374:
390:. In 1932 Rudolph Karstadt stepped down from the management of the company following the dramatic decline in sales which accompanied the global economic crisis. A restructuring plan included a reduction in the share capital and the closure of numerous branches and production facilities; Epa AG was sold. In the 1930s the company suffered under the ideological reservations about department stores held by National Socialism. Such stores were generally perceived as a "Jewish invention" and were subject to widespread repression. Karstadt AG had to dismiss 830 Jewish employees, including four board members and 47 branch managers.
582:
stores including KaDeWe in Berlin, Alsterhaus in
Hamburg and Oberpollinger in Munich. Four years ago the Chairman René Benko successfully opened an Austrian chain of department stores which could serve as an example for Karstadt. On 19 August 2014 an ad-hoc statement from Karstadt Warenhaus GmbH announced that the company's former Labour Relations Director and Head of Personnel Kai-Uwe Weitz who, together with the Finance Director Miguel Müllenbach, had been provisionally managing Karstadt since the departure of Eva-Lotta Sjöstedt in July, was also immediately leaving the company "by mutual agreement".
504:
964:
491:. In October 2007 the Handelsblatt reported that Karstadt was considering taking over the Kaufhof department stores from Metro AG, a deal which would have made the company Europe's second-largest department store group after Spain's El Corte Inglés. In 2008 Gravis announced the abandonment of its unprofitable cooperation with Karstadt in two pilot stores in Düsseldorf and Lübeck which had originally been envisaged for all 90 stores. In the same year Karstadt started cooperating with the fashion designers Kaviar & Gauche and Kostas Murkudis.
329:
228:
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402:, the stores to the east of the Oder and the Neiße, in Königsberg (East Prussia), Cranz (East Prussia), Neustettin (Pomerania), Stettin (Pomerania) and Guben (East Brandenburg) were expropriated – as were those in the Soviet Occupation Zone (including Schwerin, Leipzig, Potsdam, Halle and Görlitz). More than 30 of the remaining 45 stores in the West – including the then "flagships" in Berlin-Kreuzberg (Hermannplatz) and Hamburg (Mönckebergstraße) – had been destroyed or severely damaged.
515:
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602:. In 1932, it moved to Berlin, first in a new building on the then Königstraße, near Alexanderplatz. In 1936, the headquarters moved again, to a new "tailor-made" headquarters on Fehrbelliner Platz, designed by Philipp Schaefer. The structure was seized first by the SS in 1943 and then by the British occupation forces after World War II, when it was renamed Cumberland House. The building was handed over to the
370:, Karstadt expanded rapidly and in July 1926 it established the EPA-Einheitspreis-Aktiengesellschaft with which it created a network of low price department stores. By 1932 there were 52 EPA stores. In addition to this, Karstadt acquired further production facilities in order to reduce further its dependency upon suppliers. These facilities included weaving mills, furnishers, printers and abattoirs.
421:, former Centrum department stores were taken over in Brandenburg an der Havel, Dresden, Halle, Magdeburg, Wismar and Görlitz. In 1994 Karstadt took over the Hertie department stores (which also included KaDeWe). These Hertie department stores initially continued to operate in parallel but they were then progressively transformed into Karstadt stores or closed. The takeover of
530:. Four parties expressed interest in purchasing the Karstadt stores: the German-Swedish investor group Triton, Whitehall together with the Borletti Group and the German financial investor Nicolas Berggruen. Metro AG also expressed interest, but only in the acquisition of certain lucrative and strategically interesting Karstadt stores, which it intended to combine with its own
366:(1893), Recklinghausen (1893), Essen (1894), Münster (1896), Duisburg (1899), Gladbeck (1901), Lippstadt (1901), Coesfeld (1902), Remscheid (1901), Dortmund (1904) and Leipzig (1914). It was only much later however (1963) that the Althoff stores were given the Karstadt name. The branch network had now expanded to 44 and this number grew further to 89 by 1931. After the
569:
Karstadt stores, of which 15 million should be invested within five years and the further 135 million euros as required. 100 million euros of this revenue from the sale were earmarked for the premium stores and 50 million euros for the sports stores. The 300 million was only to be paid in full within 18 months but half should be paid before the end of the year.
