Saks Global Enterprises said on Tuesday that it will close nine stores as it shifts its focus to more profitable locations.
The company said eight Saks Fifth Avenue locations and one Neiman Marcus store will close.
“By optimizing our operational footprint, we will be better positioned to deliver exceptional products, elevated experiences and highly personalized service across all channels, while simultaneously positioning our company to make investments that enable long-term growth and value creation,” Saks Global Enterprises CEO Geoffroy van Raemdonck said in a statement.
SAKS GLOBAL FILES FOR BANKRUPTCY AFTER $2.7 BILLION NIEMAN MARCUS ACQUISITION DEAL
Saks Global Enterprises, filed for Chapter 11 bankruptcy protection in mid-January in the U.S. Bankruptcy Court for the Southern District of Texas after missing a $100 million interest payment in December, adding to mounting debt obligations.
Saks will ask a U.S. bankruptcy judge to approve the nine store closings at a Friday court hearing, the company said in a court document filed on Tuesday.
Following the filing, Saks Global announced it secured a financing commitment of approximately $1.75 billion, backed by senior secured bondholders and asset-based lenders, to support operations during the restructuring.
CONSUMER CONFIDENCE PLUNGES TO LOWEST LEVEL IN MORE THAN A DECADE
Saks Global announced last month that most Saks OFF 5TH locations across the U.S. would close, just weeks after its bankruptcy filing.
The luxury retailer closed 23 of its Saks OFF 5TH stores on Feb. 2, while another 34 held closing sales starting at the end of January. Only 12 locations in New York, Florida, New Jersey, Georgia, California and Texas will remain open.
MOST SAKS OFF 5TH LOCATIONS NATIONWIDE TO CLOSE AMID BANKRUPTCY PROCEEDINGS
Here’s which Saks Fifth Avenue stores are closing:
The Summit – Birmingham, Alabama
Polaris Fashion Place – Columbus, Ohio
American Dream – East Rutherford, New Jersey
Shops at Canal Place – New Orleans, Louisiana
Bala Plaza – Philadelphia, Pennsylvania
Biltmore Fashion Park – Phoenix, Arizona
Stony Point Fashion Park – Richmond, Virginia
Utica Square – Tulsa, Oklahoma
Here’s the Neiman Marcus store that’s closing:
Copley Place – Boston, Massachusetts
FOX Business’ Greg Norman and Reuters contributed to this report.
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