DGAP-News: Adler Modemärkte AG / Key word(s): Insolvency 
Adler Modemärkte AG: Lockdown compels ADLER to apply for the opening of 
insolvency proceedings in self-administration 
 
2021-01-10 / 21:17 
The issuer is solely responsible for the content of this announcement. 
 
*Press Release **of Adler Modemärkte AG* 
 
Result of the closure of almost all stores until at least the end of January 
2021 
 
*Lockdown compels ADLER to apply for the opening of insolvency proceedings 
in self-administration* 
Business operations shall be continued and ADLER restructured by means of an 
insolvency plan 
 
Haibach (near Aschaffenburg), 10 January 2021 - As a result of the renewed 
officially ordered closure of 169 of the total of 171 stores until at least 
the end of January 2021, the management board of Adler Modemärkte AG today 
resolved to file an application for the opening of insolvency proceedings in 
self-administration pursuant to Section 270a of the German Insolvency Code 
with the local court of Aschaffenburg. 
 
Despite intensive efforts, the company was unable to close the liquidity gap 
caused by the Corona-related drop in sales through a capital injection from 
state support funds or investors. In the first half of 2020, ADLER had still 
managed to cushion the first COVID-19-related lockdown thanks to a then 
solid balance sheet structure and the securing of comprehensive financing 
commitments. 
 
The aim is to financially restructure Adler Modemärkte AG by means of an 
insolvency plan. In the case of self-administration, the business operations 
are continued in their entirety under the supervision of a (_preliminary_) 
custodian (_Sachwalter_). The management board continues to have the power 
of administration and disposition. For support with the upcoming measures, 
the management board appointed the lawyer Dr. Christian Gerloff, Gerloff 
Liebler Rechtsanwälte, an expert for restructuring and insolvency cases with 
a proven track record in the textile retail sector, as general 
representative of the company. 
 
"The renewed Corona-related closure of almost all stores has unfortunately 
left us with no other choice. We will do everything in our power to maintain 
the business operations and to restructure ADLER as quickly as possible and 
lead it into a positive future once again", said Adler Modemärkte AG's CEO, 
Thomas Freude. 
 
*Crisis situation despite high cash position and solid balance sheet at the 
beginning of the Corona crisis* 
The example of ADLER shows that in the textile retail sector, even a company 
that had still reported record net liquidity of EUR 70.1 million and solid 
balance sheet quality at the end of 2019 can find itself in an existential 
crisis through no fault of its own and within just under 12 months. After a 
drop in sales due to the first lockdown in the months of March to May 2020, 
ADLER had seen a noticeable recovery trend in the third quarter and well 
into October 2020. However, the renewed restrictions on public life since 
the end of October led to significant sales losses. This situation was 
massively exacerbated by the officially ordered closure of all stores in 
Austria in November and, since 16 December, also in Germany. Even the focus 
on maximum cost efficiency and liquidity generation initiated by the 
management board could not prevent the insolvency application. 
 
*Foreign subsidiaries not affected* 
Adler Mode GmbH, Adler Orange GmbH & Co. KG and Adler Orange Verwaltung 
GmbH, each wholly-owned subsidiaries of Adler Modemärkte AG, today also 
resolved to file an application for the opening of insolvency proceedings in 
self-administration at the local court of Aschaffenburg. The management of 
these companies will also be supported by Dr. Christian Gerloff as general 
representative. Other domestic and all foreign subsidiaries of Adler 
Modemärkte AG are currently not affected and continue their business 
operations without any changes. 
 
The applications pursuant to Section 270a of the German Insolvency Code were 
filed in accordance with the stricter requirements for self-administration 
introduced by the German Act on the Further Development of the Restructuring 
and Insolvency Law (_Sanierungs- und 
Insolvenzrechtsfortentwicklungsgesetz_), which are in force since 1 January 
2021. *Adler Modemärkte AG press enquiries and investor relations:* Peter 
Dietz 
Media und Investor Relations 
Tel.: +49 6021 633 1828 
E-mail: investorrelations@adler.de 
 
*About Adler Modemärkte AG:* 
Adler Modemärkte AG, headquartered in Haibach near Aschaffenburg, Germany, 
is one of Germany's largest and most important textile retailers. In 2019, 
the Group generated revenue of &euro495.4 million and EBITDA of &euro70.3 
million. As at 30 September 2020, ADLER employed a workforce of around 3,350 
and currently operates 171 stores, 142 of which are located in Germany, 24 
in Austria, three in Luxembourg, two in Switzerland, plus an online shop. 
The Company focuses on large-space concepts offering in excess of 1,400 m2 
of retail space. With its many own brands and select external brands, ADLER 
offers a highly diverse product range. Thanks to more than 70 years of 
tradition and strong customer loyalty, ADLER considers itself to be the 
market leader within its target group of affluent customers aged 55 and 
over. 
For more information: www.adlermode-unternehmen.com [1]; www.adlermode.com 
[2] 
 
2021-01-10 Dissemination of a Corporate News, transmitted by DGAP - a 
service of EQS Group AG. 
The issuer is solely responsible for the content of this announcement. 
 
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Language:    English 
Company:     Adler Modemärkte AG 
             Industriestraße Ost 1-7 
             63808 Haibach 
             Germany 
Phone:       +49 (0) 6021 633 0 
Fax:         +49 (0) 6021 633 1299 
E-mail:      info@adler.de 
Internet:    www.adlermode.com 
ISIN:        DE000A1H8MU2 
WKN:         A1H8MU 
Listed:      Regulated Market in Frankfurt (Prime Standard); Regulated 
             Unofficial Market in Berlin, Dusseldorf, Hamburg, Hanover, 
             Munich, Stuttgart, Tradegate Exchange 
EQS News ID: 1159556 
 
End of News DGAP News Service 
 
1159556 2021-01-10 
 
 
1: https://eqs-cockpit.com/cgi-bin/fncls.ssp?fn=redirect&url=abb0b0d6a6734d2095c01575cf251ee1&application_id=1159556&site_id=vwd&application_name=news 
2: https://eqs-cockpit.com/cgi-bin/fncls.ssp?fn=redirect&url=51c03fccc409e2caa688587035bf6a21&application_id=1159556&site_id=vwd&application_name=news

(END) Dow Jones Newswires

January 10, 2021 15:17 ET (20:17 GMT)