386:(184 ft) towers, a 4,000 square metres (43,000 sq ft) roof terrace and several truck lifts as well as its own entrance from the underground railway. It soon became clear, however, that the building was over-dimensioned and, in 1932, a number of floors were empty due to the economic crisis. In 1945 the building was blown up by members of the
357:
Hamburg (Röhrendamm), Ludwigslust, Neubrandenburg, Schwerin, Stavenhagen, Wandsbek (Lübecker Straße) and Waren (Müritz). Further branches opened in Bremen (1902), Hamburg-Eimsbüttel (1903), Altona (1903), Hanover (1906) and
Wilhelmshaven (1908). An early highpoint was the opening in 1912 of the branch in Hamburg's
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generated an annual turnover of around 500 million euros. Until 2007 the joint venture reported annual pre-tax losses in the tens of millions. Ever since the founding of
Karstadt Feinkost the departments have been gradually refurbished and repositioned with a modified product range under the new brand Perfetto.
545:
Berggruen announced the legal division of
Karstadt into a parent company and three subsidiary companies in the sectors of sports, premium and other stores. Smaller business divisions were seen as easier to manage and could react more quickly. In addition to this, each division would find it easier to
494:
In May 2009 it was announced that the Metro Group's
Kaufhof AG wanted to take over 60 of Karstadt's 90 department stores. In addition to this, liquidity problems meant that the Karstadt parent company Arcandor was no longer able to make rental payments to the Highstreet consortium, the owners of the
568:
In
September 2013 it was made known that Berggruen was selling 75.1% of both the premium and the sports stores to the Austrian Signa Holding of the investor René Benko. The revenue of 300 million euros was to be used to modernise the Karstadt stores. 150 million euros were available for the general
525:
Arcandor filed for bankruptcy on 9 June 2009. On 12 April 2010 the board of creditors agreed to the insolvency plan proposed by the insolvency administrator Klaus
Hubertus Görg which envisaged a sale of the Karstadt department stores as a single entity to an investor and the waiver by the creditors
572:
In
February 2014 Eva-Lotta Sjöstedt became the new managing director and successor to Andrew Jennings, who had been with Karstadt since the beginning of 2011. On 7 July 2014 the company announced the immediate resignation of Sjöstedt. In justifying her move she explained that "detailed checks, the
557:
Between 1 October 2011 and 30 September 2012 the group generated losses of €249.6 million, €121 million of which resulted from restructuring measures and, in particular, severance payments to 2,000 employees. In the first seven months of the subsequent trading year sales fell by 7.9%. All general,
553:
The logistics division of the company, KarstadtQuelle
Beschaffungslogistik, continues to operate under the name Corporate Service (Germany) GmbH (CSG). The company offers international purchasing and, in particular, supply-chain solutions. The managing directors of CSG are Marc Baeuerle and Stefan
413:
In 1977 Karstadt acquired a majority share in
Neckermann Versand AG and, with an annual turnover of 10.62 billion DM, became the Federal Republic's largest retailer. In the same year, it was decided to close the low-price chain Kepa. In 1984 Neckermann was taken over completely and integrated into
365:
In 1920 Karstadt took over the company Althoff from Theodor Althoff of Dülmen and transformed the entire group into a limited company. This meant that the Karstadt Group was now also represented by the Althoff stores in Dülmen (opened 1885), Rheine (1889), Borghorst (1889), Bottrop (1893), Bocholt
486:
Karstadt's book departments have been operated since April 2008 as "shops-in-shops" by DBH Warenhaus (Verlagsgruppe Weltbild/Hugendubel). In Karstadt's premium stores (such as KaDeWe and Karstadt's Hermannplatz store in Berlin) these book departments operate under the "Hugendubel" name and in all
465:
The ongoing crisis situation led in August 2005 to the sale of 74 Karstadt branches with sales areas below 8,000 square metres (86,000 sq ft) (Karstadt Kompakt – which was later known as Hertie GmbH and then closed following insolvency), 51 SinnLeffers clothing stores and the specialist
666:
On 1 October 2011 KaDeWe Berlin, Alsterhaus Hamburg and Oberpollinger Munich and all branches of Karstadt Sports were absorbed into Karstadt Premium GmbH and Karstadt Sports GmbH respectively. This meant that the three premium stores and the sports shops were no longer part of Karstadt Warenhaus
537:
