Saks Global plans to close nine additional outlets and most of the Fifth Avenue Club’s freestanding suites as it concentrates its luxury retail operations.
The group said they will close eight Saks Fifth Avenue stores and one Neiman Marcus location, along with most Fifth Avenue Club locations.
Bergdorf Goodman will continue to operate without changes to its footprint.
Saks Global described the moves as an initial optimization phase at the Saks Fifth Avenue and Neiman Marcus properties, with more sites to be reviewed based on performance and lease terms.
Stores and e-commerce platforms at Saks Fifth Avenue, Neiman Marcus and Bergdorf Goodman will continue to operate as normal, in addition to locations entering closing sales.
Customers in markets without physical stores will continue to be served through online and remote sales channels.
The retailer is also reducing standalone Fifth Avenue Club locations, originally established for customers in areas lacking Saks Fifth Avenue stores.
Following its purchase of Neiman Marcus Group in 2024, the company said it can now reach many of those markets through the Neiman Marcus network and intends to maintain three Fifth Avenue Club sites in regions that show growth potential.
Saks Global recently raised $1.75 billion in committed capital and entered voluntary Chapter 11 protection as part of a financial restructuring.
In late January, Saks Global said it would close most off-price outlets under Chapter 11, including most Saks OFF 5TH stores and all remaining Last Call locations, to focus on luxury and full price.
Geoffroy van Raemdonck, global chief executive of Saks, said: “By optimizing our operational footprint, we will be better positioned to deliver exceptional products, elevated experiences and highly personalized service across all channels, while positioning our company to make investments that enable long-term growth and value creation.”
Separately, the company said that starting Feb. 19, customers shopping online for its Horchow home furnishings brand will be redirected to the Neiman Marcus website, where Horchow’s full assortment will be offered.
He said the change is aimed at improving integration between merchandising, marketing and technology.
The retailer added that the measures are part of a broader effort to optimize its store portfolio and operations while maintaining service levels across all its luxury brands.
“Saks Global Bankruptcy Sparks Nine Additional Store Closings” was created and originally published by Retail Insight Network, a brand owned by GlobalData.
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