{"id":364182,"date":"2026-10-04T15:32:13","date_gmt":"2026-10-04T15:32:13","guid":{"rendered":"https:\/\/www.newsbeep.com\/us-ny\/364182\/"},"modified":"2026-10-04T15:32:13","modified_gmt":"2026-10-04T15:32:13","slug":"the-fall-of-saks-what-happened-to-an-american-icon","status":"publish","type":"post","link":"https:\/\/www.newsbeep.com\/us-ny\/364182\/","title":{"rendered":"The Fall of Saks: What Happened to An American Icon"},"content":{"rendered":"<p class=\"paragraph larva \/\/ lrv-u-margin-lr-auto  lrv-a-font-body-m   \">\n\tLong before shopping had an algorithm, it had <a href=\"https:\/\/robbreport.com\/tag\/saks-fifth-avenue\/\" target=\"_blank\" rel=\"noreferrer noopener nofollow\">Saks Fifth Avenue<\/a>.<\/p>\n<p class=\"paragraph larva \/\/ lrv-u-margin-lr-auto  lrv-a-font-body-m   \">\n\tFor several generations of luxury buyers, Saks was the arbiter of elegance, glamour, and impeccably good taste. \u201cSaks is New York,\u201d Donatella Versace once declared inside its Midtown flagship, but its influence extended far beyond Manhattan. Its sumptuous stores across the country became destinations in their own right.<\/p>\n<p class=\"paragraph larva \/\/ lrv-u-margin-lr-auto  lrv-a-font-body-m   \">\n\tFrom <a href=\"https:\/\/robbreport.com\/tag\/armani\/\" id=\"auto-tag_armani\" data-tag=\"armani\" rel=\"nofollow noopener\" target=\"_blank\">Armani<\/a> to <a href=\"https:\/\/robbreport.com\/tag\/zegna\/\" id=\"auto-tag_zegna\" data-tag=\"zegna\" rel=\"nofollow noopener\" target=\"_blank\">Zegna<\/a>, Saks carried rack upon rack of enticing indulgences: Oscar de la Renta gowns and snakeskin Gucci loafers, Montblanc fountain pens and <a href=\"https:\/\/robbreport.com\/tag\/dior\/\" id=\"auto-tag_dior\" data-tag=\"dior\" rel=\"nofollow noopener\" target=\"_blank\">Dior<\/a> eaux de toilettes, precisely tailored Ralph Lauren suits and matching Burberry trench coats for adults and children, <a href=\"https:\/\/robbreport.com\/tag\/chanel\/\" id=\"auto-tag_chanel\" data-tag=\"chanel\" rel=\"nofollow noopener\" target=\"_blank\">Chanel<\/a> 2.55 handbags and <a href=\"https:\/\/robbreport.com\/tag\/louis-vuitton\/\" id=\"auto-tag_louis-vuitton\" data-tag=\"louis-vuitton\" rel=\"nofollow noopener\" target=\"_blank\">Louis Vuitton<\/a> briefcases, and, under its own house label, beautifully crafted pearl necklaces, buttery calfskin gloves, and extra-soft cashmere pullovers and cardigans.<\/p>\n<p class=\"paragraph larva \/\/ lrv-u-margin-lr-auto  lrv-a-font-body-m   \">\n\t\u201cSaks was the reliable destination where you knew you could find whatever you wanted,\u201d says Julia Stedman, a New York\u2013based brand-strategy consultant who works with fashion and technology and shopped there for decades. \u201cEvery luxury brand was there.\u201d<\/p>\n<p>\t\t\t\t\t\t<img loading=\"lazy\" class=\"c-lazy-image__img lrv-u-background-color-grey-lightest lrv-u-width-100p lrv-u-display-block lrv-u-height-auto\" src=\"https:\/\/robbreport.com\/wp-content\/themes\/pmc-robbreport-2017-v2\/assets\/public\/lazyload-fallback.gif\" data-lazy-src=\"https:\/\/www.newsbeep.com\/us-ny\/wp-content\/uploads\/2026\/10\/RR_Saks_Feature_1.jpg\" alt=\"Designers Gianni Versace and Donatella Versace (Photo by Robert Mitra\/WWD\/Penske Media via Getty Images)\" data-lazy- data-lazy- height=\"576\" width=\"1024\" decoding=\"async\"\/><\/p>\n<p>\t\t\t\t\tDonatella Versace signs autographs at a 1996 fragrance event.<\/p>\n<p>\t\t\t\t\t\t\t\t\tPhoto by Robert Mitra\/WWD\/Penske Media via Getty Images<\/p>\n<p class=\"paragraph larva \/\/ lrv-u-margin-lr-auto  lrv-a-font-body-m   \">\n\tFootwear was a particular strongpoint, especially from covetable labels like Manolo Blahnik, Roger Vivier, Jimmy Choo, and Christian Louboutin. At the imposing Manhattan flagship\u2014a Midtown magnet for locals and tourists since it opened in 1924\u2014the massive eighth-floor designer-shoe department earned a distinction that no other store in the country could claim: In 2007, the United States Postal Service gave it its own zip code: 10022-SHOE.<\/p>\n<p class=\"paragraph larva \/\/ lrv-u-margin-lr-auto  lrv-a-font-body-m   \">\n\t\u201cIt was a great shoe department to begin with,\u201d Stedman says. \u201cAnd then they expanded [it]\u2026. Literally, you could find anything and everything you could ever imagine and ever want. And it was always packed and bustling.\u201d In the 2008 film The Women, Annette Bening\u2019s character offered a simpler verdict: \u201cNobody. Hates. Saks.\u201d At the time, it would\u2019ve been hard to disagree.