On 7 June 2010 nine out of eleven votes were cast by Karstadt's board of creditors in favour of the Berggruen Holding – although the vote was subject to the closing conditions that the Highstreet consortium waived its demand for rental payments. Berggruen signed the purchase contract – primarily
385:
in Berlin-Kreuzberg. The nine-storey building with around 72,000 square metres (780,000 sq ft) of usable space (at that time KaDeWe had less than 30,000 square metres (320,000 sq ft) initially offered work to 4,000 employees. The monumental building also had two 56-metre-high
361:
which, with a sales area of around 10,000 square metres (110,000 sq ft), was the first such department store in a major German city. Karstadt also moved increasingly into the in-house production of clothing, opening a large material store in Berlin in 1911 and a clothing factory in the
581:
On 15 August 2014 it was announced that the Vienna-based Signa Holding was taking over the troubled department store chain for one Euro. Signa Holding also acquired the minority shares which had been retained by Nicolas Berggruen in Karstadt Sports GmbH and the Karstadt Premium GmbH, which owns
461:
25.1% and of which each company appoints one managing director. Karstadt contributed goods and properties worth around 50 million euros to the company and Rewe the same amount of new capital. Initially, Karstadt Feinkost had around 3,700 employees, most of whom had come from KarstadtQuelle, and
356:
and his brother Heinrich. Further branches opened in Neumünster (1888), Braunschweig (1890), Kiel (1893), Mölln (1895), Eutin (1896) and Preetz (1897). In 1900 Rudolph Karstadt took over 13 stores from his highly indebted brother Ernst Karstadt in Anklam, Dömitz, Friedland, Greifswald, Güstrow,
606:
in 1951. Today, it houses the Landesverwaltungsamt Berlin (State Administration Office of Berlin). After the end of the war parts of the administration were transferred to Hamburg, Recklinghausen and Limbecker Platz in Essen. In 1969, after three-years of construction, the headquarters was
538:
conditional upon an agreement with the principal landlord Highstreet – on 8 June 2010. €70 million was named as the purchase and investment price with a further €240 million to be invested in the following three years, for which Berggruen required no external capital. On 30 June 2010 the
352:. Karstadt's strategy of offering fixed low prices in place of the still normal haggling was successful from the start as a result of which he had soon opened branches in 24 towns across Northern Germany. The second Karstadt store opened in Lübeck in 1884. The first customers included
662:
The closure of Karstadt's branches in Dortmund (Kampstraße), Munich (am Dom) and in Hamburg's Elbe Shopping Centre was announced on 10 November 2009. A Schaulandt store in Braunschweig, a branch of WOM in Stuttgart and the Karstadt multimedia store in Berlin-Biesdorf also closed.
469:
The Karstadt department store properties still owned by KarstadtQuelle were sold in 2006 to the Highstreet consortium of which the group itself owned 49% and Whitehall Funds 51%. In 2008 KarstadtQuelle AG sold its 49% share to a consortium including the Borletti Group, the
701:
Karstadt – Der große Schlussverkauf. Wie das Warenhaus in die Pleite geriet. Documentary film, Germany, 2010, 45 min., written and directed by Ingolf Gritschneder and Georg Wellmann, production: WDR, first broadcast: 24 February 2010, 23:30 in Das
425:
also left Karstadt as the owner of a number of properties which the National Socialists had expropriated from the Jewish department store founder Wertheim. In 2005 the Berlin Administrative Court ordered KarstadtQuelle AG to compensate the heirs.
707:
The documentary received the German Economic Film Prize 2010. It demonstrates "that the relationships between private investors and managers were closer and more extensive than known - and then showed the effect that this had on the end of the
268:
Karstadt Warenhaus GmbH consisted of 83 department stores, 4 bargain centres, 2 branches of K Town and the online shop karstadt.de. The 28 sports shops belonged to Karstadt Sports GmbH. The company used to own three premium stores -
670:
As part of Karstadt Warenhaus GmbH's "Karstadt 2015" restructuring programme it was decided to reorient the company's online sales approach. In November 2012 Karstadt announced the relaunch of its online stores in cooperation with
449:
and its own home-made problems. The company was continuing to ignore market trends by offering a wide assortment of goods while critics complained that the interiors were outdated and the goods on offer not customer-orientated.
