Overview
- Saks Global sought court protection after failing to make a $100 million interest payment in December 2025, capping a year of worsening liquidity.
- Vendors pulled back as payment delays stretched to 30–41 Days Beyond Terms versus an industry average near nine days, with bills over 91 days late rising from 16.43% to 47.84% between July and December 2025.
- A $2.7 billion merger with Neiman Marcus did not deliver a turnaround, and company sales fell 13% year over year in the second quarter of 2025.
- The retailer secured $1.75 billion in financing to fund operations through the restructuring process.
- Management is reviewing its store footprint for potential closures as luxury demand softens and major brands emphasize direct-to-consumer channels.