<\/p>\n<p class=\"paragraph larva \/\/ lrv-u-margin-lr-auto  lrv-a-font-body-m   \">\n\tOver the past few years, however, the company\u2019s prestige has taken a beating. Financial and managerial problems, many tied to the 2024 acquisition of <a href=\"https:\/\/robbreport.com\/tag\/neiman-marcus\/\" id=\"auto-tag_neiman-marcus\" data-tag=\"neiman-marcus\" rel=\"nofollow noopener\" target=\"_blank\">Neiman Marcus<\/a>, culminated in Saks Global\u2019s filing for bankruptcy protection in January with $3.4 billion in debt. After restructuring, the firm announced in June that it emerged from Chapter 11. With far fewer stores, it is now called <a href=\"https:\/\/www.exemplarluxurygroup.com\/\" target=\"_blank\" rel=\"noreferrer noopener nofollow\">Exemplar Luxury Group<\/a>. Whether Saks can recover its former stature\u2014and luxury shoppers\u2019 affection\u2014is an open question.<\/p>\n<p class=\"paragraph larva \/\/ lrv-u-margin-lr-auto  lrv-a-font-body-m   \">\n\tIn the wake of the deal, the shopping experience had already deteriorated. Customers increasingly found their once-beloved store stocked with sporadic, often sparse assortments in their favorite categories.<\/p>\n<p>\t\t\t\t\t\t<img loading=\"lazy\" class=\"c-lazy-image__img lrv-u-background-color-grey-lightest lrv-u-width-100p lrv-u-display-block lrv-u-height-auto\" src=\"https:\/\/robbreport.com\/wp-content\/themes\/pmc-robbreport-2017-v2\/assets\/public\/lazyload-fallback.gif\" data-lazy-src=\"https:\/\/www.newsbeep.com\/us-ny\/wp-content\/uploads\/2026\/10\/RR_Saks_Feature_4.jpg\" alt=\"A customer photographs a display of heels as Saks Fifth Avenue unveils 17 August 2007  &quot;10022-SHOE&quot;, the new designer shoe floor that's so big it has its own zip code. The grand opening of 10022-SHOE, Saks Fifth Avenue?s vastly expanded designer shoe floor in the New York flagship store will hold a place in marketing history as the first floor to brand its location as a literal shopping destination. AFP PHOTO\/   TIMOTHY A. CLARY (Photo credit should read TIMOTHY A. CLARY\/AFP via Getty Images)\" data-lazy- data-lazy- height=\"576\" width=\"1024\" decoding=\"async\"\/><\/p>\n<p>\t\t\t\t\tIn 2007, a customer photographs heels on 10022-SHOE, the designer-shoe floor so massive it was given its own zip code.<\/p>\n<p>\t\t\t\t\t\t\t\t\tPhoto by Timothy A. Clary\/AFP via Getty Images<\/p>\n<p class=\"paragraph larva \/\/ lrv-u-margin-lr-auto  lrv-a-font-body-m   \">\n\t\u201cPeople just felt that it wasn\u2019t the same Saks that they used to shop at,\u201d says Anita Berger, a former senior salesperson at the Saks Fifth Avenue location in St. Louis, Mo., which had loyal clients for more than half a century.<\/p>\n<p class=\"paragraph larva \/\/ lrv-u-margin-lr-auto  lrv-a-font-body-m   \">\n\tTo be fair, department stores have been under pressure for years. People now shop online from store sites, brands themselves, Amazon, and the RealReal. Instead of afternoons spent browsing racks of clothing and getting advice from trusted salespeople, shoppers find inspiration from social media. Suits and men\u2019s ties no longer anchor everyday wardrobes as they once did, especially after Covid. And the classic grand-department-store model\u2014floor after cavernous floor packed with merchandise\u2014might well be outdated.<\/p>\n<p class=\"paragraph larva \/\/ lrv-u-margin-lr-auto  lrv-a-font-body-m   \">\n\t\u201cWhat you have is literally this transition and shift in the paradigm,\u201d says Marshal Cohen, chief <a href=\"https:\/\/robbreport.com\/tag\/retail\/\" id=\"auto-tag_retail\" data-tag=\"retail\" rel=\"nofollow noopener\" target=\"_blank\">retail<\/a> adviser at <a href=\"https:\/\/www.circana.com\/\" target=\"_blank\" rel=\"noreferrer noopener nofollow\">Circana<\/a>, a company that tracks consumer-buying patterns. \u201cThe model needs to adjust.\u201d<\/p>\n<p class=\"paragraph larva \/\/ lrv-u-margin-lr-auto  lrv-a-font-body-m   \">\n\tAs <a href=\"https:\/\/www.bain.com\/\" target=\"_blank\" rel=\"noreferrer noopener nofollow\">Bain &amp; Company<\/a> noted in a 2024 report on the state of American department stores, \u201cMany U.S. shoppers are now indifferent or averse to the format.\u201d<\/p>\n<p class=\"paragraph larva \/\/ lrv-u-margin-lr-auto  lrv-a-font-body-m   \">\n\tEven before Saks Fifth Avenue\u2019s purchase of Neiman Marcus in December 2024, some brands sensed trouble, as familiar buyers and salespeople began turning over at an unsettling rate.