Saks Holdings, parent company of Saks Fifth Avenue, Neiman Marcus, Bergdorf Goodman, and Saks Off 5th, has filed for Chapter 11 bankruptcy protection. The move puts pressure on over 300 suppliers and technology vendors, including major fashion labels and cloud infrastructure providers, with more than $430 million in outstanding invoices at risk.
- Saks Holdings filed for Chapter 11 bankruptcy on January 14, 2026
- Total liabilities: $2.3 billion; assets: $1.8 billion
- Over $430 million in unpaid invoices to 300+ vendors
- 47 brands owed more than $1 million each
- Technology vendors including Salesforce and Microsoft affected
- Credit default swaps increased by 85 basis points post-filing
Saks Holdings officially initiated Chapter 11 proceedings on January 14, 2026, marking a pivotal moment for one of the most storied retail networks in the U.S. The filing encompasses four flagship brands: Saks Fifth Avenue, Neiman Marcus, Bergdorf Goodman, and Saks Off 5th, all operating under a shared corporate structure. The company cited $2.3 billion in total liabilities and $1.8 billion in assets, reflecting a sustained downturn in luxury retail traffic and declining e-commerce performance over the past two years. The bankruptcy filing has immediate implications for a wide network of creditors. Over 300 vendors—ranging from high-end fashion houses like Prada and Saint Laurent to technology providers such as Salesforce and Microsoft—have outstanding payments totaling $430 million, according to internal documents reviewed by industry analysts. Among these, 47 brands reported payments exceeding $1 million each, with certain suppliers in the apparel and accessories segment facing material revenue loss. Financial markets reacted swiftly: shares of Saks’ parent entity, formerly traded on the NYSE under the ticker SAKS, suspended trading and are now under review for delisting. Credit default swaps on the company widened by 85 basis points within 24 hours, signaling increased default risk. Meanwhile, the bankruptcy court is expected to appoint a trustee to oversee asset liquidation and vendor claims, with priority given to secured lenders and certain employee obligations. The ripple effect extends beyond the retail sector. Technology partners providing cloud services, point-of-sale systems, and customer data platforms are now assessing operational continuity. Some vendors are preparing for delayed payments or restructuring contracts, while others are initiating legal processes to secure collateral. This marks the largest retail bankruptcy in the U.S. since 2021 and could influence future credit terms and supply chain risk models across luxury and high-end consumer goods.