Mediation talks launched last week to avert the looming break-up of loss-making German supermarket chain Kaiser’s Tengelmann produced a deal that will safeguard the company’s 15,000 jobs, Economy Minister Sigmar Gabriel said on Monday.
“The mediation was completed successfully today,” Mr. Gabriel said. “I don’t expect there to be any more obstacles to implementing the mediation agreement.”
The talks were mediated by former German chancellor Gerhard Schröder. Unless there are any last minute hiccups, the outcome draws a line under two years of uncertainty for the food retailer, which until last week had appeared destined to be dismantled and sold off store by store in what would have led to heavy job losses.