BERLIN (dpa-AFX) - Adidas is currently looking into claims of 'compliance
violations' in China following the reception of an anonymous letter on June 7,
that accused local executives of embezzling 'millions of euros.'

According to Jiemian, a Chinese state media outlet, an anonymous group
identifying themselves as 'employees of Adidas China', sent the letter with the
allegations to the company's headquarters in Germany.

The letter, initially reported by Jiemian and widely shared on social media,
accused senior executives and multiple staff members of embezzlement, bribery
from suppliers in the form of cash and real estate, as well as kickbacks from
celebrities and advertising agencies, as detailed by the Financial Times on
Sunday.

In addition, one senior executive was accused of workplace bullying and
nepotism.

The whistleblowers warned that if Adidas failed to address the allegations
raised in the letter, they would escalate the issue to external media and legal
entities.

Adidas disclosed that it was collaborating with external legal advisors to
investigate the situation, as reported by news sources. In response to a query
from Reuters, Adidas emphasized its serious approach to potential compliance
breaches and its dedication to adhering to legal and internal standards in all
operating markets.

The company stated that further details would be provided once the investigation
concluded.



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