DUSSELDORF, Germany - Ailing German department stores group Karstadt is aiming to close six facilities, including two stores, sources said on Thursday, as the loss-making chain struggles to cut costs.

Management representatives are pushing for the closures at a meeting of the company's supervisory board, two people familiar with the situation told Reuters, declining to be identified because the matter is confidential.

Karstadt's plans for so-called K-Town young fashion shops could also be axed, the sources added.

A Karstadt spokesman declined to comment, referring to a pending statement by the company.

Privately-held Karstadt is a familiar sight in German cities and is the owner of the KaDeWe luxury department store in Berlin. It has seen its sales fall, while rival chain Kaufhof gained market share.

In August the chain changed hands for a second time in four years, with Austrian investor Rene Benko set to restructure the loss-making chain after paying a token 1 euro.

There has long been speculation that Karstadt and Kaufhof, each running around 100 stores, could merge, though retail group Metro which owns Kaufhof, has always rejected such a move.