Adidas is to sell a second batch of Yeezy footwear, including some of its most popular lines, after sales from the first reduced expected annual losses for the company by €250m.
The German sportswear label said in May it would not destroy the unsold merchandise from its now-defunct Yeezy partnership with Kanye West, who changed his name to Ye in 2021, and would instead try to sell the stock and donate some of the proceeds to those harmed by the rapper’s comments.
Adidas has been stuck with millions of pairs of Yeezy shoes since last October when it cut ties with Ye after he made antisemitic comments on social media.
The debacle contributed to Adidas warning it expected its first annual loss in 31 years in 2023 after shutting down the label, which had generated €1.7bn (£1.5bn) in sales and close to €700m in operating profit in 2022.
The latest release of Yeezy product was announced just days after Adidas said that sales from a first batch, which took place between late May and early June, had reduced a potential write-off from remaining stock by €100m to €400m. The company now expects to report an operating loss of €450m in 2023, down from a previously predicted €700m.
Some reports suggested Adidas had received orders worth more than €500m for 4m Yeezy trainers from the first batch but had been unable to meet demand.
Vintage pairs of the Yeezy trainers can sell for thousands of pounds on specialist auction sites such as StockX, which said it had seen higher than usual demand since Adidas began selling its spare stock.
The sportswear label said the latest tranche of stock would be made available on its own digital platforms including its app and adidas.com as well as via some wholesale partners’ websites from 2 August. The release will include 2022 designs such as the Yeezy Boost 350 V2 and the Foam RNR .
Adidas has promised to hand over “a significant amount” of the proceeds from the sales to organisations working to combat discrimination and hate, including racism and antisemitism. It has not specified what proportion of profits will be donated.
The company said beneficiaries from the latest sale would include the Anti-Defamation League (ADL) and the Philonise and Keeta Floyd Institute for Social Change, and Robert Kraft’s Foundation to Combat Antisemitism (FCAS).
Some products sold in North America will also be delivered with FCAS blue badges.
Ye is also reportedly entitled to a previously agreed commission of 15% of turnover as a result of the sale.
