AGC Inc. has announced that it has started considering transfer of AGC Group’s business in Russia.
AGC Group is mainly engaged in the architectural and automotive glass business in Russia. Amidst the uncertain situation in Russia, the Group has suspended investments in the country, including the periodic repair of glass manufacturing furnace, since March of last year.
AGC Group has since been carefully monitoring the situation up until now, keeping in mind its employees’ and customers’ best interest. The Group has now started considering transfer of its operations in Russia. The policy is to select a party that will continue to operate the business.
The business size of the Group’s Russian operations is shown in the table below. As announced, an impairment loss of JPY 13.6 billion to the fixed assets of this business has been recorded in the consolidated financial results for the fourth quarter of the fiscal year ending December 31, 2022 (October 1 to December 31, 2022).
The financial impact in case of the transfer has been incorporated into the full year consolidated financial forecast for the fiscal year 2023.