<\/p>\n<p class=\"paragraph larva \/\/ lrv-u-margin-lr-auto  lrv-a-font-body-m   \">\n\t\u201cYou could kind of smell that something was going on, just because everything was getting a little difficult,\u201d says Daniel Wingate, founder and creative director of <a href=\"https:\/\/wingate-collection.com\/\" target=\"_blank\" rel=\"noreferrer noopener nofollow\">Wingate<\/a>, a collection of sophisticated designer women\u2019s apparel that was sold at trunk shows in Saks Fifth Avenue locations. \u201cThe people in the stores were in and out and changing, unhappy.\u201d \u201cThen,\u201d he adds, \u201cthe rumor started that they were trying to buy Neimans.\u201d<\/p>\n<p>\t\t\t\t\t\t<img loading=\"lazy\" class=\"c-lazy-image__img lrv-u-background-color-grey-lightest lrv-u-width-100p lrv-u-display-block lrv-u-height-auto\" src=\"https:\/\/robbreport.com\/wp-content\/themes\/pmc-robbreport-2017-v2\/assets\/public\/lazyload-fallback.gif\" data-lazy-src=\"https:\/\/www.newsbeep.com\/us-ny\/wp-content\/uploads\/2026\/10\/RR_Saks_Feature_9.jpg\" alt=\"From left: At Saks, the merchandise was only part of the attraction. A family-clothing display fills its store at the American Dream mall in New Jersey; architect Rem Koolhaas\u2019s kaleidoscopic escalators bring design drama to the Manhattan flagship.\" data-lazy- data-lazy- height=\"576\" width=\"1024\" decoding=\"async\"\/><\/p>\n<p>\t\t\t\t\tAt Saks, the merchandise was only part of the attraction. Above: A family-clothing display fills its store at the American Dream mall in New Jersey; architect Rem Koolhaas\u2019s kaleidoscopic escalators bring design drama to the Manhattan flagship.<\/p>\n<p>\t\t\t\t\t\t\t\t\tGeorge Chinese\/WWD\/Alamy<\/p>\n<p class=\"paragraph larva \/\/ lrv-u-margin-lr-auto  lrv-a-font-body-m   \">\n\tThat rumor proved true, of course, and the acquisition helped saddle Saks Global with enough debt that it fell behind paying for product. Many brands eventually felt that they had no choice but to stop shipping.<\/p>\n<p class=\"paragraph larva \/\/ lrv-u-margin-lr-auto  lrv-a-font-body-m   \">\n\t\u201cEvery one of my clients was saying, \u2018God, the stores look so bad\u2014there\u2019s no inventory,\u2019 \u201d explains Gary Wassner, C.E.O. of <a href=\"https:\/\/www.hilldun.com\/\" target=\"_blank\" rel=\"noreferrer noopener nofollow\">Hilldun<\/a>, a financing firm that guarantees payments for about 180 fashion and beauty brands carried at Saks Global\u2019s stores, including Rick Owens, Golden Goose, Ulla Johnson, Isabel Marant, and Victoria Beckham.<\/p>\n<p class=\"paragraph larva \/\/ lrv-u-margin-lr-auto  lrv-a-font-body-m   \">\n\t\u201cThe consumer was well aware walking into any Saks Fifth Avenue that the inventory was depleted,\u201d he adds. \u201cIt was quite noticeable, particularly as the days wore on.\u201d<\/p>\n<p class=\"paragraph larva \/\/ lrv-u-margin-lr-auto  lrv-a-font-body-m   \">\n\t\u201cMy floor looked so bad,\u201d Berger echoes. \u201cCustomers would come in and say, \u2018Are you closing? This looks like Saks Off 5th.\u2019 There was nothing new and exciting because they couldn\u2019t get anything\u2014they owed money to everybody.\u201d<\/p>\n<p class=\"paragraph larva \/\/ lrv-u-margin-lr-auto  lrv-a-font-body-m   \">\n\t\u201cWe never had a full size run of dresses,\u201d recalls Babatunde Fakuade, who worked for nearly a year as a salesperson at Neiman Marcus Lenox Square in Atlanta. \u201cWe would get [size] 2, 12, 8. It\u2019s like, \u2018Where are the other sizes?\u2019 We didn\u2019t get a delivery of full size runs of dresses for months at a time.\u201d<\/p>\n<p class=\"paragraph larva \/\/ lrv-u-margin-lr-auto  lrv-a-font-body-m   \">\n\tThe St. Louis store where Berger spent nearly a decade closed in May. She had already left the previous September.<\/p>\n<p class=\"paragraph larva \/\/ lrv-u-margin-lr-auto  lrv-a-font-body-m   \">\n\t\u201cHow they were treating us, how they were not paying, how the store looked\u2014I just started to feel like, \u2018I need to get out,\u2019 \u201d she says.<\/p>\n<p class=\"paragraph larva \/\/ lrv-u-margin-lr-auto  lrv-a-font-body-m   \">\n\t\u201cIt made more financial sense, literally, to leave the organization without a job secured,\u201d Fakuade says. He left Neiman Marcus a few months ago to focus on a career as a retail business consultant.<\/p>\n<p>\t\t\t\t\t\t<img loading=\"lazy\" class=\"c-lazy-image__img lrv-u-background-color-grey-lightest lrv-u-width-100p lrv-u-display-block lrv-u-height-auto\" src=\"https:\/\/robbreport.com\/wp-content\/themes\/pmc-robbreport-2017-v2\/assets\/public\/lazyload-fallback.gif\" data-lazy-src=\"https:\/\/www.newsbeep.com\/us-ny\/wp-content\/uploads\/2026\/10\/RR_Saks_Feature_8.jpg\" alt=\"Color was central to the department store\u2019s visual history: Witness Christian Louboutin\u2019s vivid boutique in 2013 and playful mannequins at the renovated flagship in 2019. \" data-lazy- data-lazy- height=\"576\" width=\"1024\" decoding=\"async\"\/><\/p>\n<p>\t\t\t\t\tColor was central to the department store\u2019s visual history: Witness Christian Louboutin\u2019s vivid boutique in 2013 and playful mannequins at the renovated flagship in 2019.