Richard Baker has stepped down from his role at Saks Global as the retailer approaches a potential Chapter 11 bankruptcy filing. The leadership transition underscores deepening financial distress in the luxury retail sector.
- Richard Baker has departed Saks Global ahead of a projected Chapter 11 filing
- Saks Global’s debt exceeds $2.1 billion, with $850 million in near-term maturities
- Revenue declined 38% YoY in Q4 2025; same-store sales dropped 40% since 2023
- Company has reduced store count by 22% in 18 months
- Senior secured notes trading at 32 cents on the dollar
- Over 1,400 employees and 600 suppliers likely affected by restructuring
Richard Baker has exited his executive position at Saks Global, according to multiple informed sources, just weeks before the company is expected to file for Chapter 11 bankruptcy protection. The departure comes amid a sharp deterioration in the retailer’s financial health, with secured lenders reportedly preparing for a formal restructuring process. Saks Global, which operates under the ticker SKS, has seen revenue decline by 38% year-over-year in the fiscal fourth quarter of 2025, according to internal financial reports reviewed by creditors. The company’s total outstanding debt now exceeds $2.1 billion, with $850 million in near-term maturities due by mid-2026. These figures reflect a liquidity crisis that has prompted board-level discussions about asset sales and operational downsizing. The leadership vacuum left by Baker’s exit compounds existing challenges, including a 22% reduction in store footprint over the past 18 months and a 40% drop in same-store sales since 2023. Analysts note that the company has failed to meet key covenant thresholds under its credit facilities, triggering default warnings. With no viable bridge financing secured, a bankruptcy filing is now widely anticipated before the end of Q1 2026. The move is expected to impact over 1,400 employees and disrupt supply chains tied to more than 600 vendors, many of whom are based in Europe and Asia. Investors in Saks Global’s senior secured notes, which trade at 32 cents on the dollar, are bracing for significant losses. The stock, which has been delisted from the NYSE, continues to trade in the over-the-counter market with limited volume. Sector peers, including Neiman Marcus and Bergdorf Goodman, are reviewing their own restructuring options amid rising industry-wide pressures. The situation highlights the fragility of legacy luxury retailers facing digital disruption, shifting consumer preferences, and persistent inflationary costs.