Saks C.E.O. Steps Down as Company Struggles to Pay Down Debt
The New York Times••general
Key Points:
- Saks Global CEO Marc Metrick has stepped down following the company's missed loan payment and considerations of bankruptcy protection.
- Richard Baker, executive chairman and the architect behind Saks Global's creation, has taken over as chief executive.
- The company missed an interest payment on its debt after accumulating significant debt from its $2.7 billion acquisition of Neiman Marcus Group in 2024.
- Saks has struggled with declining sales post-merger, reporting a revenue drop of over 13% in the quarter ending August 2, 2024, compared to the previous year.
- The merger aimed to create a luxury retail powerhouse with cost savings and enhanced customer experience, but challenges persist despite initial plans to maintain all stores and services.
