Arcandor Fails to Gain Government Support for Mail Order

German retail conglomerate Arcandor, which went into protective administration earlier this month, is reported to have failed to gain government support for its Primondo mail order business, despite pulling in some state level support.The failure puts into doubt whether it will be able to buy for or produce its Quelle autumn catalog. If that is the case, the whole business may fail.

Arcandor, which also owns Karstadt, had been in talks with rival Kaufhof owner Metro on merging the two department store businesses before it moved into administration.