Saks Global recently declared that Marc Metrick, the company’s Chief Executive Officer, will be stepping down from his position. This announcement coincides with reports indicating that the luxury department store chain is on the verge of submitting a bankruptcy filing. Alongside this executive departure, Richard Baker, who currently serves as Executive Chairman, will additionally take on the role of CEO to guide the company through this turbulent period.
Speculation regarding Saks Global’s financial status intensified following a report that the retailer failed to meet a crucial interest payment exceeding $100 million that was due on the preceding Tuesday. This payment obligation was owed to the company’s bondholders, and its non-fulfillment has resulted in the company preparing bankruptcy proceedings expected imminently.
The tenure of Marc Metrick intersected with a significant corporate development when the New York-based organization was established in 2024. This reestablishment followed the acquisition of rival luxury retailer Neiman Marcus by Hudson’s Bay Co.—the parent company of Saks Fifth Avenue—with a transaction valued at $2.65 billion. This strategic move aimed to enhance competitiveness against other luxury market players such as Nordstrom and Bloomingdale’s.
Metrick’s departure was described in a statement as motivated by his intention to explore new opportunities, though no additional information regarding his future plans was furnished by Saks Global.
On a broader scale, the challenges faced by Saks Global are reflective of wider industry dynamics, notably the decline in global personal luxury goods sales. According to a study by Bain & Company, this category of goods is anticipated to experience a drop for the second consecutive year, attributed largely to prevailing high prices and economic uncertainty among consumers.
Further financial maneuvers have been reported, including efforts by Saks Global to consider selling a minority ownership interest in Bergdorf Goodman, another luxury retailer, as a means to alleviate its current debt burden, as reported in September.