Elaine Watson At least six Wal-Mart stores in Germany are now on the critical list according to trade paper Lebensmittelzeitung. Wal-Mart sources told the paper stores in Ingolstadt, Sigmaringen and Wilhelmshaven face closure, while the future of sites at Solingen, Dusseldorf-Reisholz and Erkelenz remains in doubt. Wal-Mart Germany md Dr Kay Hafner allegedly told managers at the affected stores that sales would have to double to break even. The company still refuses to comment on the reports, but confirmed Wal-Mart had not broken even in Germany after five years in the market. Analysts said closing the most unprofitable stores made sense. "It's normal to close some stores after an acquisition," said one analyst, referring to Wal-Mart's second major deal in Germany to buy 74 Interspar stores in 1998. "What's surprised everyone is that it's taken them four years to get around to it." Although Wal-Mart has refurbished a large proportion of its German estate, a strict planning regime has prevented it from extending as many stores as it had planned. Despite Wal-Mart's well publicised problems, it appeared to be improving earlier this year after it reported like-for-like sales growth in the low single digits ­ twice the German industry average. Moreover, there had been solid progress in reducing costs, with better gross margins, reduced expenses and lower inventory levels. New stores were opened in Leipzig and Pattensen and a major remodel of the Rosenheim store in November yielded "very strong double-digit comparisons post remodel". However analysts and investors remain in the dark about the true extent of the company's losses as Wal-Mart does not publish profit and loss figures for its operating divisions. {{NEWS }}