The next phase of bankruptcy restructuring is underway for the retail empire behind Saks 5th Avenue, Bergdorf Goodman and Neiman Marcus.
Saks Global announced Tuesday that it is closing eight Saks Fifth Avenue stores and one Neiman Marcus location.
Saks Fifth Avenue locations in Alabama, Ohio, New Jersey, Louisiana, Pennsylvania, Arizona, Virginia and Oklahoma are slated to close their doors later this Spring, a company spokesperson told NBC News. One Neiman Marcus location in Massachusetts will also close.
Starting this weekend, the company will also close 14 locations of its Fifth Avenue Club personal shopping services, leaving just two in operation.
Saks said it doesn’t plan to make any changes to its Bergdorf Goodman stores.
Saks Global is also shutting down Horchow.com and transitioning Horchow luxury designer home furnishings to NeimanMarcus.com, starting on Feb. 19.
The company called these changes an “initial phase of optimization,” aimed at pivoting the business’ attention onto its luxury products and services, along with its partnerships.
Saks Global entered Chapter 11 bankruptcy proceedings on Jan. 14.
The retailer struggled to stay afloat after it found itself with more than $2.5 billion of debt following its acquisition of Neiman Marcus in 2024.
More recently, Saks Global missed debt payments, signaling the company might not be able to recover from its heavy debt load.
The company recently announced it was winding down most of its off-price empire, Saks OFF 5TH. Twenty-three locations closed on Feb. 2, and the luxury department store giant revealed plans to shutter all but 12 of its off-price locations.
Saks Global also confirmed it would close its five remaining locations of Neiman Marcus’ off-brand entity, Last Call. In total, Saks Global plans to eliminate 57 stores in total.
“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,” said Geoffroy van Raemdonck, chief executive officer of Saks Global.
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