Saks Global will close the majority of its Saks Off 5th stores as it scales back its off-price business to focus on full-price luxury retail, the company said.
Following a review of its off-price operations, the department store group, which filed for bankruptcy earlier this month, said it will shutter 57 Saks Off 5th locations and all five Last Call stores, the clearance division of Neiman Marcus.
Saks Global will keep 12 Saks Off 5th stores open, primarily to sell residual inventory from Saks Fifth Avenue, Neiman Marcus and Bergdorf Goodman.
As part of the shift, the company will stop buying merchandise directly for the Off 5th banner.
Closing sales at the affected Saks Off 5th stores and all remaining Last Call locations are expected to begin Saturday, Jan. 31, pending court approval as part of the Chapter 11 process.
The move comes as rival Nordstrom continues to expand its off-price chain, Nordstrom Rack.
In a related move, saksoff5th.com, a separate legal entity from Saks Global, will wind down operations, with an online closing sale set to begin Friday, Jan. 30.
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“As we advance on Saks Global’s transformation, we are taking decisive steps to realign our business to better serve our luxury customers and drive full-price selling across our core luxury businesses,” said CEO Geoffroy van Raemdonck, who was recently appointed to the role.
“We sincerely thank our Saks Off 5th and Last Call colleagues for the important role they have played in serving our loyal customers.”
Saks Off 5th locations remaining open:
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Gallery @ Westbury Plaza (Garden City, N.Y.)
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Sawgrass Mills (Sunrise, Fla.)
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Woodbury Common Premium Outlets (Central Valley, N.Y.)
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Bergen Town Center (Paramus, N.J.)
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Town Center Aventura (Aventura, Fla.)
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Buckhead Station (Atlanta)
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Miromar Outlets (Estero, Fla.)
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Somerset Shoppes (Boca Raton, Fla.)
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The Outlets at Orange (Orange, Calif.)
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Dolphin Mall (Miami, Fla.)
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Palm Beach Outlets (West Palm Beach, Fla.)
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Grapevine Mills (Grapevine, Texas)
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