Saks files for bankruptcy protection; taps former Neiman Marcus leader as CEO
In an expected move, the parent company of Saks Fifth Avenue, Saks Off 5th, Neiman Marcus and Bergdorf Goodman has filed for Chapter 11 bankruptcy protection.
Saks Global Holdings has secured approximately $1.75 billion in financing from a group of its bondholders to strengthen its balance sheet and allow it to operate during the bankruptcy process. The company named Geoffroy Van Raemdonck, who led Neiman Marcus Group prior to its acquisition by Saks in 2024, as CEO, effective Jan. 13. He succeeds Richard Baker, who has exited from his role as executive chairman and CEO of Saks Global. Baker was named CEO early January after former Saks Global CEO Marc Metrick agreed to step down.
The initial court filing put the company’s assets and its debts between $1 billion and $10 billion. Its list of creditors include some of the biggest names in luxury retail. The largest unsecured creditor is Chanel, which is owned $136 million.
Saks had struggled with a heavy debt load following its $2.7 billion purchase of Neiman Marcus Group. More recently, it reportedly has been struggling to pay vendors, with many brands stopping shipping new inventory to its stores. At the same time, luxury sales have weakened. According to Placer.ai, store visits were down 5.7% at Saks Fifth Avenue for full-year 2025, and down 4.6% at Neiman Marcus. Year-over-year foot traffic in December was down 4% at Saks and 11.7% at Neiman Marcus.
As the new CEO, Van Raemdonck joins Saks Global CFO Brandy Richardson, who served as CFO alongside him at Neiman Marcus Group. Van Raemdonck is expanding Saks Global's senior leadership team, appointing industry veterans and former Neiman Marcus Group leaders to join the company.
The leadership team includes Darcy Penick, who has been named president, chief commercial officer, overseeing stores, marketing, buying, digital, analytics and customer care. Lana Todorovich has been named chief of global brand partnerships, leading the retailer's efforts with brand partners at an enterprise level.
“This is a defining moment for Saks Global, and the path ahead presents a meaningful opportunity to strengthen the foundation of our business and position it for the future,” Van Raemdonck said in a statement. “In close partnership with these newly appointed leaders and our colleagues across the organization, we will navigate this process together with a continued focus on serving our customers and luxury brands. I look forward to serving as CEO and continuing to transform the company so that Saks Global continues to play a central role in shaping the future of luxury retail.”
Saks stores will remain open as the company restructures.
As it works through the Chapter 11 process, the retailer said is evaluating its operational footprint "to invest resources where it has the greatest long-term potential" as it looks to focus the business in areas where its retail brands "are best positioned for sustainable growth."