1881

May 4: Rudolph Karstadt opens his first shop, “Manufactur-, Confections- und Tuchgeschäft C. Karstadt”, at Krämerstraße 4 in the town of Wismar in what is now the state of Mecklenburg-Western Pomerania, in his father’s name and with his father’s help.

1884

Rudolph Karstadt becomes the sole owner of the business and sets up his first store in Lübeck.

1885

The trained fabric merchant Theodor Althoff takes over a “haberdashery, linen and woolen goods shop” from his widowed mother in Dülmen.

1890

Althoff introduces a central purchasing system, thus relieving the burden on store managers with regard to choosing a new product range.

1900

Rudolph Karstadt buys 13 stores in Pomerania, Mecklenburg and Hamburg from his brother Ernst, who has got into financial difficulties

1906

In the company’s 25th anniversary year, Rudolph Karstadt already has 24 department stores in northern Germany

1910

Theodor Althoff has 11 stores during his company’s 25th anniversary year.

1912

Rudolph Karstadt opens his first department store in a major city with the store in Mönckebergstraße, Hamburg. Everything could be bought here, except food items. The company headquarters also relocated from Kiel to Hamburg in the same year.

1917

First contact between Rudolph Karstadt and Theodor Althoff; both companies concluded a “loose” agreement two years later. Purchasing is carried out on a central basis by Theodor Althoff AG.

1920

Rudolph Karstadt KG becomes a public company on May 19th; the Karstadt and Althoff companies merge in the middle of the year.

1926

Epa-Einheitspreis AG is founded following an important initiative by Theodor Althoff.

1927

Rudolph Karstadt AG merges with M.J. Emden Söhne KG, which brings additionally 19 stores into the company.

1931

In the company’s 50th anniversary year, Rudolph Karstadt AG has 89 stores throughout the German Reich. Co-founder Theodor Althoff dies at the age of 72.

1931/1932

The Great Depression forces Rudolph Karstadt AG to scale down its store network and sell over 25 production sites. Epa-Einheitspreis AG is sold to a consortium of banks – retaining the right to buy it back. Company headquarters and central purchasing move from Hamburg to Berlin at the start of 1932.

1933/1934

The National Socialists’ campaign against department stores and an anti-department store legislative environment (The law to protect German retail, 1933) make it difficult for Karstadt to do business.

1939

Organizationally and financially strong once again, the company reaches its economic high of the pre-war years: 67 stores corresponding to retail space of around 260,000 square meters generate sales of 299.7 million Reichsmark in total throughout the German Reich.

1944

Company founder Rudolph Karstadt, who had been a member of the Karstadt Supervisory Board since 1932, dies shortly before the end of the Second World War on December 15th in Schwerin, at the age of almost 89.

1945

After the end of the war , 22 Karstadt stores are expropriated in the Soviet occupation zone and in the former German regions now managed by Poland and the UdSSR. Of the remaining 45 department stores in the three western occupation zones, over 30 have been destroyed, have burned down or have been badly damaged.

1948

In the same year as the currency reform takes place, Rudolph Karstadt AG becomes part of the Intercontinentale Warenhausgruppe in Lausanne.

1950

Karstadt is able to distribute a dividend for the first time since the war, amounting to five percent for each DM 100 share

1952

Rudolph Karstadt AG takes over a 75 percent share of the former Epa-Einheitspreis AG, which is named the West German Kepa Kaufhaus GmbH in the meanwhile . In 1958 Kepa would belong to the company in full.

1956

In the company’s 75th anniversary year, Rudolph Karstadt AG, including Kepa, generates sales of over DM 1 billion for the first time.

1963

By renaming as “Karstadt AG”, the founder’s first name no longer appears in the company name. All stores now trade under the name of “Karstadt”, except for the traditional Karstadt “Oberpollinger” store in Munich.

1971

Karstadt branches out into the travel industry. TransEuropa Reisen GmbH is established in Nuremberg. The tourism company is run by the mail order company Quelle Gustav Schickedanz KG, based in Fürth, and Karstadt AG, based in Essen. Three self-service department stores open for the first time in the same year.

1972

TransEuropaReisen GmbH is renamed as KS-Touristik-Beteiligungs-GmbH, which holds a 25% stake in the capital of Touristik Union International GmbH KG (TUI). The first furniture and furnishing store opens in Theresienhöhe, Munich, and the first Karstadt opticians opens in Braunschweig. The company now also sells insurance.

1974

Karstadt expands its self-service range with the new Karstadt SB-Warenhaus GmbH, a subsidiary of Kepa Kaufhaus GmbH.

1976

Karstadt opens its first sporting goods store.

1977

Karstadt acquires a 51.2% (1984: 100%) stake in the capital of Neckermann Versand AG after selling its share in KS-Touristik-Beteiligungs-GmbH. With profitability falling, Kepa stores are gradually incorporated into the Karstadt department store network, leased or sold. Karstadt retains 18 self-service department stores.