<\/p>\n<p>\t\t\t\t\t\t\t\t\tDonna Alberico\/The New York Times\/Redux; Joan Slaking\/Education Images\/Universal Images Group\/Getty Images<\/p>\n<p class=\"paragraph larva \/\/ lrv-u-margin-lr-auto  lrv-a-font-body-m   \">\n\tThe cash-flow issues predated the acquisition. Saks Global combined Saks Fifth Avenue, Neiman Marcus stores, <a href=\"https:\/\/robbreport.com\/tag\/bergdorf-goodman\/\" id=\"auto-tag_bergdorf-goodman\" data-tag=\"bergdorf-goodman\" rel=\"nofollow noopener\" target=\"_blank\">Bergdorf Goodman<\/a>, Horchow, and the discount businesses Saks Off 5th and Last Call. Saks entered the deal carrying debt, much of it linked to its 2013 purchase by Hudson\u2019s Bay Company, the former Canadian retailer with roots that dated to 1670. Some early moves raised eyebrows. The Fifth Avenue flagship was mortgaged in 2014 for about $1.2 billion, requiring hefty monthly payments. In 2016, the company bought off-price retailer Gilt Groupe for $250 million, ostensibly to bolster Saks Off 5th, only to sell it again a couple years later for an undisclosed price rumored to be far lower. Other investments added still more recurring payments to the cash-strapped company.<\/p>\n<p class=\"paragraph larva \/\/ lrv-u-margin-lr-auto  lrv-a-font-body-m   \">\n\t\u201cThere were a lot of prior Hudson\u2019s Bay issues\u2014leases and bonds\u2014that Saks, through succession, became obligated on,\u201d explains Lorenzo Marinuzzi, a partner at the law firm <a href=\"https:\/\/www.mofo.com\/\" target=\"_blank\" rel=\"noreferrer noopener nofollow\">Morrison Foerster<\/a>, which represents Saks Global\u2019s unsecured creditors, including Chanel and <a href=\"https:\/\/robbreport.com\/tag\/lvmh\/\" id=\"auto-tag_lvmh\" data-tag=\"lvmh\" rel=\"nofollow noopener\" target=\"_blank\">LVMH<\/a>.<\/p>\n<p class=\"paragraph larva \/\/ lrv-u-margin-lr-auto  lrv-a-font-body-m   \">\n\tHudson\u2019s Bay\u2019s financial baggage did little to soothe vendors waiting to be paid. As Marinuzzi puts it, \u201cWhen you\u2019re telling your vendors that you don\u2019t have money to pay them for goods they\u2019ve sold or shipped or consigned or delivered to your stores, yet you\u2019re paying off this Hudson\u2019s Bay debt, it rubs people the wrong way.\u201d<\/p>\n<p class=\"paragraph larva \/\/ lrv-u-margin-lr-auto  lrv-a-font-body-m   \">\n\tHudson Bay\u2019s Company filed for bankruptcy last year and eventually closed all its stores.<\/p>\n<p>Customers would come in and say, \u2018Are you closing? This looks like Saks on 5th.\u2019<\/p>\n<p class=\"paragraph larva \/\/ lrv-u-margin-lr-auto  lrv-a-font-body-m   \">\n\tAs Saks Global began to unravel, many observers pointed their fingers at Richard Baker, who was Hudson\u2019s Bay Company\u2019s governor, executive chairman, and C.E.O. and became executive chairman of Saks Global. Baker\u2019s background is in real estate, and critics argued that his approach to running department stores often emphasized property and dealmaking over, say, the craftsmanship of a beautifully made suit or a designer evening dress. He bought Lord &amp; Taylor in 2006 with extensive financing, then later sold its building to WeWork in 2017 and its retail operation to Le Tote in 2019; the brick-and-mortar stores subsequently closed in 2020.<\/p>\n<p class=\"paragraph larva \/\/ lrv-u-margin-lr-auto  lrv-a-font-body-m   \">\n\tThe shift showed up in Saks Global\u2019s own language. A July 2024 press release announcing the planned purchase described the new company as \u201ca combination of world-class luxury retail and real-estate assets.\u201d When the deal finalized, Baker said the plan was \u201cto redefine the luxury shopping experience\u201d with, among other things, \u201ca portfolio of prime real estate.\u201d<\/p>\n<p>\t\t\t\t\t\t<img loading=\"lazy\" class=\"c-lazy-image__img lrv-u-background-color-grey-lightest lrv-u-width-100p lrv-u-display-block lrv-u-height-auto\" src=\"https:\/\/robbreport.com\/wp-content\/themes\/pmc-robbreport-2017-v2\/assets\/public\/lazyload-fallback.gif\" data-lazy-src=\"https:\/\/www.newsbeep.com\/us-ny\/wp-content\/uploads\/2026\/10\/RR_Saks_Feature_6.jpg\" alt=\"From left: Richard Baker sits at the Saks Fifth Avenue flagship in Manhattan. His tenure as Saks Global C.E.O. lasted less than two weeks; In 2019, then-president Marc Metrick poses inside the revamped Manhattan flagship.