Saks plans to file for bankruptcy as soon as Sunday as it crumbles

Saks plans to file for bankruptcy as soon as Sunday as it crumbles

Saks Global Enterprises – which owns Saks Fifth Avenue, Neiman Marcus and Bergdorf Goodman – is planning to file for Chapter 11 bankruptcy safety as soon as Sunday, according to a report.

The flailing luxurious big is heading towards bankruptcy without a restructuring plan, which it hopes will come together in the next few weeks, sources conversant in the matter told Bloomberg.

While a bankruptcy submitting is probably going, the plan is still in flux and the timing may change, according to the report.

Saks Global, the proprietor of New York’s century-old Fifth Avenue flagship retailer, is getting ready to file for bankruptcy without a restructuring deal in place, though it goals to craft one in the coming weeks, according to the report. REUTERS

Saks and PJT Partners, the company’s adviser, didn’t instantly reply to The Post’s requests for remark.

It’s a steep fall from grace for the 150-year-old retailer – which owns the iconic Saks Fifth Avenue flagship retailer – after it launched a turnaround plan in 2024 that concerned the acquisition of Neiman Marcus. 

Saks borrowed $2.7 billion to full the deal, which made it the largest luxurious retailer in the world.

But the luxurious business has suffered a sales hunch as customers have reduce on non-essential spending amid cussed inflation, financial uncertainty and tariffs.

Now the company is in a race to land more than $1 billion in rescue financing from new and current traders, The Post beforehand reported.

That will take the type of a debtor-in-possession financing bundle that would enable Saks to preserve its enterprise operating during the bankruptcy course of and atone for overdue vendor funds, according to Bloomberg.

The cash-strapped retailer wants a lift of capital to repay a $100 million curiosity fee that it missed on Dec. 30 associated to the Neiman Marcus deal.

The bankruptcy submitting was unavoidable because Saks’ money wants are so nice, sources told Bloomberg.

Faced with rising competitors from on-line shops and types’ want to promote by means of immediately owned shops, Saks Fifth Avenue’s father or mother, Hudson’s Bay, guess on scale by merging with Neiman Marcus in 2024 to create Saks Global. REUTERS

Investors have grown annoyed with the company’s administration team over the past few weeks as they work towards a deal, according to the report.

Last week, the company announced that CEO Marc Metrick stepped down after a decade at the helm. 

Richard Baker, government chairman of Saks Global, has taken again the function. The real property mogul served as CEO before the Neiman Marcus deal.

Saks company has struggled to revive its sales since the deal closed. In the most lately reported quarter, which ended Aug. 2, revenues plunged 13%.

Last summer time, Saks Global said it raised $600 million in recent capital from bondholders. It has also sought to promote a minority stake in Bergdorf Goodman in an try to elevate more capital.

It has shuttered some of its mainstay retail places, including a Saks Fifth Avenue retailer in San Francisco that closed in May 2025.

Just last week, Saks Global bought the land under its Beverly Hills Neiman Marcus retailer to Ashkenazy Acquisition Corp. for an undisclosed quantity. The Beverly Hills location now has a long-term lease with Ashkenazy, a New York-based real property funding agency.

Saks, which operates more than 70 shops, also led a number of rounds of layoffs across the company throughout 2025 – slashing roughly 790 jobs over the 12 months.

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