1977-1979

17 of the 34 former Neckermann stores become Karstadt stores. 17 new Karstadt department stores and a furnishing store also open.

1981

Karstadt chooses not to hold any big celebrations to commemorate the company’s 100th anniversary, donating the “SOS Kinderdorf Karstadt Rio de Janeiro” to the Hermann-Gmeiner-Fonds-Deutschland e.V. for around DM 2 million. Karstadt employees donate several million DM to SOS-Kinderdörfer in the course of the year.

1982

The Quality Assurance segment is expanded at Karstadt and the “Pfiffikus” employee suggestion scheme is launched.

1984

The specialty store chains Joy (young fashion), Papetik (stationery and gifts), Runners Point (sportswear and sports shoes) and Pico Bello (childrenswear) are launched in October. After a three-year pilot period, operations continued only at the "Runners Point" chainonly from 1987 onwards.

1985

Karstadt AG gains the environmental protection prize issued by "vital" magazine which is awarded for the first time.

1986

Construction work begins on a goods distribution center in Unna. This will centralize goods delivery, processing and distribution for all department stores using forward-looking logistics.

1987

Karstadt AG wins the first prize for best the Annual Report 1986 in the category “retail and services, stock exchange-listed” in a competition organized by “Industrie-Magazin”. The Karstadt loyalty card is launched in a trial at the Nuremberg store.

1988

Operations begin at the goods distribution center for stock articles in Unna. With DM 210 million, it is the biggest single investment in company history. Karstadt founds Katrans Speditions GmbH to reduce transport costs. In 1989 Karstadt is awarded the “German Logistics Prize” for its goods distribution center.

1989

During the first weekend following the opening of the border, over one million East German citizens make a flying visit to West Berlin and nearby areas of West Germany. Karstadt stores organize spontaneous aid campaigns. Karstadt AG publishes global sales figures for the first time in 1989. They totaled DM 14.3 billion in 1988.

1990

Karstadt AG signs a cooperation agreement with 10 “Centrum” department stores, now individual GmbH companies, in the former GDR in March.

1991

Information on Karstadt’s environmental protection measures is made available to the public for the first time. Karstadt acquires GmbH shares in several “Centrum” department stores in the new, former East German states. The share capital of Karstadt AG increases from DM 360 million to DM 420 million. After a ten-year period of abstinence, Karstadt launches commercials once again at the end of September. The last member of the Althoff founding family, Theodor Althoff’s grandson, leaves the Management Board of Karstadt AG.

1992

Karstadt gains the "environmental prize for retail", awarded by the specialist magazine “Rundschau für den Lebensmittelhandel”. A shop with 1,000 square meters of retail space opens in the GUM department store in Moscow with the motto “GUM & Karstadt – European Style Fashion”. Karstadt provides its expertise; GUM is responsible for purchasing and sales.

1993

On November 11th, the Supervisory Boards of Karstadt and Hertie resolve for Karstadt AG to take over all shares in Hertie Waren- und Kaufhaus GmbH. Karstadt sells its parent store in Wismar, which it had previously only rented, back to the Treuhand subsidiary GPH. Duales System Deutschland awards Karstadt the “Packaging Innovation Prize 1993”.

1994

Karstadt AG acquires the share capital (DM 300 million) of Hertie Waren- und Kaufhaus GmbH and its 80 stores. Thanks to an employer/works council agreement (“family and work”), Karstadt employees can take a break up to six years with a guaranteed position on their return, outside the usual legal and salary conditions. The company pension scheme is closed for new employees on August 1 due to increasing financial pressure.

1995

Karstadt changes its management structure. The store network is divided into four “divisions” operating as independent profit centers: major city department stores, large city stores, medium stores, small city stores/suburb stores. The aim is to be able to act more flexibly and be closer to the market.

1996

Karstadt has an Internet sales platform for the first time using www.myworld.de.

1997

The new tourism group C & N Touristic AG (now Thomas Cook AG), the product of the tour operator NUR and the airline Condor, is launched. Karstadt AG and Lufthansa AG each hold a 50% share.

1999

Karstadt AG merges with Schickedanz Handelswerte GmbH & Co. KG, based in Fürth, to form KarstadtQuelle AG, headquartered in Essen. Karstadt Warenhaus AG is now a wholly-owned subsidiary of KarstadtQuelle AG.

2000

Karstadt plans to open twelve new sporting goods stores during the next three years. Three million people are using the Karstadt Warenhaus AG clubcard, with 100,000 new users every month. Characters such as Tabaluga, Twipsy and Biene Maja from the Junior brand of the media company EM.TV & Merchandising AG, based in Unterföhring, will also be available in Karstadt department stores in the future.