\" data-lazy- data-lazy- height=\"576\" width=\"1024\" decoding=\"async\"\/><\/p>\n<p>\t\t\t\t\tFrom left: Richard Baker sits at the Saks Fifth Avenue flagship in Manhattan. His tenure as Saks Global C.E.O. lasted less than two weeks; In 2019, then-president Marc Metrick poses inside the revamped Manhattan flagship.<\/p>\n<p>\t\t\t\t\t\t\t\t\tBaker: Dina Litovsky\/Redux\/Metrick: Karsten Moran\/Redux<\/p>\n<p class=\"paragraph larva \/\/ lrv-u-margin-lr-auto  lrv-a-font-body-m   \">\n\t\u201cThere\u2019s a lot of head-scratching about the way Richard Baker handled himself and ran the company, his background\u2014maybe it wasn\u2019t the right background for this kind of retailer,\u201d Marinuzzi says. \u201cWhen people thought about the decisions that were being made and how the company was being operated, they didn\u2019t really trust management, and they didn\u2019t trust Richard Baker.\u201d<\/p>\n<p class=\"paragraph larva \/\/ lrv-u-margin-lr-auto  lrv-a-font-body-m   \">\n\tWhen the transaction was announced, Baker told The New York Times that \u201cwhen selling luxury products, you need beautiful stores and salespeople customers trust.\u201d By the time Saks Global filed for Chapter 11, many of its stores instead had thinly stocked sales floors and disgruntled employees.<\/p>\n<p class=\"paragraph larva \/\/ lrv-u-margin-lr-auto  lrv-a-font-body-m   \">\n\tBaker left Saks Global in January. These days, his public focus appears to be back on real estate, including in regular posts on his Instagram account, whose bio describes him as \u201cBehind $Billions in Real Estate.\u201d Baker\u2019s response to a request for an interview for this story was, \u201cNo comment on Saks at this time.\u201d Exemplar Luxury Group also declined repeated requests to make executives available for this article.<\/p>\n<p class=\"paragraph larva \/\/ lrv-u-margin-lr-auto  lrv-a-font-body-m   \">\n\tWhen Saks Global filed for bankruptcy protection, the sums owed to some of the world\u2019s biggest luxury brands were staggering. According to a January 2026 court document, it owed more than $136 million to Chanel; roughly $60 million to <a href=\"https:\/\/robbreport.com\/tag\/kering\/\" id=\"auto-tag_kering\" data-tag=\"kering\" rel=\"nofollow noopener\" target=\"_blank\">Kering<\/a>, owner of Gucci, Saint Laurent, and Bottega Veneta; about $30 million to <a href=\"https:\/\/robbreport.com\/tag\/richemont\/\" id=\"auto-tag_richemont\" data-tag=\"richemont\" rel=\"nofollow noopener\" target=\"_blank\">Richemont<\/a>, parent company of Cartier, Montblanc, and Chlo\u00e9; and nearly $16 million to the Est\u00e9e Lauder Companies, whose brands include La Mer, Jo Malone London, Le Labo, and Tom Ford.<\/p>\n<p class=\"paragraph larva \/\/ lrv-u-margin-lr-auto  lrv-a-font-body-m   \">\n\tThose losses are undeniably vast, but global giants have some cushion: their own boutiques, other department-store counters, and immense international reach. For brands with smaller footprints, late or missing payments can be far more crippling.<\/p>\n<p>\t\t\t\t\t\t<img loading=\"lazy\" class=\"c-lazy-image__img lrv-u-background-color-grey-lightest lrv-u-width-100p lrv-u-display-block lrv-u-height-auto\" src=\"https:\/\/robbreport.com\/wp-content\/themes\/pmc-robbreport-2017-v2\/assets\/public\/lazyload-fallback.gif\" data-lazy-src=\"https:\/\/www.newsbeep.com\/us-ny\/wp-content\/uploads\/2026\/10\/RR_Saks_Feature_7.jpg\" alt=\"For decades, Saks made a spectacle of shopping. Above: Women window-shop along Fifth Avenue circa 1952, while the opposite image shows the store\u2019s window displays in a more contemporary guise.\" data-lazy- data-lazy- height=\"576\" width=\"1024\" decoding=\"async\"\/><\/p>\n<p>\t\t\t\t\tFor decades, Saks made a spectacle of shopping. Above: Women window-shop along Fifth Avenue circa 1952, while the opposite image shows the store\u2019s window displays in a more contemporary guise.<\/p>\n<p>\t\t\t\t\t\t\t\t\tWomen Window: Pix\/Michael Ochs Archives\/Getty Images; Shop Window Display: Martin Sasse\/LAIF\/Redux<\/p>\n<p class=\"paragraph larva \/\/ lrv-u-margin-lr-auto  lrv-a-font-body-m   \">\n\t\u201cAs a small business, you have limited bandwidth,\u201d says a senior executive at a small, critically acclaimed beauty brand that was carried at Neiman Marcus. \u201cFinances are not just endless.