By DAVID KOENIG

The Associated Press – More than three decades after it became the first American fast food restaurant to open in the Soviet Union, McDonald’s said Monday that it has started the process of selling its business in Russia, another symbol of the country’s increasing isolation over its war in Ukraine.

The company, which has 850 restaurants in Russia that employ 62,000 people, pointed to the humanitarian crisis caused by the war, saying holding on to its business in Russia “is no longer tenable, nor is it consistent with McDonald’s values.”

The Chicago-based fast food giant said in early March that it was temporarily closing its stores in Russia but would continue to pay its employees. Without naming a prospective Russian buyer, McDonald’s said Monday that it would seek one to hire its workers and pay them until the sale closes.

CEO Chris Kempczinski said the “dedication and loyalty to McDonald’s” of employees and hundreds of Russian suppliers made it a difficult decision to leave.

“However, we have a commitment to our global community and must remain steadfast in our values,” Kempczinski said in a statement, “and our commitment to our values means that we can no longer keep the arches shining there.”

As it tries to sell its restaurants, McDonald’s said it plans to start removing golden arches and other symbols and signs with the company’s name. It said it will keep its trademarks in Russia.

Western companies have wrestled with extricating themselves from Russia, 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 some facing blowback.

French carmaker Renault said Monday that it would sell its majority stake in Russian car company Avtovaz and a factory in Moscow to the state — the first major nationalization of a foreign business since the war began.

For McDonald’s, its first restaurant in Russia opened in the middle of Moscow more than three decades ago, 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’s exit is proving symbolic of a new era, analysts say.

“Its departure represents a new isolationism in Russia, which must now look inward for investment and consumer brand development,” said Neil Saunders, managing director of GlobalData, a corporate analytics company.

He said McDonald’s owns most of its restaurants in Russia, but because it won’t license its brand, the sale price likely won’t be close to the value of the business before the invasion. Russia and Ukraine combined accounted for about 9% of McDonald’s revenue and 3% of operating income before the war, Saunders said.

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

Its restaurants in Ukraine are closed, but the company said it is continuing to pay full salaries for its employees there.

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

McDonald’s 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’s reported that it earned $1.1 billion in the first quarter, down from more than $1.5 billion a year earlier. Revenue was nearly $5.7 billion.

By KELVIN CHAN

LONDON (AP) — Elon Musk said Friday that his plan to buy Twitter is “temporarily on hold” as he tries to pinpoint the exact number of spam and fake accounts on the social media platform, another twist amid signs of turmoil over the proposed $44 billion acquisition.

Musk has been vocal about his desire to clean up Twitter’s problem with “spam bots” that mimic real people and appeared to question whether the company was underreporting them.

In a tweet, the Tesla billionaire linked to a Reuters story from May 2 about a quarterly report from Twitter that estimated false or spam accounts made up fewer than 5% of the company’s “monetizable daily active users” in the first quarter.

“Twitter deal temporarily on hold pending details supporting calculation that spam/fake accounts do indeed represent less than 5% of users,” Musk said, indicating he’s skeptical that the number of inauthentic accounts is that low.

It wasn’t clear whether the issue could scuttle the deal. Musk later tweeted that he’s “still committed to acquisition.”

Neither Twitter nor Musk responded early Friday to requests for comment.

The issue of fake accounts on Twitter is not secret.

In its quarterly filing with the SEC, even Twitter doubted that its count of bot accounts was correct, conceding that the estimate may be low. “In making this determination, we applied significant judgment, so our estimation of false or spam accounts may not accurately represent the actual number of such accounts, and the actual number of false or spam accounts could be higher than we have estimated,” the filing says.

A review of Twitter filings with the U.S. Securities and Exchange Commission shows that the estimate of spam bot accounts and similar language expressing doubts about it have been in Twitter’s quarterly and annual reports for at least two years, well before Musk made his offer and it would have been known to him and his advisors.

Stock in both Twitter and Tesla swung sharply in opposite directions Friday, with Twitter’s stock falling nearly 6% and shares of Tesla, which Musk had proposed using to help fund the Twitter deal, jumping nearly 7% in trading before the opening bell.

Investors have had to weigh legal troubles for Musk, as well as the possibility that acquiring Twitter could be a distraction from running the world’s most valuable automaker. The proposed deal continued to pressure shares of Tesla, which had already fallen 16% this week.

