The insolvency of Arcandor could be Germany's largest bankruptcy

Arcandor the owner of Karstadt which is one of Germany's oldest chain of stores asked for bankruptcy protection. Fourty-three thousand jobs are at risk.

Prior to this, the German Government rejected Karstadt's request for a 440 million euros loan aid, and application for State guarantees, because it was considered that Arcandor's insolvency is not because of the current economic crisis, but the result of the company's previous management's failures. The Government also found the future conception of Arcandor not acceptable. Beside Karstadt, Quelle also belongs to Arcandor. According to experts, this may be the biggest bankruptcy in Germany ever – reports Privátbankár.hu.