If Saks International recordsdata for chapter within the coming days, the lots of of manufacturers that ship merchandise to Saks, Neiman Marcus and Bergdorf Goodman shops might be behind the listing of collectors.
They’ll probably obtain partial funds on what they’re owed, at greatest. And in a worst-case situation, if the retailer can’t attain a take care of collectors, it might shut its shops and liquidate its stock, very similar to Barneys in 2019 and Matches Vogue in 2024. In each instances, manufacturers that had an excessive amount of of their stock and future gross sales tied up in these retailers took a severe monetary hit. Some went below.
A whole bunch of manufacturers, starting from tiny unbiased designers to European luxurious behemoths, are considering by their relationship with Saks because the clock ticks down. Many had already lowered or halted shipments, fed up with late and lacking funds through the years. Some distributors have sued Saks over unpaid payments and unreturned merchandise.
However a variety of labels that spoke with The Enterprise of Vogue mentioned they’re getting ready to ship out their spring collections within the coming weeks. Whereas conscious of the dangers, they’re playing that Saks, Neiman Marcus and Bergdorf Goodman will emerge from chapter in a stronger monetary place.
Some have already produced spring stock earmarked for Saks, whereas others mentioned they merely can not afford to stroll away from the largest pure luxurious retailer within the US. There’s a playbook for this form of scenario — manufacturers can reroute inventory to different wholesalers, or off-price channels as a final resort — however the scale of Saks’ enterprise makes these calculations unusually consequential.
“We haven’t seen a situation in American retail with this a lot influence, that’s come up to now of uncertainty,” mentioned retail guide Robert Burke, a former govt at Bergdorf Goodman.
Hildun, the financier behind about 140 manufacturers stocked at Saks International shops, urged its purchasers to droop shipments late final yr, and has steered they maintain off on any choices concerning spring merchandise.
“All I can recommend now could be that you just wait to make choices concerning your future orders from Saks International, in addition to your present stock, for an additional week to 10 days, when you can,” Hildun founder Gary Wassner wrote in an e-mail to purchasers on Jan. 6. “I’m conscious that it will influence your money circulation, and I’m additionally conscious that the later your product hits the promoting flooring, the much less probably it’ll obtain a full value margin. However no different choices will protect your margins now.”
The hope is that Saks will emerge from chapter stronger and higher capitalised, permitting it to not solely pay payments on time, however to spend money on shops and advertising to develop gross sales. Even on this best-case situation, few anticipate to get well a lot of what they’re already owed.
“At this level, we’ll see cents on the greenback,” mentioned Amir Taghi, whose namesake model was picked up by Neiman Marcus for spring 2025 and is awaiting fee on fall merchandise. “However we’d like to proceed working with them. They’re a pillar in US retail.”
The choice to work with Saks is simpler for some manufacturers than others. Wassner mentioned he has purchasers who depend on the corporate for 40 % or extra of their gross sales, and would wrestle to maneuver on from the retailer.
On the reverse finish of the spectrum, main European manufacturers sometimes function concessions in American shops, which means they lease area however deal with their very own stock, giving them no less than partial immunity to Saks’ fee issues.
Saks has additionally prioritised fee to some high promoting unbiased labels. Designer Tanya Taylor mentioned the retailer has been immediate on paying her buy orders, and enterprise at each Saks Fifth Avenue and Neiman Marcus grew double-digits in 2025.
“We’re simply going to attend and see what occurs once they discover monetary stability,” she mentioned.“We need to be a superb accomplice, we need to ship spring and we all know it’ll promote.”
Others fall in between, saying they’re sticking with Saks for now, regardless of a historical past of late or lacking funds and the expectation of extra ache forward. But when the scenario will get actually dire, they might get by with out the retailer.
“I’d most probably proceed my partnership, nevertheless, as a enterprise I’m lucky I’m not relying wholly on wholesale,” mentioned one model founder with a handful of shops.
Behind all of those calculations are recollections of previous bankruptcies, notably Matches’, the place the web retailer’s sudden closure caught many manufacturers abruptly.
“I’m very cautious now with transport items to wholesale accounts after what occurred with the Matches chapter,” mentioned Emme Parsons, whose footwear label didn’t get well any fee or remaining merchandise after the retailer shuttered. Since final yr, she has lowered shipments to Bergdorf Goodman, her solely Saks International stockist, and invested in direct-to-consumer distribution.
Nonetheless, Parson stays a believer in multibrand retail. No matter occurs with Saks International within the coming weeks, the shakeup marks a chance for reinvention — and for brand new gamers to swoop in.
“Retail is in a bizarre spot proper now,” she mentioned. “Persons are hungry for discovery, however North America doesn’t have that many good choices.”