\u201d<\/p>\n<p class=\"paragraph larva \/\/ lrv-u-margin-lr-auto  lrv-a-font-body-m   \">\n\tHer brand has still not received the \u201csix figures\u201d it is owed for orders shipped to the retailer, despite having filed legal paperwork seeking to recover at least part of it. Without that income, the brand\u2019s small management team was forced to stop contracting several freelancers it relied upon. One manager left for another job. The company is now trying to rebuild its retail network and customer base with other vendors.<\/p>\n<p class=\"paragraph larva \/\/ lrv-u-margin-lr-auto  lrv-a-font-body-m   \">\n\tShe is one of several sources who spoke under the condition of anonymity in an industry where everyone knows everyone. Many former Saks Global staffers approached for this story said that they had signed nondisclosure agreements or were in litigation over money they are owed\u2014and declined to comment.<\/p>\n<p class=\"paragraph larva \/\/ lrv-u-margin-lr-auto  lrv-a-font-body-m   \">\n\tThe beauty brand was hardly alone in making sacrifices to keep operating without payments it had expected to receive.<\/p>\n<p class=\"paragraph larva \/\/ lrv-u-margin-lr-auto  lrv-a-font-body-m   \">\n\t\u201cYou have to keep going,\u201d explains an executive at another beauty label that is owed more than a quarter of a million dollars by Saks Global. \u201cSo you\u2019re looking at your people, you\u2019re looking at your programs. You might be cutting advertising or awareness programs. You may be cutting marketing plans, launches, photo shoots, company parties. It\u2019s going to be rolled all the way across, because for small businesses to lose money like that is very serious. It seriously affects your bottom line.\u201d<\/p>\n<p class=\"paragraph larva \/\/ lrv-u-margin-lr-auto  lrv-a-font-body-m   \">\n\tFor one celebrity-adored women\u2019s fashion brand carried at Saks, the fallout included canceling a runway show\u2014and losing the deposit on that event space\u2014according to a marketing executive who was aware of the proceedings.<\/p>\n<p class=\"paragraph larva \/\/ lrv-u-margin-lr-auto  lrv-a-font-body-m   \">\n\tA senior executive at another lauded fashion label says missing payments have affected its ability to pay for fabric and buttons, production, staff, and contractors such as a public-relations firm and consultants. The company resorted to laying off 20 percent of its staff because of, as he puts it, \u201cthis cash vacuum.\u201d<\/p>\n<p class=\"paragraph larva \/\/ lrv-u-margin-lr-auto  lrv-a-font-body-m   \">\n\tThe experience, he adds, \u201cwill probably stall our business five years in terms of its growth trajectory.\u201d<\/p>\n<p class=\"paragraph larva \/\/ lrv-u-margin-lr-auto  lrv-a-font-body-m   \">\n\tHis brand is owed several hundred thousand dollars and has received just one full payment for collections across 2024 and 2025, he says. On some invoices, he says, it was paid pennies on the dollar. The executive expects the company will eventually receive about 20 percent of what it is owed.<\/p>\n<p>\t\t\t\t\t\t<img loading=\"lazy\" class=\"c-lazy-image__img lrv-u-background-color-grey-lightest lrv-u-width-100p lrv-u-display-block lrv-u-height-auto\" src=\"https:\/\/robbreport.com\/wp-content\/themes\/pmc-robbreport-2017-v2\/assets\/public\/lazyload-fallback.gif\" data-lazy-src=\"https:\/\/www.newsbeep.com\/us-ny\/wp-content\/uploads\/2026\/10\/RR_Saks_Feature_3.jpg\" alt=\"Kate Moss (seated) appears at a Saks Fifth Avenue store in Los Angeles, California, on September 19, 1995.\" data-lazy- data-lazy- height=\"576\" width=\"1024\" decoding=\"async\"\/><\/p>\n<p>\t\t\t\t\tKate Moss appears at a Los Angeles outpost in 1995.<\/p>\n<p>\t\t\t\t\t\t\t\t\tPhoto by Jan Jarecki\/Penske Media via Getty Images<\/p>\n<p class=\"paragraph larva \/\/ lrv-u-margin-lr-auto  lrv-a-font-body-m   \">\n\tThe problems began with delayed payments, which snowballed into a breakdown in communication. \u201cWe continuously started reaching out for payment and updates, and they went ghost mode on us,\u201d he says. \u201cThey didn\u2019t respond to us for months.\u201d<\/p>\n<p class=\"paragraph larva \/\/ lrv-u-margin-lr-auto  lrv-a-font-body-m   \">\n\tTo make matters worse, his appeals for payment were routed to representatives in Bengaluru (formerly known as Bangalore), India, where Saks Global was handling functions including finance, human resources, merchandising, analytics, and marketing.<\/p>\n<p class=\"paragraph larva \/\/ lrv-u-margin-lr-auto  lrv-a-font-body-m   \">\n\t\u201cIt felt like people who really were not connected to who we were,\u201d he says. \u201cI\u2019m like \u2018Who are we talking to?