New York, Jan 14, 2026, 09:47 (EST)
- About a year after merging Saks Fifth Avenue, Bergdorf Goodman, and Neiman Marcus, Saks Global has filed for Chapter 11 protection in Texas.
- The company reported having roughly $1.75 billion in financing, which includes $1 billion in debtor-in-possession funding, and it expects its stores to remain open.
- Luxury suppliers like Chanel, Kering, and LVMH show up as unsecured creditors as Geoffroy van Raemdonck steps in as CEO.
Saks Global, which owns Saks Fifth Avenue, Neiman Marcus, and Bergdorf Goodman, filed for Chapter 11 bankruptcy protection late Tuesday. This marks one of the largest U.S. retail failures since the pandemic. Chapter 11 allows the company to continue operating under court oversight while it works on restructuring its debt.
The bankruptcy follows Saks missing a $100 million interest payment due on Dec. 30, connected to the 2024 Neiman Marcus acquisition. This has intensified pressure on vendor ties and slowed merchandise delivery to stores. “They borrowed a lot more money than they should have for a company that isn’t growing,” said Tim Hynes, global head of credit research at Debtwire. The Washington Post
Court documents peg Saks Global’s assets and liabilities anywhere from $1 billion up to $10 billion. They list about $3.4 billion in funded debt before the bankruptcy filing, including $275 million tied to the Neiman Marcus deal due this February. The company says it has between 10,001 and 25,000 creditors and employs roughly 16,830 workers. It’s asking the court to greenlight around $140 million for employee wages and benefits.
The financing deal features a $1 billion debtor-in-possession loan—funds raised amid bankruptcy to cover payroll and supplier costs, usually with repayment priority—spearheaded by Pentwater Capital Management and Bracebridge Capital, according to two people familiar with the talks. The company’s banks are also expected to extend further loans secured by assets like inventory and receivables, the sources added.
Richard Baker, the real estate investor behind the Neiman Marcus deal, stepped down Tuesday after a brief stint as CEO earlier this month. He was replaced by Geoffroy van Raemdonck, Neiman Marcus’s former chief. “One walk through a retailer that doesn’t have product on shelves, and the consumer finds another place to shop,” noted Marshal Cohen, chief retail adviser at Circana. Reuters
Van Raemdonck described the filing as “a defining moment,” emphasizing the company’s commitment to customers and luxury brands throughout the court proceedings. Saks Global is pushing for approval of “first day” motions to maintain operations, including honoring customer programs, paying vendors, and continuing employee payroll and benefits. Saks Global
The creditor list reads like a who’s who of luxury brands. Filings reveal claims from Chanel and Kering (PRTP.PA), the owner of Gucci, with LVMH (LVMH.PA), Richemont (CFR.S), Burberry (BRBY.L), Meta (META.O), and Alphabet’s Google (GOOGL.O) also among the biggest unsecured creditors—suppliers and partners without collateral. European luxury stocks held steady Wednesday. Zegna said it expects Saks Global to “emerge stronger” under new management. Reuters
The coming weeks will depend heavily on whether vendors deliver—and under what conditions. “They’re very nervous, very concerned, very worried about spring deliveries,” said Gary Wassner, CEO of Hilldun Corp, which insures suppliers. He added that last month he advised some clients to halt shipments to Saks amid growing uncertainty. apnews.com
