Saks CEO steps down as luxury retailer struggles under heavy debt load

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NEW YORK (AP) — The top executive of the private company that owns Saks Fifth Avenue and Neiman Marcus is stepping down as it struggles with debt taken on to buy a rival almost two years ago.

Saks Global Enterprises said Friday that the departure of CEO Marc Metrick is effective immediately, and that he will be replaced by Executive Chairman Richard Baker. Baker will continue to serve as executive chairman.

In addition to debt from Saks' $2.65 billion acquisition of Neiman Marcus in the summer of 2024, the company is facing increasing competition from a fragmenting luxury goods sector.

Hudson’s Bay Co., the Canadian owner of Saks Fifth Avenue, split off the luxury retailer’s e-commerce business, Saks.com in 2021. After acquiring Neiman Marcus three years later, Saks Fifth Avenue changed its name to Saks Global.

Saks Global, based in New York City, completed a $600 million notes offering in August in an effort to bolster its liquidity following the Neiman Marcus acquisition.

The company is trying to winnow down its heavy debt load with global sales of luxury goods that are expected to contract for the second straight year in 2026. Wealthier customers have rebelled against extravagant price hikes on goods that haven't drummed up much excitement, in addition to growing anxiety about the global economy, according to a new study by Bain & Co. consultancy released in November.

Metrick joined Saks Fifth Avenue in 1995 and held a variety of positions at Saks and Hudson’s Bay. He was named CEO of Saks Fifth Avenue in 2021 and CEO of Saks Global in 2024.

The company said Friday that he is stepping down to pursue new opportunities.