New strategy, new management and new money for Praktiker

Yesterday the supervisory board of the German Praktiker group of companies came to far-reaching decisions concerning strategic, financial and personnel matters. The new chairman is Dr Kay Hafner, a member of the board for many years. Thomas Fox, who had held the position since last autumn, and Josef Schultheis have departed from the board, though they will remain available to the company in an advisory capacity.An investor is offering the group a preferential loan to the tune of € 85 mio. This financing solution means a substantial change to the restructuring programme initiated at the end of November and a considerable reduction of the financing volume.In the course of the strategic repositioning a relatively large number of Praktiker stores are to be converted to the Max Bahr concept. At the heart of the reorientation is a stronger differentiation of the two brands. Whereas Praktiker is to be positioned in the market solely as an aggressively price-conscious discounter with a closer-knit network of stores, Max Bahr will put more emphasis on contending for the market segment that is geared to quality and service, as announced by Praktiker. Dr Kay Hafner, the new chairman, has been on the board of Praktiker since 2006. He was the boss of Wal-Mart Germany, later of Karstadt Kompakt, and then of Hertie from 2006 to 2008. The finance department at Praktiker will remain unchanged in the hands of Markus Schürholz. Further appointments to the board are to follow soon.