EXCLUSIVEBRANDSOURCING RETAILER/WHOLESALER ...

EB skus: N/A
Profile: Arcandor’s Karstadt business showed the poorest performance as a result of the Germany
retail sales overall falling by 2% for this fiscal year plus a rise in energy and food costs.
Consumers in Germany were not aggressively shopping these days. Since 2004, when
KarstadtQuelle nearly went bankrupt, its road to recovery has been rocky. In this fiscal period,
Karstadt laid off some 1,109 full-time employees, including its stores and its headquarters (334 let
go at the latter location). Its recent strategy of transferring floor space to high profile
manufacturers’ brands (balanced with high yield own brand stock in its fashion departments (its
largest business) has not helped. Fashion sales for the period were off by 1.9% to € 1.8 billion.
Arcandor in June 2009 filed for insolvency for the Karstadt subsidiary, after failing to secure a
bridge loan. The company had reported a loss of € 272 million in fiscal 2008. This action was
designed to keep the company going and protect its creditors. A takeover bid by its principal
competitor, Metro of Germany, was rejected. UPDATE: In June 2010, billionaire investor
Nicholas Berggruen, through the private equity firm, Berggruen Holdings c/o, JS Beusichem, The
Netherlands, took control of Karstadt. The company continued to operate 83 Karstadt department
stores, 26 Karstadt sporting goods stores, 7 bargain centers, and 3 premium houses. In 2011, the
company was restructured into three independent companies: department stores, sports stores, and
premium houses.
Procurement Contacts: N/A
KATZ GROUP, THE
Ste. 1702, Bell Tower 10104, 103 Ave., Edmonton, Alberta, T5J 0H8 CANADA; Katz Group
Canada Ltd., 5965 Coopers Ave., Mississauga, ON L4Z 1R9 CANADA
Tel: (780) 990-0505; (800) 916-2226
Fax: (780) 425-6118
www.katzgroup.ca
Total Fiscal 2012 Sales: $1.5 Billion (C$ 1.5 Billion) (E)
Percentage of Sales in Exclusive Brands: N/A
Principal Business: The Katz Group, a privately held company, owned by billionaire Daryl Katz
(recent new owner of the Edmonton Oilers hockey team), oversees some 1,400+ drugstores in
Canada. They include 400+ corporate owned Rexall and Rexall Pharma Plus drugstores; the Drug
Trading Co. (tracing its roots back to 1897) with 850 I.D.A. and Guardian pharmacies; and 160
independently owned franchised Medicine Shoppes. Additionally, Katz owns Canada’s only