FRANKFURT, July 3 (Reuters) - The mail order unit of insolvent German retailer Arcandor (AROG.DE), Quelle, is already attracting interest from potential buyers, the administrator in charge of Quelle told German newspaper Sueddeutsche Zeitung.

Photo: REUTERS/Michael Dalder

However, it would not be possible to preserve Quelle in its current form, Joerg Nerlich, who is part of the insolvency administration for Arcandor, was quoted as saying by Sueddeutsche Zeitung in an article published on Saturday 4 July.

"We will present first key points of a restructuring program still in July," he told the paper, adding that drastic measures would have to be taken, which could also involve job cuts.

Earlier this week, Quelle managed to secure a 50 million euro ($70.10 million) rescue aid loan from the German government which it needs to pay for its winter season mail order catalogue -- crucial for its future business.

However, one of the printing companies on Friday 3 July still refused to hand over the catalogues saying it had not been paid yet. A spokesman for administrator Klaus Hubert Goerg said the money should be transferred by the end of next week.

German newspaper Westdeutsche Allgemeine Zeitung reported that Arcandor's department store business, Karstadt, had a good chance of surviving, quoting Rolf Weidmann, who is also part of the insolvency administration and in charge of Karstadt.

Karstadt's business was going well and had recorded profits in May, June and probably also in July, Weidmann said. But the unit would still need a broad restructuring, he added.

($1=.7133 Euro)

(Reporting by Eva Kuehnen and Alexander Huebner; editing by Simon Jessop)