BERLIN – Shares in Arcandor AG plunged almost 30 percent in early trading after taking a similar dive Thursday. The stock has lost over 90 percent of its value in the last year, and at mid-day was trading at 1.77 euros, compared to 2.50 euros on Thursday and 24.19 euros a year ago.
The German company, which operates the ailing Karstadt department store group, the Primondo catalogue business and Thomas Cook Travel, has also come under the scrutiny of the German stock authority BaFin.
The recent turbulence was prompted by Arcandor’s ad-hoc announcement late Wednesday that the successfully negotiated refinancing deal with its banks might require a change in its holding structure, “including the possibility of raising funds by reducing the level of ownership in Karstadt Warenhaus GmbH and Thomas Cook Group plc.”
A company spokesman had stated that parts of its cash-cow Thomas Cook would not be put up as a guarantee for the deal. Arcandor has a 52 percent holding in Thomas Cook, which currently generates 60 percent of group sales. If Arcandor’s stake falls below 50 percent, Thomas Cook would have to be deconsolidated, effectively cutting Arcandor’s group turnover in half.
The shareholders’ association SdK has called for Arcandor’s chief executive Thomas Middelhoff to resign. “There must be a reaction. Middelhoff’s strategy has failed and there’s no trust left,” said SdK spokesman Lothar Gries.
@kith is moving into children’s. The men’s and women’s streetwear brand has launched Kidset, a Kith kids line located in New York at 64 Bleecker Street. The line includes mini versions of staple Kith pieces like the Astor bomber jacket and the Kith box logo sweatshirts, along with a wall that can display up to 120 pairs of shoes from @adidas, @newbalance, @timberland and more. #wwdfashion
“I just wanted to create this fully rounded character, but I do think what excited me most was just the opportunity to give a group of people representation that I feel needs it. I like to do characters in projects that stand for something and Karolina definitely does, so that was really exciting to me,” @ginnygardner says of her new role in @hulu’s “The Runaways.” Gardner plays Karolina Dean, a queer superhero, which is a rarity for @marvel. Read more about Gardner’s character on WWD.com #wwdeye (📷: @dandoperalski)
@heriethpaul and @gracebol have a moment on the @victoriassecret fashion show 2017. See every look from the runway on WWD.com. Link in bio. (📷: @giovanni_giannoni_photo) #wwdfashion #victoriassecret #VSFashionShow
“Azzedine has been one of the biggest influences in my life. He has always been such a strong, loving, fatherly figure to me. I call him Papa. His designs are indescribably unique, they are pieces of art. He knew how to make the female form look its loveliest. I have so many memories of him; my favorite might be during my first show with him in Paris. He liked me and he wanted to help me get more work. He called all his friends at Kenzo and Comme des Garcons, and asked them to book me. They said, ‘But she can’t walk!’ And he said, ‘but she has such a great ass!' His friendship and support has been the great privilege of my career. I can't imagine life without him. Repose en paix mon Papa.” - @stephanieseymour tells @wwd. #wwdfashion (📷: @steveeichner) #alaia #azzedinealaia
Azzedine Alaïa, flanked by two of his closest friends, models Stephanie Seymour and Naomi Campbell.
He designed Seymour’s dress for her 1995 wedding to Peter Brant, and treated Campbell (who famously called him Papa), like a daughter. For more on the legendary designer, tap the link in bio. #wwdfashion #alaia #azzedinealaia