The sharp jump in the price of Tesla shares before the opening bell Friday singled rising doubts that the acquisition of Twitter will take place.

Musk has already sold off more than $8 billion worth of his Tesla shares to finance the purchase.

Originally Musk had committed to borrowing $12.5 billion with Tesla stock as collateral to buy Twitter. He also would borrow $13 billion from banks and put up $21 billion in Tesla equity.

Last week, Musk strengthened the equity stake in his offer for Twitter with commitments of more than $7 billion from a diverse group of investors including Silicon Valley heavy hitters like Oracle co-founder Larry Ellison.

Money from the new investors cuts the amount borrowed on the value of Tesla stock to $6.25 billion, according to the filing. The Tesla equity share could go from $21 billion to $27.25 billion.

Wedbush analyst Dan Ives, who follows both Tesla and Twitter, said Musk’s “bizarre” tweet will lead Wall Street to either think the deal is likely falling apart, Musk is attempting to negotiate a lower deal price, or he is simply walking away from the deal with a $1 billion penalty.

“Many will view this as Musk using this Twitter filing/spam accounts as a way to get out of this deal in a vastly changing market,” Ives wrote.

He added that the Musk’s use of Twitter rather than a financial filing to make the announcement was troubling and “sends this whole deal into a circus show with many questions and no concrete answers as to the path of this deal going forward.”

Musk’s tweet comes a day after the social media company fired two of its top managers. Twitter said the company is pausing most hiring, except for critical roles, and is “pulling back on non-labor costs to ensure we are being responsible and efficient.”

In a memo sent to employees and confirmed by Twitter, CEO Parag Agrawal said the company has not hit growth and revenue milestones after the company began to invest “aggressively” to expand its user base and revenue.

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AP Business Writer Michelle Chapman in New York contributed to this report.

By KIM TONG-HYUNG and HYUNG-JIN KIM

SEOUL, South Korea (AP) — North Korea imposed a nationwide lockdown Thursday to control its first acknowledged COVID-19 outbreak after holding for more than two years to a widely doubted claim of a perfect record keeping out the virus that has spread to nearly every place in the world.

The outbreak forced leader Kim Jong Un to wear a mask in public, likely for the first time since the start of the pandemic, but the scale of transmissions inside North Korea wasn’t immediately known. A failure to slow infections could have serious consequences because the country has a poor health care system and its 26 million people are believed to be mostly unvaccinated. Some experts say North Korea, by its rare admission of an outbreak, may be seeking outside aid.

However, hours after North Korea confirmed the outbreak, South Korea’s military said it detected the North had fired three suspected ballistic missiles toward the sea. It was its 16th round of missile launches this year, in brinkmanship aimed at forcing the United States to accept North Korea as a nuclear power and negotiate sanctions relief and other concessions from a position of strength.

The official Korean Central News Agency said tests of virus samples collected Sunday from an unspecified number of people with fevers in the capital, Pyongyang, confirmed they were infected with the omicron variant.

In response, Kim called at a ruling party Politburo meeting for a thorough lockdown of cities and counties and said workplaces should be isolated by units to block the virus from spreading. He urged health workers to step up disinfection efforts at workplaces and homes and mobilize reserve medical supplies.

Kim said it was crucial to control transmissions and eliminate the infection source as fast as possible, while also easing inconveniences to the public caused by the virus controls. He insisted the country will overcome the outbreak because its government and people are “united as one.”

Despite the elevated virus response, Kim ordered officials to push ahead with scheduled construction, agricultural development and other state projects while bolstering the country’s defense posture to avoid any security vacuum.

North Korea’s state TV showed Kim and other senior officials wearing masks as they entered a meeting room, although Kim removed his mask to speak into a set of microphones. Still photos distributed by KNCA showed Kim unmasked and sitting at the head of a table where all other officials remained masked.

South Korea’s Unification Ministry, which handles inter-Korean affairs, couldn’t immediately confirm whether it was the first time state media showed Kim wearing a mask since the start of the pandemic. Kim has previously spoken to huge crowds without a mask as he praised the country’s earlier pandemic response, and his decision to be seen with a mask could be aimed at raising public vigilance.

