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- Saks is closing more stores as its bankruptcy progresses (nbcnews.com)
Saks Global Undergoes Major Restructuring, Announces Store Closures
The retail giant behind luxury brands Saks Fifth Avenue, Bergdorf Goodman, and Neiman Marcus is moving forward with its bankruptcy restructuring, announcing a series of store closures and operational shifts.
Saks Global revealed on Tuesday its plans to close eight Saks Fifth Avenue stores and one Neiman Marcus location. The affected Saks Fifth Avenue stores are located in Alabama, Ohio, New Jersey, Louisiana, Pennsylvania, Arizona, Virginia, and Oklahoma, with closures slated for later this spring. A Neiman Marcus store in Massachusetts will also close its doors.
Further streamlining efforts include the closure of 14 Fifth Avenue Club personal shopping services this weekend, leaving only two in operation. Importantly, Saks Global stated that no changes are planned for its Bergdorf Goodman stores.
In a strategic move to consolidate its home furnishings offerings, Saks Global is also shutting down Horchow.com. Its luxury designer home furnishings will transition to NeimanMarcus.com, effective February 19.
These changes are described by the company as an “initial phase of optimization,” designed to refocus the business on its core luxury products, services, and partnerships.
Saks Global entered Chapter 11 bankruptcy proceedings on January 14. The retailer has faced significant financial challenges, including over $2.5 billion in debt following its 2024 acquisition of Neiman Marcus and recent missed debt payments.
This latest announcement follows previous moves to wind down much of its off-price empire. On February 2, 23 Saks OFF 5TH locations closed, with plans to shutter all but 12 of its off-price stores.
Additionally, Saks Global confirmed the closure of all five remaining Last Call locations, Neiman Marcus’s off-brand entity. In total, these restructuring efforts will result in the elimination of 57 stores.
Geoffroy van Raemdonck, chief executive officer of Saks Global, commented on the strategy, stating, “By optimizing our operational footprint, we will be better positioned to deliver exceptional products, elevated experiences and highly personalized service across all channels, while simultaneously positioning our company to make investments that enable long-term growth and value creation.”
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- Saks is closing more stores as its bankruptcy progresses (nbcnews.com)