The department store chain is to be restructured

Dusseldorf The department store operator Galeria Karstadt Kaufhof is preparing for the time after the insolvency proceedings with a new concept. As the Handelsblatt learned from business circles, not only is the number of branches to be drastically reduced, but the entire company is to be organized in a much more decentralized manner.

According to the information, the business model is to be changed in such a way that the management of the individual houses is given more decision-making authority. “You can no longer run this department store company with central control alone,” said an insider. The range of products in the individual branches will also be more differentiated from location to location in the future.

The company has not yet commented in detail on the future direction. For the second time in three years, Galeria is in protective shield proceedings under insolvency law.

The chief representative Arndt Geiwitz had already hinted at a conversion: “The goal of all measures must be to create a viable structure under changed conditions.” Geiwitz supports the Galeria management as a renovation expert.