Payment difficulties at KaDeWe: Cosmetics industry reports outstanding invoices

The KaDeWe Group has fallen into turbulence, with the impending insolvency now also impacting the cosmetics sector. The Association of Cosmetic Products Distribution Cooperatives (VKE) accuses the luxury department store of settling due invoices reluctantly or only under the threat of legal action. A spokesman for the association, Andreas Fuhlisch, stated in a conversation that several member companies were affected by the delinquent payment practices. The group represents 65 member companies from the segments of skin care, makeup, and perfume, including prominent brands such as L'Oréal or Chanel. With a nationwide turnover of 2.3 billion euros, the association constitutes a significant economic factor. Already in December, companies had reported to the VKE about considerable payment delays by the KaDeWe Group. Despite written reminders in January, which remained unanswered, there is uncertainty over the missing payments. Andreas Fuhlisch is baffled by the lack of communication from the department store: "We were irritated by the fact that we didn't get any feedback." However, the problems do not seem to be limited to the cosmetics sector. According to a report by the business magazine "Capital," suppliers of various goods and service providers share similar experiences with the KaDeWe Group. Recent developments regarding the insolvency application of the KaDeWe Group suggest that the financial difficulties of the company could have far-reaching consequences. Official statements from the luxury goods house in response to the allegations are still forthcoming.