Rozetka Co-Owner Estimates Destroyed Warehouse Losses at $70M, Contents Not Included

A Ukrainian distribution center belonging to the country’s largest e-commerce retailer, Rozetka, which was destroyed in an overnight Russian attack on Aug. 5, was worth $70 million, according to the company’s co-owner, Iryna Chechotkina. The warehouse complex in Brovary was struck during a massive Russian attack on Kyiv and the Kyiv region overnight on Aug. 5, when three ballistic missiles hit the facility, Chechotkina wrote in Facebook. The high-capacity centre, which opened in early 2017, was processing more than 100,000 orders a day before it was damaged beyond repair, Chechotkina said.JOIN US ON TELEGRAMFollow our coverage of the war on the @Kyivpost_official. Speaking at a meeting with business leaders organized by the Verkhovna Rada, Chechotkina said that goods worth billions of hryvnias were also destroyed in the strike on the facility near Kyiv, Interfax-Ukraine reported. “If we talk about the recent destruction of my business, the warehouse alone cost $70 million,” Chechotkina said. Chechotkina noted that insurance companies are currently unprepared to cover losses of this magnitude. To help businesses recover, she urged the government to grant tax deferrals to affected companies. “All I can ask for now is the opportunity for tax deferrals so that we have the chance to recover. Because the losses are so colossal that without help we won’t have the ability to rebuild.” she said. Following the destruction of the facility, which employed over 1,000 people, Rozetka is optimising its workforce and accelerating a business model transformation, Chechotkina wrote in Facebook on Aug. 12. The retailer plans to significantly reduce its direct sales and focus heavily on developing its marketplace platform. Other Topics of Interest Zelensky Says 5% of US Patriot Missiles Could Save Ukraine This Winter Zelensky said Russian attacks now include several particularly heavy bombardments each month, leaving Ukrainian air defenses under increasing pressure. Founded in 2005, Rozetka is Ukraine’s largest e-commerce retailer and online marketplace, often referred to as the country’s Amazon. As a major taxpayer and employer, the company is vital to Ukraine’s supply chains and wartime economy.