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Saks Global Files Bankruptcy Plan and Seeks $6 Million Jet Sale Ahead of Planned Summer Exit

The moves point to a leaner, lender-controlled company focused on cutting costs to protect cash.

Overview

  • Saks Global filed a reorganization plan in bankruptcy court that outlines how claims will be settled and leaves key terms open for negotiations with stakeholders.
  • The retailer asked the court to approve a $6 million sale of its Gulfstream corporate jet to Jones Aviations LLC, with a $250,000 refundable deposit and a $210,000 fee for broker Guardian Jet.
  • Company filings and statements say the sale would boost liquidity by removing upkeep costs, as the plane had been used for executive travel and time-shared for some personal trips.
  • Saks says it has a $500 million exit financing commitment from an ad hoc group of secured bondholders and expects to emerge from Chapter 11 in the summer.
  • Court papers describe efforts to stabilize operations by paying retention bonuses of about $260,000 to eight top sellers, while closing most Saks Off 5th locations and 21 department stores as secured lenders are expected to take control and unsecured vendors likely recover little.