Jacksonville, FL, January 31, 2026
Saks Global has revealed plans to close the majority of its Saks Off 5th stores and all Last Call locations as part of a Chapter 11 bankruptcy reorganization. This strategic pivot aims to refocus on luxury retail operations while managing significant debt. The closures impact many employees and customers, but present an opportunity for streamlining operations and enhancing sales across full-price luxury offerings. Liquidation sales will start soon, offering steep discounts before the closure of numerous locations.
Jacksonville, FL
Saks Global, the parent company of Saks Fifth Avenue and Neiman Marcus, has made headlines with its recent announcement to close the majority of its Saks Off 5th stores and all Last Call locations as part of its Chapter 11 bankruptcy reorganization. This strategic pivot highlights the company’s commitment to refocusing on its core luxury retail operations while addressing its substantial debt burden. As local entrepreneurs and small businesses continue to showcase resilience in the face of economic challenges, the story serves as a reminder of the necessity of adaptability and the potential benefits of reduced regulatory constraints on growth.
The decision, while unfortunate for many employees and customers, presents an opportunity for Saks Global to streamline operations and concentrate on full-price luxury sales. This approach is reflective of broader trends within the retail landscape where companies are adapting to competition and changing consumer behavior. As Jacksonville continues to foster an environment that supports local businesses through innovation and strategic partnerships, the lessons from Saks Global’s restructuring could prove insightful for our community.
Store Closures and Liquidation Sales
Out of 70 Saks Off 5th locations nationwide, only 12 will remain operational. The closures extend to all five Neiman Marcus Last Call stores, which are also set to shut down. To manage the transition effectively, liquidation sales are scheduled to start at selected locations and online, offering discounts of up to 85%, although these are subject to bankruptcy approval. The winding down of the e-commerce platform Saksoff5th.com signifies a significant shift as the company intends to halt new merchandise purchases for the outlet brand.
Financial Challenges and Restructuring
Saks Global filed for Chapter 11 bankruptcy protection on January 14, 2026, primarily due to the pressures of increased competition and a hefty debt load following its acquisition of Neiman Marcus. To address these financial challenges, the company has secured $500 million out of a larger $1.75 billion financing package aimed at stabilizing operations and paying off suppliers. These restructuring efforts are critical as the company seeks to boost sales across its luxury brand divisions.
Impact on Employees and Customers
The closures will undoubtedly impact a significant number of employees, with details to be disclosed by the company. For customers, there are still avenues for redemption and service; gift cards can be processed through February 14, and the stores will continue to accept exchanges and returns for items bought prior to the closure announcements. The surviving Saks Off 5th locations will maintain operations primarily to clear existing inventory from Saks Fifth Avenue, Neiman Marcus, and Bergdorf Goodman.
Background on Saks Global
Saks Global operates a notable portfolio that includes luxury retailers such as Saks Fifth Avenue, Neiman Marcus, and Bergdorf Goodman, along with discount brands like Saks Off 5th and Neiman Marcus Last Call. The company has faced ongoing financial difficulties, primarily due to the burden of debt and a downward shift in sales volume. This latest move to close a significant number of its off-price stores underlines the company’s resolve to pivot back toward luxury offerings, which is where it aims to cultivate stronger profitability.
FAQ
Which Saks Off 5th and Last Call stores are closing?
Out of 70 Saks Off 5th locations, only 12 will remain operational. All five Neiman Marcus Last Call stores will close. Specific store closures will be announced by the company.
When will liquidation sales begin?
Liquidation sales are set to begin at selected Saks Off 5th locations and online, subject to bankruptcy approval. The e-commerce platform Saksoff5th.com will also wind down operations, with sales starting January 30, 2026.
What should customers know about gift cards and returns?
Customers can redeem gift cards through February 14, and stores will accept exchanges and returns for items purchased before the closure announcements. Policies may change during bankruptcy and liquidation, so it’s advisable to check signage or ask store staff before purchasing.
How is Saks Global addressing its financial challenges?
Saks Global filed for Chapter 11 bankruptcy protection on January 14, 2026, following heightened competition and substantial debt from its acquisition of Neiman Marcus. The company has secured $500 million of a broader $1.75 billion financing deal to pay off suppliers and stabilize operations. The restructuring efforts aim to streamline operations and boost full-price sales across its luxury brands.
What is the future of Saks Off 5th stores?
The remaining 12 Saks Off 5th locations will continue to operate, focusing on clearing overflow goods from Saks Fifth Avenue, Neiman Marcus, and Bergdorf Goodman. The company will move away from purchasing merchandise directly for Saks Off 5th.
Key Features
| Feature | Details |
|---|---|
| Store Closures | Out of 70 Saks Off 5th locations, only 12 will remain operational. All five Neiman Marcus Last Call stores will close. |
| Liquidation Sales | Sales offering discounts up to 85% will begin at selected locations and online, subject to bankruptcy approval. Saksoff5th.com will wind down operations, with sales starting January 30, 2026. |
| Financial Restructuring | Saks Global filed for Chapter 11 bankruptcy protection on January 14, 2026, and secured $500 million of a broader $1.75 billion financing deal to pay off suppliers and stabilize operations. |
| Customer Information | Gift cards can be redeemed through February 14. Stores will accept exchanges and returns for items purchased before the closure announcements. Policies may change during bankruptcy and liquidation; customers should check signage or ask store staff before purchasing. |
| Future of Saks Off 5th | The remaining 12 Saks Off 5th locations will focus on clearing overflow goods from Saks Fifth Avenue, Neiman Marcus, and Bergdorf Goodman, moving away from purchasing merchandise directly for Saks Off 5th. |
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Author: STAFF HERE JACKSONVILLE WRITER
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