651:
At the beginning of 2009 there were 90 Karstadt stores in Germany and the company also owned two branches of Schaulandt. The most important stores included KaDeWe (around 60,000 m) in Berlin, Oberpollinger (around 33,000 m) in
257:. Berggruen had taken over all Karstadt stores by 1 October 2010. This had been determined by Essen District Court on 3 September 2010. On 14 August 2014 it was announced that Karstadt had been completely taken over by
916:
253:. It also appointed a provisional insolvency administrator. The insolvency proceedings were opened on 1 September 2009. On 7 June 2010 the board of creditors resolved to sell Karstadt Warenhaus GmbH to the investor
441:
with Quelle, the department stores of the former Karstadt AG were operated by Karstadt Warenhaus GmbH (known until 2006 as Karstadt Warenhaus AG), a fully owned subsidiary of KarstadtQuelle and Arcandor AG.
409:
of the post-war years enabled the company to recover and in the early 1950s it began to expand. A number of takeovers followed, including that of the Grimme department stores in Schleswig-Holstein in 1970.
713:
Die Karstadt-Story. Documentary film, Germany, 2004, 45 min., written and directed by Daniel Hechler, Stefan Tiyavorabun, production: SWR, Report Mainz, first broadcast: 10 November 2004 in Das Erste.
445:
In October 2004 it emerged that Karstadt Warenhaus AG and the entire KarstadtQuelle group were in a dramatic financial situation. Karstadt was facing both the difficulties being faced by the entire
487:
others as Weltbild. Further companies who are Karstadt tenants and operate independently while renting Karstadt's checkout/payment system include WMF, Rosenthal Porcelain and the drugstore brand
619:, which it merged with in 2019. Earlier competitors were Hertie (which later merged with Karstadt) and Horten (which later merged with Kaufhof). Bricks-and-mortar competitors included
546:
find strategic partners and cooperative ventures. Following an adjustment of the labour agreement covering the restructuring process, Berggruen's Plan was approved by the trade union
542:
approved the takeover of the department store chain. After tough negotiations, agreement with the Highstreet consortium regarding rental payments was reached in early September 2010.
659:
The 180 Fox markets, in which remaindered goods from Karstadt and Quelle were sold, were closed at the end of 2007. These goods were then sold in ""Karstadt-Schnäppchencenters"".
573:
experiences of the past few months and a closer knowledge of the economic situation have led me to conclude that the pre-conditions for the path chosen by me no longer exist".
822:
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373:
917:"Berlin-Wilmersdorf, Fehrbelliner Platz 1. State Administration Office of Berlin. Nazi-era building by architect Philipp Schaefer for Karstadt Stock Photo - Alamy"
631:. From the 1960s and 70s on, competition increased on "green-field" sites – sites on the edge of cities or in the suburbs. Self-service department stores like
607:
transferred to Essen-Bredeney (alongside the A 52). That location continues to serve as the headquarters of the successor company, Galeria Karstadt Kaufhof.
749:
804:
249:
On 9 June 2009 Essen District Court ordered provisional asset administration and protective measures in response to an application for the opening of
246:(which was known until 30 June 2007 as KarstadtQuelle AG) and was responsible within the group for the business segment of over-the-counter retail.
320:. HBC CEO Helena Foulkes said the two companies were excited to bring together two "iconic banners to create Germany's leading retail business."
877:
643:) experienced particularly strong growth. Attempts by Karstadt in the 1970s to establish an in-house self-service division were unsuccessful.
299:
which, with a sales area of 60,000 square metres, is both the largest German and second largest European department store. They now belong to
997:
46:
1012:
778:
698:
Mitarbeiter feiern Karstadt-Rettung. Television report, Germany, 2010, 1:34 min, production: n-TV, broadcast: 3 September 2010
1007:
656:
and Alsterhaus (around 24,000 m) in Hamburg. The original store in Wismar is, with around 3,100 square metres, the smallest.
453:
Since 1 January 2005, the food departments in currently 67 (and initially 72) of the 90 Karstadt branches have been run by a
1002:
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164:
840:
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The company headquarters was initially located in Wismar. It moved to Kiel in 1893 and then in 1912 to Steinstraße in
992:
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following year. In addition to this, a factory for the production of men's clothing was opened in Stettin in 1919.
488:
526:
of a large part of their demands. Some municipalities initially refused to agree to the required waiver of
382:
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457:-based joint venture known as Karstadt Feinkost GmbH & Co. KG, of which Karstadt owns 74.9% and the
902:
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which offered 300,000 products and covered 40,000 square metres. This branch closed 30 June 2023.
