Adidas announced Wednesday it will continue to sell Ye’s shoe designs without the Yeezy name.
The move comes on the heels of the sportswear manufacturer ending its sneaker partnership with Ye, formerly known as Kanye West, last month after the musician’s anti-Semitic tirade.
“As publicly communicated on October 25, we had terminated the partnership with Ye immediately, ended production of Yeezy branded products and stopped all payments to Ye and his companies,” Adidas finance chief Harm Ohlmeyer sad during a Nov. 9 earnings call.
Ohlmeyer said the company is the sole owner of all Yeezy shoe design rights for existing and future colors and versions and that the company intends to make use of these rights as early as next year.
Ending the partnership cost Adidas more than $250 million in profit in 2022 and $500 million in lost revenue, the company said Wednesday.
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Selling the sneakers under Adidas’ own branding will save the company nearly $300 million in royalty payments and marketing fees, the company announced.
“Going forward, we will leverage the existing inventory with the exact plans being developed as we speak,” the CFO said.
The rapper-turned-fashion-designer began attracting public scrutiny of his antisemitic remarks last month after sending out a tweet that read “death con 3 on JEWISH PEOPLE,” with an apparent reference to the US military readiness condition scale known as DEFCON.
In the same tweet, which has since been removed by Twitter, he said: “You guys have toyed with me and tried to black ball anyone who opposes your agenda.”
Ye later doubled down on these comments in interviews with Chris Cuomo and Piers Morgan, although he told Morgan that he apologized for the “hurt and confusion” caused by his initial tweet. “Hurt people hurt people, and I was hurt,” he said at the time.
Several other major brands, including Gap, Foot Locker and Balenciaga, have cut ties with the Yeezy designer for his recent statements. The loss of Ye’s lucrative Adidas partnership alone has knocked him off Forbes’ billionaire list.
Natalie Neysa Alund covers trending news for . Reach her at email@example.com and follow her on Twitter @nataliealund.