Germany's largest department store chain, Galeria Karstadt Kaufhof, announces the closure of 16 out of its 92 branches, resulting in the dismissal of 1400 employees. The company, which filed for bankruptcy earlier in January, has been attempting to overcome financial difficulties.
The consortium of American and German investors, NRDC Equity Partners and BB Kapital, has proposed a rescue plan that still needs approval from creditors. Galeria Karstadt Kaufhof, formed from the merger of Galeria Kaufhof and Karstadt under the Austrian Signa, faces challenges such as competition from online retailers and a somewhat outdated image.
Photo: Dreamstime.com
Source: NU.nl