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In 2006, in order to mark its 125th anniversary, Karstadt published a celebratory book entitled
471:
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8:
779:"Karstadt, Kaufhof merger creates German department store giant | DW | 11 September 2018"
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In 1999 Karstadt AG and the mail-order company Quelle merged to form KarstadtQuelle AG.
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In 1929 one of the then-largest department stores in the world was opened on
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265:, which already owned the majority of the sports shops and premium stores.
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and, hence, a temporary suspension of the labour agreement until 2015.
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931:"Germany's Karstadt and Galeria Kaufhof Department Stores Merge"
35:
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was a German department store chain whose headquarters were in
60:
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The branch with the highest sales was the one located next to
878:"Karstadt Plans to Form Three Legally Independent Businesses"
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The first Karstadt department store opened in Wismar in 1881.
239:
123:
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635:, Famila, Plaza and other specialty stores (Adler, Vögele,
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170:
903:"Austrian Benko buys Germany's Karstadt, set for overhaul"
750:"Karstadt: Benko übernimmt alle Warenhäuser von Berggruen"
689:
As of 30 July 2016 the company had 114 stores in Germany.
242:. Until 30 September 2010 the company was a subsidiary of
805:"Germany to Compensate Heirs of Jewish-Owned Store Chain"
214:
152:
144:
433:
Karstadt department stores after the merger with Quelle
340:
Share of the Rudolf Karstadt AG, issued 12 January 1926
350:"Tuch-, Manufactur- und Confectionsgeschäft Karstadt"
310:& Galeria Kaufhof launched their merged company,
316:, based in Essen, with a new logo and a new website
231:
Logo of Galeria Karstadt Kaufhof since 25 March 2019
558:sports and premium stores were below projections.
984:
825:[Karstadt sells its department stores].
499:Insolvency proceedings and the sale to Berggruen
474:, Pirelli RE and RREEF Alternative Investments.
348:opened his first store in Wismar under the name
554:Graetz and the headquarters are in Düsseldorf.
377:Karstadt department store on Hermannplatz, 1936
483:, which presented the history of the company.
480:Schaufenster Karstadt – Einblicke in 125 Jahre
393:
478:
615:Karstadt's most significant competitor was
962:
843:[Karstadt sells Kaviar clothing].
905:(Press release). Reuters. 15 August 2014.
594:1936 Karstadt headquarters building, 2008
534:stores into the "Deutsche Warenhaus AG".
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970:Documents and clippings about Karstadt
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823:"Karstadt verkauft seine Warenhäuser"
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998:Retail companies established in 1881
561:In May 2013 the company announced a
841:"Karstadt verkauft Kaviar-Kleidung"
13:
859:"Germany's Arcandor in bankruptcy"
14:
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748:Amann, Susanne (14 August 2014).
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767:Financial Times 15 August 2014
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876:Elfes, Holger (18 May 2011).
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518:Karstadt department store in
507:Karstadt department store in
16:German department store chain
1008:Department stores of Germany
495:department store buildings.
466:retail chain Runners Point.
414:the structure of the group.
7:
1003:Retail companies of Germany
974:20th Century Press Archives
847:(in German). 11 March 2008.
829:(in German). 27 March 2006.
729:Wertheim (department store)
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394:After the Second World War
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185:– €131.056 million (2013)
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993:Companies based in Essen
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313:Galeria Karstadt Kaufhof
114:Galeria Karstadt Kaufhof
19:Not to be confused with
236:Karstadt Warenhaus GmbH
98:25 March 2019
72:; 143 years ago
29:Karstadt Warenhaus GmbH
625:Peek & Cloppenburg
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586:Company headquarters
419:German reunification
288:Kaufhaus des Westens
173:2,673 million (2013)
143:Eva-Lotta Sjöstedt,
933:. 11 September 2018
785:. 11 September 2018
684:Munich main station
201:Number of employees
151:Miguel Müllenbach,
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809:The New York Times
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407:"economic miracle"
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306:On 25 March 2019
255:Nicolas Berggruen
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57:Department stores
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359:Mönckebergstraße
346:Rudolph Karstadt
301:The KaDeWe Group
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811:. 4 March 2005.
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865:. 9 June 2009.
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