company, reported 400 million euros ($441 million) in lost sales in the first three months of the year due to its breakup with the rapper formerly known as Kanye West and his popular Yeezy shoe brand.

In a conference call on Friday, new CEO Bjorn Gulden said Adidas was “getting closer and closer to making a decision” on what to do with the 1.2 billion euros ($1.3 billion) worth of unsold Yeezy shoes. Gulden added that with “so many interested parties” involved in the discussions, no decision had yet been reached, but the “options are narrowing.”

The company ended its relationship with the rapper now known as Ye in October after he made antisemitic and other offensive comments on social media and in interviews. Adidas had been selling Yeezy shoes since 2015, and the brand had become a major part of the company’s business.

The decision to cut ties with Ye has cost Adidas dearly, but the company is now looking for ways to move forward. Gulden said Adidas is “getting closer and closer to making a decision” on what to do with the unsold Yeezy shoes and that the “options are narrowing.” He did not provide any further details on what those options might be.

Adidas is hoping to find a way to make the best of a difficult situation, and Gulden said the company is “working hard to make sure that we can come up with a solution that is beneficial for all parties involved.”