Praktiker, a household brand in Germany in DIY retail, is aiming to reclaim its luster after hitting rock bottom when it filed for insolvency this week.
Isabella de Krassny, who owns 15% of the company together with her husband, told the German tabloid Bild that they don't see insolvency as the end. One of the main goals of the Praktiker is to find investors in order to buy out the banks and save the company.
But there would have to be some belt-tightening measures that would have to be adopted including cutting down the procurement costs by Eur 80 million each year "with better contracts." Administrative costs can also be pared down to half, de Krassny added.
The company filed for insolvency after negotiations with new investors bogged down. Despite the insolvency claim, however, Praktiker announced that its stores will continue to serve customers even amid fears of massive job cuts among its employees.
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