Lead
Marc Metrick, who led Saks Fifth Avenue since 2015 and became chief executive of the combined Saks Global group, stepped down on Jan. 2, 2026, after the company missed an interest payment and began weighing its options, including bankruptcy. Richard Baker, the executive chairman who orchestrated the 2024 acquisition of Neiman Marcus Group, has assumed the CEO role, the company said. The move follows a year of declining sales and mounting leverage tied to a $2.7 billion acquisition in 2024. Saks Global has said little publicly as it assesses next steps.
Key Takeaways
- Saks Global announced on Jan. 2, 2026, that Marc Metrick had stepped down and Richard Baker had taken on the chief executive role in a company statement.
- The company missed an interest payment on its debt on the previous Tuesday and is reportedly considering options that include filing for bankruptcy.
- Saks acquired Neiman Marcus Group in 2024 for $2.7 billion, a transaction the company says increased scale but also added substantial debt.
- Revenue for the quarter ended Aug. 2 fell more than 13 percent year over year to $1.6 billion, prompting the retailer to lower full-year guidance in October 2025.
- Neiman Marcus previously filed for bankruptcy in 2020; the combined group aimed to unify loyalty, buying power and customer experience across high‑end banners.
- Company spokespeople declined additional comment as lenders and advisers reportedly were being consulted about next steps.
Background
The creation of Saks Global was driven by an ambition to bring together three storied luxury retailers — Saks Fifth Avenue, Neiman Marcus and Bergdorf Goodman — under one management structure. Proponents argued the merger would generate cost savings, stronger leverage with luxury brands and a more unified loyalty and customer experience. Richard Baker, a former Hudson’s Bay Company executive and the deal’s architect, envisioned the combined group as a luxury retail powerhouse.
Neiman Marcus had already weathered a chapter 11 restructuring in 2020 during the early pandemic period, and Saks faced legacy operational challenges before the 2024 acquisition. After the deal closed, the new group struggled to stabilize sales: the quarter ending Aug. 2 reported $1.6 billion in revenue, down over 13 percent from the prior year. Management reduced its full‑year outlook in October 2025 as consumer demand and promotional pressures weighed on results.
Main Event
On Jan. 2, 2026, Saks Global issued a statement saying Marc Metrick had stepped down as chief executive and that Richard Baker would assume the role. The announcement followed reports that the retailer missed an interest payment on its debt earlier that week, a development that often triggers lender negotiations or covenant waivers. Company representatives did not provide further public comment beyond the transition notice.
People familiar with the situation told reporters the missed payment prompted executives and outside advisers to review strategic and financial options, which could include restructuring the company’s balance sheet or a formal bankruptcy filing. The business has accumulated significant liabilities since the $2.7 billion purchase of Neiman Marcus Group in 2024, and management has struggled to reverse a sales decline that accelerated in the latter half of 2025.
Richard Baker, who served as executive chairman and had overseen the integration plan, emphasized at the merger’s launch that he envisioned retaining the retail banners and sustaining services. In prior comments he said there were no plans to close stores or cut services; during the current crisis he has stepped into the chief executive role to lead negotiations with creditors and guide operational priorities. Company staff and outside advisers are reportedly conducting rapid assessments of liquidity, vendor relationships and covenant exposure.
Analysis & Implications
The leadership change and missed payment increase the likelihood that Saks Global will engage in intensive talks with creditors, including requests for waivers or covenant amendments. Missing an interest payment typically initiates a short window in which borrowers seek creditor forbearance or pursue restructuring options; failure to reach agreements can accelerate a move to chapter 11 protection. For a retail chain carrying legacy store leases and inventory costs, a restructuring could reshape vendor contracts and labor arrangements.
For luxury brands and suppliers, the group’s instability could reduce negotiating leverage or delay payments, prompting brands to limit shipments or tighten terms. Conversely, the combined company’s scale — intended to provide greater buying power and a unified loyalty platform — remains an asset in any refinancing or sale process. Potential suitors or lenders may value the brand equity of Saks Fifth Avenue, Neiman Marcus and Bergdorf Goodman even as they discount earnings amid weak consumer demand.
The broader retail sector watches these developments for contagion risk: if a high‑profile luxury group restructures, it may influence credit terms for other mall‑anchored and department store retailers. Meanwhile, shareholders, landlords and employees face uncertainty; any restructuring could produce a range of outcomes from a negotiated balance‑sheet solution to a court‑supervised reorganization. The timing of decisions will hinge on lender stances, available liquidity and the speed of negotiation under Baker’s new leadership.
Comparison & Data
| Metric | Value |
|---|---|
| 2024 acquisition cost (Neiman Marcus Group) | $2.7 billion |
| Quarterly revenue (ended Aug. 2) | $1.6 billion |
| Year‑over‑year revenue change (quarter) | Down >13% |
The table highlights the primary public financial reference points disclosed in reporting: the $2.7 billion acquisition price in 2024 and the revenue decline recorded for the quarter ending Aug. 2. Those figures frame why leverage became a central issue after the deal closed and why poorer-than-expected sales put pressure on interest coverage and liquidity.
Reactions & Quotes
“Marc Metrick has stepped down and Richard Baker has assumed the role of chief executive,”
Saks Global statement (company)
The company statement announced the leadership change but offered no additional operational roadmap, leaving creditors and markets to interpret next steps.
“The company missed an interest payment and is considering its options, including bankruptcy,”
Person with knowledge of the matter (anonymous)
An unnamed source described bankruptcy as one of the options under review; that characterization has not been confirmed by the company in a public filing.
“There were no plans to close any stores or reduce services,”
Richard Baker (remarks at 2024 merger announcement)
Baker’s earlier assurance about stores and services underscores the tension between preserving brand value and addressing an urgent liquidity crunch.
Unconfirmed
- Whether Saks Global will formally file for chapter 11 bankruptcy — the company has not filed and the decision remains under review.
- The specific terms of any potential deal with lenders or whether store closures or workforce reductions are planned — no official plans have been announced.
Bottom Line
The sudden CEO change at Saks Global and the missed interest payment make a balance‑sheet solution a near‑term priority for the company. Richard Baker’s return to a hands‑on operational role signals an attempt to steady negotiations with creditors while protecting the group’s luxury brands and customer relationships.
How events unfold will depend on the willingness of lenders to provide breathing room and on the company’s ability to stabilize revenue trends. Stakeholders should watch for formal filings, lender statements or a court docket entry as the clearest indicators of the group’s path forward.
Sources
- The New York Times (U.S. newspaper — reporting)