Marc Metrick has stepped down as CEO of Saks Global, with Executive Chairman Richard Baker taking his place. This leadership change occurs as the luxury retailer faces significant speculation regarding potential bankruptcy.
The departure follows reports that Saks Global, the parent company of Saks Fifth Avenue and Neiman Marcus, is preparing for insolvency. This follows a missed interest payment exceeding US$100 million, linked to debt from the Neiman Marcus merger. Saks Global was established in July 2024 when Hudson’s Bay Company acquired Neiman Marcus. The intention behind this consolidation was to cut costs, manage fluctuating consumer spending, and better compete with rivals.
Metrick, who spent almost 30 years with Saks, led the group after its formation. He was instrumental in developing its digital strategy and broader transformation efforts. The company stated his departure was to pursue "new opportunities" without offering further details.
This executive reshuffling highlights the ongoing structural challenges facing the luxury department store model. Analysts point to evolving consumer tastes and increased competition from both direct-to-consumer brands and other department stores. With Saks Global burdened by substantial debt from the merger, Baker’s appointment, given his background in retail and real estate, suggests a strategic shift towards stabilisation and restructuring during this critical period.
