Christmas loan (temporarily) saves Galeria from the axe

The struggling German department store chain Galeria has signed a major financing agreement with the American retail turnaround firm Gordon Brothers. This loan secures its inventory for the crucial year-end period, but at what cost?

More financial breathing room

Galeria, which recently filed for insolvency again, is gaining more financial breathing room thanks to an emergency loan from Gordon Brothers. The court and the creditors’ committee have approved the financing, which is intended to ensure the continuation of operations during the insolvency proceedings.