Saks Global Enterprises – which owns Saks Fifth Avenue, Neiman Marcus and Bergdorf Goodman – is planning to file for Chapter 11 bankruptcy protection as soon as Sunday, according to a report.
The flailing luxury giant is heading toward bankruptcy without a restructuring plan, which it hopes will come together in the next few weeks, sources familiar with the matter told Bloomberg.
While a bankruptcy filing is likely, the plan is still in flux and the timing could change, according to the report.
Saks and PJT Partners, the company’s adviser, did not immediately respond to The Post’s requests for comment.
It’s a steep fall from grace for the 150-year-old retailer – which owns the iconic Saks Fifth Avenue flagship store – after it launched a turnaround plan in 2024 that involved the acquisition of Neiman Marcus.
Saks borrowed $2.7 billion to complete the deal, which made it the largest luxury retailer in the world.
But the luxury industry has suffered a sales slump as consumers have cut back on non-essential spending amid stubborn inflation, economic uncertainty and tariffs.
Now the company is in a race to land more than $1 billion in rescue financing from new and existing investors, The Post previously reported.
That will take the form of a debtor-in-possession financing package that would allow Saks to keep its business running during the bankruptcy process and catch up on overdue vendor payments, according to Bloomberg.
The cash-strapped retailer needs a boost of capital to pay off a $100 million interest payment that it missed on Dec. 30 related to the Neiman Marcus deal.
The bankruptcy filing was unavoidable because Saks’ cash needs are so great, sources told Bloomberg.
Investors have grown frustrated with the company’s management team over the past few weeks as they work toward a deal, according to the report.
Last week, the company announced that CEO Marc Metrick stepped down after a decade at the helm.
Richard Baker, executive chairman of Saks Global, has taken back the role. The real estate mogul served as CEO before the Neiman Marcus deal.
Saks company has struggled to revive its sales since the deal closed. In the most recently reported quarter, which ended Aug. 2, revenues plunged 13%.
Last summer, Saks Global said it raised $600 million in fresh capital from bondholders. It has also sought to sell a minority stake in Bergdorf Goodman in an attempt to raise more capital.
It has shuttered some of its mainstay retail locations, including a Saks Fifth Avenue store in San Francisco that closed in May 2025.
Just last week, Saks Global sold the land under its Beverly Hills Neiman Marcus store to Ashkenazy Acquisition Corp. for an undisclosed amount. The Beverly Hills location now has a long-term lease with Ashkenazy, a New York-based real estate investment firm.
Saks, which operates more than 70 department stores, also led several rounds of layoffs across the company throughout 2025 – slashing roughly 790 jobs over the year.
This story originally appeared on NYPost
