PARIS L’Oreal Paris has stopped sending beauty products to Russian retailer L’Etoile due to non-payment, according to a news report.
L’Etoile, which operates more than 500 stores in Russia, is working with the beauty manufacturer in hopes of obtaining new terms and credit, Reuters reported. L’Oreal has not been supplying the Russian chain with products since the end of 2008 but the retailer has not yet run out of products.
“We are in talks to try to unlock the situation,” Georges Chichmanov, L’Oreal General Secretary in Russia, told Reuters. “Today, many Russian retailers are suffering from liquidity problems, and this of course could impact our sales.”