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Pro-military symbols adorn shop windows of western brands in Moscow -Breaking

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© Reuters. On the window of De Beers on Petrovka Street, Moscow, Russia, May 8, 2022, decorations to commemorate Victory Day (which marks the 77th Anniversary of Russia’s victory over Nazi Germany during World War Two) can be seen. REUTERS

(Reuters) – Salvatore Ferragamo’s and De Beers brand stores had pro-military symbols on Monday to commemorate Russia’s annual Victory Day Parade. This shows how much control the high-end retailers don’t have over where their products are sold.

Russian affiliates continue to be able to sell merchandise through franchise agreements, even though many multinational retailers said they would cease or suspend trade in Russia following the deployment of tens-of thousands of troops by Moscow into Ukraine on February 24, 2014.

Moscow’s luxury goods company, Moscow Luxury Goods Ltd. has always been an important market in Russia.

Salvatore Ferragamo’s store at Stoleshnikov Alley was a pedestrianized shopping street just a stones throw from Bolshoi Theatre. It displayed decorations made in orange and black St. George ribbons, which are popular among Kremlin supporters.

Since 2014, when separatists from eastern Ukraine used the ribbon to show their support for Russia, the ribbon was first presented as an honor by Catherine the Great.

Russian luxury goods retailer Jamilco runs Ferragamo’s shops on a franchisor basis. Jamilco didn’t respond to our requests for comment.

Ferragamo’s Moscow branch flagship told staff that new collection deliveries have stopped but the franchise model means the branch can remain open.

Ferragamo stated on LinkedIn, March 11, that it does not operate or own any Russian retail stores and also doesn’t control third-party distributors selling its products.

It also stated that Russia had been barred from all its shipments since February. Ferragamo declined to comment Monday.

De Beers is another luxury store that displays similar decor. It’s also managed by a franchisee partner. De Beers is owned by Anglo American (LON) has announced that it will cease shipping goods to the country.

De Beers declined to comment.

While the St. George ribbon is not intended to be a direct symbol of support for Russia’s actions in Ukraine, it is part of wider recognition of the immense human losses the Soviet Union sustained during World War Two. This war is also known as the Great Patriotic War.

But, the pro-Western Moldovan parliament approved a law banning Russian symbols in military combat and including the ribbon on its list.

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