\u2019 \u201d In one email, he adds, the brand\u2019s name was not even spelled correctly.<\/p>\n<p class=\"paragraph larva \/\/ lrv-u-margin-lr-auto  lrv-a-font-body-m   \">\n\t\u201cYou\u2019re trying to explain to India how you work,\u201d says Wingate, the designer who sold his pieces at Saks trunk shows. \u201cIn the end, it felt like that was a stunt to just delay your payments.\u201d<\/p>\n<p class=\"paragraph larva \/\/ lrv-u-margin-lr-auto  lrv-a-font-body-m   \">\n\tHe used a collection agency to get part of the money he is owed, but still has, he says, \u201csix figures of open invoices that haven\u2019t been paid.\u201d<\/p>\n<p class=\"paragraph larva \/\/ lrv-u-margin-lr-auto  lrv-a-font-body-m   \">\n\tPerhaps inevitably, independent brands have had a harder time getting paid than marquee names. According to a source familiar with Saks Global\u2019s payments to vendors, many of the world-renowned luxury brands carried by Saks, Neimans, and Bergdorf Goodman have received at least half of what they were owed by Saks Global.<\/p>\n<p class=\"paragraph larva \/\/ lrv-u-margin-lr-auto  lrv-a-font-body-m   \">\n\tSome well-known designer brands have been paid everything they are owed, or close to it, according to the source. The terms have been kept closely guarded, in large part because competitors would insist on comparable deals. Brands operating on a concession or consignment model have recovered close to what they were owed.<\/p>\n<p class=\"paragraph larva \/\/ lrv-u-margin-lr-auto  lrv-a-font-body-m   \">\n\tChanel, Kering, LVMH, and the Est\u00e9e Lauder Companies did not reply to requests to comment on how much of their Saks debt they have recovered.<\/p>\n<p>They promised to pay you if you would ship to them again, but I wasn\u2019t taking that risk.<\/p>\n<p class=\"paragraph larva \/\/ lrv-u-margin-lr-auto  lrv-a-font-body-m   \">\n\tThe designers that Hilldun works with were owed more than $66 million by Saks Global, though just under half of that debt was for shipments Hilldun had not guaranteed. Wassner says that the company has paid its clients virtually all of the approved debt, with the exception of a few vendors whose invoices are still being reconciled.<\/p>\n<p class=\"paragraph larva \/\/ lrv-u-margin-lr-auto  lrv-a-font-body-m   \">\n\tSome brands had already weathered payment problems leading up to Neiman Marcus\u2019s 2020 bankruptcy before encountering Saks Global\u2019s more recent troubles.<\/p>\n<p class=\"paragraph larva \/\/ lrv-u-margin-lr-auto  lrv-a-font-body-m   \">\n\t\u201cWe gave up,\u201d says an executive who runs a tastemaker-approved unisex grooming brand that was sold at Neimans and Saks during both eras. \u201cThey promised to pay you if you would ship to them again, but I wasn\u2019t taking that risk.\u201d<\/p>\n<p class=\"paragraph larva \/\/ lrv-u-margin-lr-auto  lrv-a-font-body-m   \">\n\tHis company is owed more than $100,000 by the retailer, he says.<\/p>\n<p class=\"paragraph larva \/\/ lrv-u-margin-lr-auto  lrv-a-font-body-m   \">\n\tAfter filing for bankruptcy this year, Saks Global began restructuring in earnest. It closed 21 stores\u201418 Saks Fifth Avenues and three Neiman Marcuses\u2014including outposts in Chicago, where Saks had operated since 1929, as well as Costa Mesa, Las Vegas, St. Louis, San Antonio, and McLean, Va. It also closed more than 60 Saks Off 5th and Last Call stores. (The lone overseas Saks, in Kazakhstan, remains open.)<\/p>\n<p class=\"paragraph larva \/\/ lrv-u-margin-lr-auto  lrv-a-font-body-m   \">\n\tAs stores were cleared out and inventory marked down, shoppers once again encountered Saks Fifth Avenue and Neiman Marcus stores stripped of the upscale allure that had defined them. TikTok filled with videos of grim stores nearing closure that looked more apocalyptic than luxurious.<\/p>\n<p class=\"paragraph larva \/\/ lrv-u-margin-lr-auto  lrv-a-font-body-m   \">\n\t\u201cBad news travels faster than good news,\u201d says Cohen, the Circana adviser. \u201cPeople love to share their war stories of shopping.\u201d And, thanks to smartphones, that news now travels faster than ever.