2001

The KarstadtQuelle Group strengthens its fashion business and takes over the clothing specialist SinnLeffers. It also expands the services business: KarstadtQuelle now also offers insurance and investment products. A joint venture is formed with the US coffee chain “Starbucks” for its expansion in Germany. Karstadt has been represented online at www.karstadt.de and www.karstadtsport.de since 2001.

2002

The terrorist attacks on the World Trade Center in the USA on September 11, 2001 have a negative impact on earnings. KarstadtQuelle expands in the information services segment and establishes KarstadtQuelle Information Services GmbH. Deutsche Telekom and KarstadtQuelle pool together their customer loyalty programs under the “Happy Digits” brand. Starbucks opens its first coffee house in Berlin. Karstadt sets its sights on the German credit card market and offers a MasterCard with no annual fees. The company also launches its own magazine, “TV-Karstadt”. KarstadtQuelle companies stop selling real fur

2003

Karstadt is the main sponsor of the youth sports event "Jugend trainiert für Olympia".
More than 17,800 runners take part in the first "Karstadt Ruhr Marathon".
"Besser Karstadt" started by Karstadt Warenhaus AG in August is the biggest marketing campaign in the history of Karstadt company.

2004

The former CEO of Bertelsmann, Dr Thomas Middelhoff, joins the Supervisory Board of KarstadtQuelle. The retail group opens up its Internet portal karstadt.de to other providers. Due to the retail slump, Karstadt slides into minus figures. Sales fall by 12% year-on-year in the second quarter alone. Earnings fall by 6% throughout the Group. After concluding a pact of solidarity between employees, management, shareholders and banks, the concept to restructure and reorganize the KarstadtQuelle Group is implemented in the fall of 2004. KarstadtQuelle sells part of its IT subsidiary Itellium Systems & Services and two computer centers in Essen and Nuremberg to the Stuttgart-based IT service provider Atos Origin. The company breaks away from its joint venture with Starbucks in November

2005

Thomas Middelhoff becomes CEO of KarstadtQuelle AG. The company breaks away from international real estate in Istanbul, Milan and Bangkok during the restructuring and reorganization process. KarstadtQuelle sells its media investments in the DSF sports channel, the Sport1 platform and the shopping channel Home Shopping Europe. A considerable number of its logistics activities are sold to DHL, the express and logistics subsidiary of Deutsche Post World Net, including the goods distribution center in Unna/Holzwickede. KarstadtQuelle completes the first major restructuring stage by selling Karstadt Kompakt GmbH, which had comprised 74 small department stores since the start of the year, and by selling the specialty store chains, including SinnLeffers and Runners Point. Karstadt’s core business, which is renamed Karstadt Warenhaus GmbH at the end of the year, comprises 90 department stores and 32 sporting goods stores. The restructuring of the department stores is becoming more and more noticeable. With product ranges based on trends, themes and brands, customer-oriented training programs for employees and offers based on customers’ lifestyles creates renewed fascination with the department store. For the first time in ten years, Karstadt records sales growth in the fourth quarter, which is the crucial quarter for retailers.

2006

To mark the company’s anniversary, “home of Karstadt” is added to the town signs in Wismar. Karstadt sets up the Premium Group to continue to develop the quality of stores in premium locations. It comprises three stores: KaDeWe in Berlin, Alsterhaus in Hamburg and Oberpollinger in Munich. Another eight stores would be added to provide their customers with more service, more brands and an extra special shopping experience in the future. The sale of more real estate and department store sale-lease-backs mean that the KarstadtQuelle Group’s debt is written off in full, equity ratio increases significantly and the Group also has new scope for development and growth. Shortly before Christmas, KarstadtQuelle took over Lufthansa’s 50 percent stake in their tourism subsidiary Thomas Cook.

2007

At the beginning of 2007, Thomas Cook, which is now solely owned by KarstadtQuelle, merges with MyTravel, the third-largest European tour operator, to form Thomas Cook plc. The new company has its registered office in London and will be listed on the stock exchange beginning on 19 June. As a result, tourism has become Arcandor AG's largest business division. With the takeover of MyTravel, turnover for the Group increases by one third to 21 billion euro. Shareholders’ capital increases 20 percent and international sales account for more than 50% of the Group’s turnover. In May, the general meeting decided on changing the name of the Group to Arcandor, since the old name KarstadtQuelle is no longer appropriate for the new company. However, the trademarks Karstadt, Quelle and Thomas Cook will be retained. Additionally, through the acquisition of HSE24, expertise in teleshopping and multichannel strategy is further developed. At the end of the year, the sale of 51% of the stock of neckermann.de is announced. Arcandor retains a stake of 49% and keeps open the option of profiting from a later initial public offering or sale. Arcandor closes the 9-month shortened fiscal year with turnover of 14.3 billion euro and an operating profit of 602 million euro.