Overview
- Some bondholders have discussed a debtor-in-possession package with at least $750 million of new money and a potential roll-up of existing debt, though terms remain unsettled.
- The financing would aim to keep Saks Fifth Avenue, Neiman Marcus and Bergdorf Goodman operating through a court-supervised reorganization if a filing occurs in the coming weeks.
- Inventory levels are thin and some brands have paused shipments, compounding cash-flow stress reported over the past year.
- Vendor strains are mounting, with lawsuits over unpaid invoices and warnings that multimillion-dollar exposures could imperil some suppliers if recoveries prove minimal.
- Industry lawyers and other experts view a filing as likely on a near-term timeline, with one attorney estimating an early February window while emphasizing the situation could change.