<\/p>\n<p>\t\t\t\t\t\t<img loading=\"lazy\" class=\"c-lazy-image__img lrv-u-background-color-grey-lightest lrv-u-width-100p lrv-u-display-block lrv-u-height-auto\" src=\"https:\/\/robbreport.com\/wp-content\/themes\/pmc-robbreport-2017-v2\/assets\/public\/lazyload-fallback.gif\" data-lazy-src=\"https:\/\/www.newsbeep.com\/us-ny\/wp-content\/uploads\/2026\/10\/RR_Saks_Feature_5.jpg\" alt=\"FILE -- Holiday shoppers line up outside Saks Fifth Avenue in Manhattan, Dec. 24, 1978. Saks Fifth Avenue's bankruptcy filing has revived debates about how once celebrated shopping emporiums can regain their luster. (Joyce Dopkeen\/The New York Times)\" data-lazy- data-lazy- height=\"576\" width=\"1024\" decoding=\"async\"\/><\/p>\n<p>\t\t\t\t\tHoliday shoppers line up outside Saks Fifth Avenue on Dec. 24, 1978. <\/p>\n<p>\t\t\t\t\t\t\t\t\tJoyce Dopkeen\/The New York Times\/Redux<\/p>\n<p class=\"paragraph larva \/\/ lrv-u-margin-lr-auto  lrv-a-font-body-m   \">\n\tAs Saks Global restructured to emerge from bankruptcy, an initial $1.75 billion in new capital allowed suppliers to be paid and merchandise to begin flowing again. In March, Exemplar Luxury Group announced that nearly 600 brands had resumed shipping. On a recent walk through the Saks Fifth Avenue flagship across from Rockefeller Center, the store appeared amply stocked across its floors.<\/p>\n<p class=\"paragraph larva \/\/ lrv-u-margin-lr-auto  lrv-a-font-body-m   \">\n\tAccording to Exemplar, associates at Bergdorf Goodman, Neiman Marcus, and Saks Fifth Avenue are seeing higher overall sales this year than during the same period in 2025, though the company would not say by how much.<\/p>\n<p class=\"paragraph larva \/\/ lrv-u-margin-lr-auto  lrv-a-font-body-m   \">\n\tStill, rebuilding trust with both consumers and the fashion industry is no guarantee.<\/p>\n<p class=\"paragraph larva \/\/ lrv-u-margin-lr-auto  lrv-a-font-body-m   \">\n\t\u201cIt\u2019s hard to come out of that with both your brand partners and with your consumers,\u201d notes Aaron Cheris, a partner at Bain &amp; Company and head of its global retail practice.<\/p>\n<p class=\"paragraph larva \/\/ lrv-u-margin-lr-auto  lrv-a-font-body-m   \">\n\tFor consumers especially, disappointment with service and selection, he says, \u201ccreates a bit of a doom loop that you really have to get out of.\u201d<\/p>\n<p class=\"paragraph larva \/\/ lrv-u-margin-lr-auto  lrv-a-font-body-m   \">\n\tThe challenge, Cheris adds, is straightforward: \u201cCan you convince both suppliers and customers that there\u2019s a new day one?\u201d<\/p>\n<p class=\"paragraph larva \/\/ lrv-u-margin-lr-auto  lrv-a-font-body-m   \">\n\tFor designers who remain skeptical, Exemplar\u2019s loss may become its competitiors\u2019 gain.<\/p>\n<p class=\"paragraph larva \/\/ lrv-u-margin-lr-auto  lrv-a-font-body-m   \">\n\t\u201cNow more than ever, every brand I know wants to be in Bloomingdales,\u201d says an industry insider. \u201cIt\u2019s almost like Bloomingdales and Nordstrom will become what Barneys was in the \u201980s.\u201d<\/p>\n<p class=\"paragraph larva \/\/ lrv-u-margin-lr-auto  lrv-a-font-body-m   \">\n\tMeanwhile, some shoppers have yet to venture back to Saks.<\/p>\n<p class=\"paragraph larva \/\/ lrv-u-margin-lr-auto  lrv-a-font-body-m   \">\n\t\u201cIt\u2019s going to take a while to rebuild my trust,\u201d says Stedman, the longtime Saks shopper. \u201cGoing there during that funky period, there was no stock, everything was on sale\u2014it was madness. During that time, what made Saks special was not there anymore.\u201d<\/p>\n<p class=\"paragraph larva \/\/ lrv-u-margin-lr-auto  lrv-a-font-body-m   \">\n\t\u201cI\u2019m going to take a wait-and-see approach and see what happens with them,\u201d she says.<\/p>\n","protected":false},"excerpt":{"rendered":"Long before shopping had an algorithm, it had Saks Fifth Avenue. For several generations of luxury buyers, Saks&hellip;\n","protected":false},"author":2,"featured_media":364183,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[8],"tags":[15584,37730,35314,8861,28676,28679,12382,28678,1472,33512,9,24,55,54,56,5943,135096,21489,135097],"class_list":["post-364182","post","type-post","status-publish","format-standard","has-post-thumbnail","category-new-york-city","tag-50th-anniversary","tag-armani","tag-bergdorf-goodman","tag-chanel","tag-dior","tag-kering","tag-louis-vuitton","tag-lvmh","tag-magazine","tag-neiman-marcus","tag-new-york","tag-new-york-city","tag-new-york-city-headlines","tag-new-york-city-news","tag-ny","tag-retail","tag-richemont","tag-saks-fifth-avenue","tag-zegna"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/posts\/364182","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/comments?post=364182"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/posts\/364182\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/media\/364183"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/media?parent=364182"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/categories?post=364182"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/tags?post=364182"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}