The news: Saks Global—the roughly year-old troubled parent company of Saks Fifth Avenue and Neiman Marcus—says it is finding its footing and has no plans to close stores, Retail Dive reports.

• The company recently secured $350 million in financing commitments, which it says will support inventory planning ahead of the critical holiday season.
• The company has also begun paying small and medium-sized vendors both in the US and abroad after months—and in some cases, nearly a year—of missed payments, according to WWD. It pledged to pay down $275 million in past-due vendor bills through monthly installments starting in July, with the goal of paying off all outstanding balances by Q2 2026.
• In the meantime, Saks says it is now meeting its commitment to pay vendors 90 days after receipt of goods, which it positions as an attempt to fix its strained supplier relationships.

The big challenge: The promise of the Saks-Neiman Marcus merger—announced last year with backing from Amazon and Salesforce—was greater leverage over suppliers and significant cost savings through streamlined operations. But execution has stumbled.

• Saks Global has faced backlash for blunders such as its announced closing of Neiman Marcus’ flagship in downtown Dallas, (which it later backtracked on) and for its delayed payments to vendors, which continue to erode trust.
• Suppliers remain frustrated. Many say 90-day payment terms are practically unheard of in the industry outside of emergency conditions like the pandemic. For smaller vendors in particular, the delays are financially disruptive—especially heading into the make-or-break holiday season.
• At the same time, Saks faces more financial strains ahead. It must make its first $120 million interest payment this month on the $2.2 billion in bonds it issued to finance its $2.7 billion acquisition of Neiman Marcus last December.

Our take: Saks Global needs more than fresh financing—it needs a clear strategy that will make clear how it can navigate economic headwinds and rebuild trust with suppliers.

With luxury spending softening as consumers grow more cautious, execution in the months ahead will be critical—not just for stability, but for long-term survival.

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