Saks Global, century-old high-end department store chain, files for bankruptcy

Saks Global, the parent company of iconic luxury department stores Saks Fifth Avenue, Neiman Marcus, and Bergdorf Goodman, has filed for bankruptcy protection. This move has cast uncertainty over the future of the nearly century-old high-end retail chain. Despite the bankruptcy filing, Saks Global has secured a $1.75 billion financing package and intends to keep its stores open during the bankruptcy process.

The financial troubles of Saks Global can be traced back to a missed debt payment related to Hudson’s Bay Company’s acquisition of rival luxury retailer Neiman Marcus for $2.65 billion in 2024. To fund this acquisition, Hudson’s Bay raised $2 billion in debt and received an additional $1.5 billion in financing from Apollo Global Management affiliates. Amazon also took a minority stake in Saks as part of the deal. The missed debt payment and interest payment to bondholders have led to disruptions in Saks’ operations, with some suppliers withholding shipments due to payment delays.

Founded in 1924 and headquartered in New York, Saks has a rich history of providing luxury retail experiences. The company saw significant growth between the 1970s and 1990s before being acquired by Hudson’s Bay in 2013. Saks Global’s portfolio includes Bergdorf Goodman, Saks Off 5th, and Horchow. In a recent executive reshuffle, former Neiman Marcus CEO Geoffroy van Raemdonck has been appointed as the new CEO of Saks Global, succeeding Richard Baker.

The retail industry as a whole is facing challenges from e-commerce competitors and fast-fashion retailers like H&M and Uniqlo. According to retail industry analytics firm Coresight Research, over 8,100 stores closed across the U.S. in 2025, signaling the ongoing shift in consumer shopping habits.

In conclusion, the bankruptcy filing of Saks Global underscores the challenges faced by traditional brick-and-mortar retailers in a rapidly evolving retail landscape. The company’s restructuring efforts and financial support will be crucial in determining its future viability in the luxury retail sector. The appointment of a new CEO and the continued operation of its stores demonstrate Saks Global’s commitment to navigating through this challenging period in its history.