CECONOMY AG: CECONOMY AG confirms to evaluate the introduction of a group-wide standardized organizational structure

5 August 2020 at 6:22 am·2-min read

CECONOMY AG / Key word(s): Strategic Company Decision
CECONOMY AG: CECONOMY AG confirms to evaluate the introduction of a group-wide standardized organizational structure

05-Aug-2020 / 12:22 CET/CEST
Disclosure of an inside information acc. to Article 17 MAR of the Regulation (EU) No 596/2014, transmitted by DGAP - a service of EQS Group AG.
The issuer is solely responsible for the content of this announcement.

CECONOMY AG ("CECONOMY") confirms to evaluate the introduction of a group-wide standardized organizational structure ("Operating Model"), in order to lay important structural foundations for its ongoing strategic transformation and at the same time take into account the progressing centralization of the company. In particular, the focus is on a possible harmonization of structures and the introduction of standardized, efficient processes and procedures for the administrative functions in the country organizations of MediaMarktSaturn. In addition, consideration is being given to standardising the management structures in the stores throughout Europe in order to enable employees to focus as much as possible on the customer experience by reducing administrative tasks.

In view of declining customer frequencies as a result of the COVID-19 pandemic, the company is also considering the closure of loss-making stores across Europe to a limited extent.

According to the current planning status, the implementation of the potential measures could lead to

expenses totalling approximately € 180 million and
sustainable savings of slightly more than € 100 million per year.

In the event of a possible implementation of the new operating model, a total of up to 3,500 FTEs could be reduced, primarily in foreign European countries.

A decision on the implementation or the scope of the measures has not yet been taken. The respective bodies are scheduled to decide on this matter on 12 August 2020. The exact amount of the above-mentioned figures is therefore still open at this time.

Person making the notification: Stephanie Ritschel, Vice President Investor Relations, CECONOMY AG

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Language:	English
Company:	CECONOMY AG
	Kaistr. 3
	40221 Düsseldorf
	Germany
Phone:	+49 (0)211 5408-7225
Fax:	+49 (0)211 5408-7005
E-mail:	stephanie.ritschel@ceconomy.de
Internet:	www.ceconomy.de
ISIN:	DE0007257503, DE0007257537, Weitere: www.ceconomy.de/de/investor-relations/
WKN:	725750, 725753, Weitere: www.ceconomy.de/de/investor-relations/
Indices:	SDAX
Listed:	Regulated Market in Dusseldorf, Frankfurt (Prime Standard); Regulated Unofficial Market in Berlin, Hamburg, Hanover, Munich, Stuttgart, Tradegate Exchange
EQS News ID:	1110485


End of Announcement	DGAP News Service