North Korea, which has maintained strict anti-virus controls at its borders for more than two years, didn’t provide further details about its new lockdown. But an Associated Press photographer on the South Korean side of the border saw dozens of people working in fields or walking on footpaths at a North Korean border town — an indication the lockdown doesn’t require people to stay home, or it exempts farm work.

The measures described in state media and Kim’s declaration that economic goals should still be met could indicate that North Korea is focusing more on restricting travel and supplies between regions, analyst Cheong Seong-Chang at South Korea’s Sejong Institute said.

North Korea’s government has shunned vaccines offered by the U.N.-backed COVAX distribution program, possibly because they have international monitoring requirements.

Seoul’s Unification Ministry said South Korea is willing to provide medical assistance and other help to North Korea based on humanitarian considerations. Relations between the Koreas have deteriorated since 2019 amid a stalemate in nuclear negotiations and the North’s increasingly provocative weapons tests.

In Beijing, Chinese Foreign Ministry spokesperson Zhao Lijian said Beijing is offering North Korea help in dealing with the outbreak. North Korea has reportedly rejected previous Chinese offers of domestically developed vaccines.

Kim Sin-gon, a professor at Seoul’s Korea University College of Medicine, said North Korea is likely signaling its willingness to receive outside vaccines, but wants many more doses than offered by COVAX to inoculate its entire population multiple times. He said North Korea would also want COVID-19 medicines and medical equipment shipments that are banned by U.N. sanctions.

Omicron spreads much more easily than earlier variants of the coronavirus, and its fatality and hospitalization rates are high among unvaccinated older people or those with existing health problems. That means the outbreak could cause “a serious situation” because North Korea lacks medical equipment and medicine to treat virus patients and many of its people are not well-nourished, Kim Sin-gon said.

Ahn Kyung-su, head of DPRKHEALTH.ORG, a website focusing on health issues in North Korea, said North Korea’s admission of the outbreak is likely designed to press its people harder to guard against the virus as China, which shares a long, porous border with the North, has placed many of its cities under lockdown over virus concerns.

North Korea will also likely stress lockdowns, although the experience of China’s “zero-COVID” policy suggests that approach doesn’t work against the fast-moving omicron variant, said Leif-Eric Easley, a professor of international studies at Seoul’s Ewha Womans University.

“For Pyongyang to publicly admit omicron cases, the public health situation must be serious,” Easley said. “This does not mean North Korea is suddenly going to be open to humanitarian assistance and take a more conciliatory line toward Washington and Seoul. But the Kim regime’s domestic audience may be less interested in nuclear or missile tests when the urgent threat involves coronavirus rather than a foreign military.”

North Korea’s previous coronavirus-free claim had been disputed by many foreign experts. But South Korean officials have said North Korea had likely avoided a huge outbreak, in part because it instituted strict virus controls almost from the start of the pandemic.

Early in 2020 — before the coronavirus spread around the world — North Korea took severe steps to keep out the virus and described them as a matter of “national existence.” It all but halted cross-border traffic and trade for two years, and is even believed to have ordered troops to shoot on sight any trespassers who crossed its borders.

The extreme border closures further shocked an economy already damaged by decades of mismanagement and U.S.-led sanctions over its nuclear weapons and missile program, pushing Kim to perhaps the toughest moment of his rule since he took power in 2011.

North Korea had been one of the last places in the world without an acknowledged COVID-19 case after the virus first detected in the central Chinese city of Wuhan in late 2019 spread to every continent including Antarctica. Turkmenistan, a similarly secretive and authoritarian nation in Central Asia, has reported no cases to the World Health Organization, though its claim also is widely doubted by outside experts.

In recent months, some Pacific island nations that kept the virus out by their geographic isolation have recorded outbreaks. Only tiny Tuvalu, with a population around 12,000, has escaped the virus so far, while a few other nations – Nauru, Micronesia and Marshall Islands – have stopped cases at their borders and avoided community outbreaks.

North Korea’s outbreak comes as China — its close ally and trading partner — battles its biggest outbreak of the pandemic.

In January, North Korea tentatively reopened railroad freight traffic between its border town of Sinuiju and China’s Dandong for the first time in two years, but China halted the trade last month due to an outbreak in Liaoning province, which borders North Korea.

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Associated Press journalists Lee Jin-man in Paju, South Korea, Ken Moritsugu in Beijing and Nick Perry in Wellington, New Zealand, contributed to this report.