McDonald鈥檚 is closing its doors in Russia, ending an era of optimism and increasing the country鈥檚 isolation over its .

The Chicago burger giant confirmed Monday that it is selling its 850 restaurants in Russia. McDonald鈥檚 said it will seek a buyer who will employ its 62,000 workers in Russia, and will continue to pay those workers until the deal closes.

鈥淪ome might argue that providing access to food and continuing to employ tens of thousands of ordinary citizens, is surely the right thing to do,鈥� McDonald鈥檚 President and CEO Chris Kempczinski said in a letter to employees. 鈥淏ut it is impossible to ignore the humanitarian crisis caused by the war in Ukraine.鈥�

McDonald鈥檚 said it鈥檚 the first time the company has ever 鈥渄e-arched,鈥� or exited a major market. It plans to start removing golden arches and other symbols and signs with the company鈥檚 name. McDonald鈥檚 said it will also will keep its trademarks in Russia and take steps to enforce them if necessary.

McDonald鈥檚 said in early March that it was temporarily closing its stores in Russia but would continue to pay its employees. It was a costly decision. Late last month, the company said it was losing $55 million each month due to the restaurant closures. It also lost $100 million worth of inventory.

McDonald鈥檚 has also closed 108 restaurants in Ukraine and continues to pay its employees there.

Western companies have wrestled with , enduring the hit to their bottom lines from pausing or closing operations in the face of sanctions. Others have stayed in Russia at least partially, with .

French carmaker Renault said Monday in Russian car company Avtovaz and a factory in Moscow to the state 鈥� the first major nationalization of a foreign business since the war began.

Maxim Sytch, a professor of management and organizations at the University of Michigan鈥檚 Ross School of Business, said McDonald鈥檚 and others also face pressure from customers, employees and investors over their Russian operations.

鈥淭he era where companies could avoid taking a stance is over,鈥� Sytch said. 鈥淧eople want to be associated with companies that do the right thing. There鈥檚 much more to business __ and life __ than maximizing profit margins.鈥�

McDonald鈥檚 first restaurant in Russia , shortly after the fall of the Berlin Wall. It was a powerful symbol of the easing of Cold War tensions between the United States and Soviet Union, which would collapse in 1991.

Now, the company鈥檚 exit is proving symbolic of a new era, analysts say. Sytch, who lived in Russia when McDonald鈥檚 entered the market and remembers the excitement surrounding the opening, said the closing signifies a reversal to the Soviet era of isolation.

鈥淚t鈥檚 really painful to see the many years of gains on the democratic front being wiped out with this atrocious war in Ukraine,鈥� he said.

Kempczinski left open the possibility that McDonald鈥檚 could someday return to the Russian market.

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鈥淚t鈥檚 impossible to predict what the future may hold, but I choose to end my message with the same spirit that brought McDonald鈥檚 to Russia in the first place: hope,鈥� he wrote in his employee letter. 鈥淭hus, let us not end by saying, 鈥榞oodbye.鈥� Instead, let us say as they do in Russian: Until we meet again.鈥�

McDonald鈥檚 owns 84% of its restaurants in Russia; the rest are operated by franchisees. Because it won鈥檛 license its brand, the sale price likely won鈥檛 be close to the value of the business before the invasion, said Neil Saunders, managing director of GlobalData, a corporate analytics company.

McDonald鈥檚 said it expects to record a charge against earnings of between $1.2 billion and $1.4 billion over leaving Russia.

McDonald鈥檚 has more than 39,000 locations across more than 100 countries. Most are owned by franchisees 鈥� only about 5% are owned and operated by the company.

McDonald鈥檚 said exiting Russia will not change its forecast of adding a net 1,300 restaurants this year, which will contribute about 1.5% to companywide sales growth.

Last month, McDonald鈥檚 Corp. reported that it , down from more than $1.5 billion a year earlier. Revenue was nearly $5.7 billion.

Shares of McDonald鈥檚 closed Monday down $1 at $244.04.

David Koenig And Dee-ann Durbin, The Associated Press

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