NEW YORK, Feb 1, 2026, 04:18 (EST)
- Store listings reveal 34 Saks Off 5th locations already in closing sales, with 23 additional outlets slated to shut on Feb. 2; 12 stores will stay open
- Gift cards and rewards now come with new expiration dates; all purchases from closing sales are final and can’t be returned
- Analysts say pulling back from off-price is a move to safeguard full-price luxury sales, even as competitors continue to expand their outlet presence
Starting Saturday, dozens of Saks Off 5th stores kicked off going-out-of-business sales as parent company Saks Global scales back its discount operations amid bankruptcy proceedings. The company is also closing all remaining Neiman Marcus Last Call outlet locations.
The closures cut off a discount channel that cleared designer goods for bargain-hunting shoppers wary of full prices. They also create a gap for outlet malls and landlords already struggling with store turnover.
Saks Global is working to stabilize its luxury lineup, which features Saks Fifth Avenue, Neiman Marcus, and Bergdorf Goodman. Meanwhile, retail research firm Coresight Research estimates that over 8,100 U.S. stores shuttered in 2025, marking roughly a 12% increase compared to the previous year.
A company store list reveals 34 Saks Off 5th locations currently running closing sales, with 23 more slated to shut by Feb. 2—bringing the total closures to 57. Twelve outlets will stay open, including six in Florida and two in New York. Meanwhile, all five Last Call stores are holding closing sales. Investorroom
Saks Global announced it has halted sales of new gift cards and will only accept existing cards for 15 days once a store’s closing sale kicks off. Purchases during the closing sale are final, the company added. Existing Off 5th rewards remain redeemable in stores through March 1. Saksglobal
Two Maryland outlets — located at Arundel Mills in Hanover and Clarksburg Premium Outlets — have launched closing sales, WBAL-TV reported. The station added that gift cards will be accepted at these stores through Feb. 14. It also mentioned Macy’s is shutting its Marley Station Mall location as part of a broader downsizing. Wbaltv
Saks Global filed for Chapter 11 earlier this month, allowing the company to restructure while staying open. CEO Geoffroy van Raemdonck said they’re making “decisive steps” to boost full-price sales in their main luxury segments. Cbsnews
The company announced that Saksoff5th.com kicked off an online closing sale on Jan. 30, offering discounts up to 85%. It will phase out operations and halt merchandise purchases specifically for Off 5th. Remaining stores will focus primarily on clearing out inventory from its full-line chains.
Neil Saunders, managing director at GlobalData, said running off-price alongside a department store brand is tricky without “undermining” the full-price side. He highlighted Nordstrom’s Rack growth and noted that Nordstrom and Bloomingdale’s have recently been grabbing market share from Saks Global’s retailers. Tom Ott, former Saks Off 5th chief merchant, described the outlet business as “another kind of retailing” with “enormous” volume potential. Retaildive
Brands are closely monitoring if Saks can mend relationships with suppliers as the bankruptcy proceedings advance. Sarah Foss, global head of legal at Debtwire, noted that “this should become clearer soon” with key court deadlines on the horizon. Vogue
The timeline remains flexible. Bankruptcy court approvals, disputes over leases, and inventory shortages could still alter the schedule for store closures and impact the depth of discounts offered.
The Washington Post reported that Saks Global filed for bankruptcy after failing to make a $100 million interest payment due Dec. 30, connected to its $2.65 billion acquisition of Neiman Marcus in 2024. The outlet also noted recent leadership shifts at the company. Washingtonpost
