In a dramatic leadership reversal, Richard Baker is stepping down as chief executive of Saks Global Enterprises less than two weeks after assuming the role. The move comes as the beleaguered luxury retail conglomerate he helped create prepares to file for Chapter 11 bankruptcy protection, according to sources familiar with the matter.
Sudden Departure Amid Financial Turmoil
Baker, who was announced as the company's new CEO on January 2, 2024, has been finalizing his exit in recent days. The people, who asked not to be identified because the decision has not been publicly announced, confirmed his imminent departure. Baker also served as the executive chairman of the department store chain.
The timing is critical, as Saks—a retail institution founded more than 150 years ago—is reportedly close to initiating bankruptcy proceedings. The filing aims to address mounting operational losses and a substantial debt load that has crippled the luxury group.
Architect of a Luxury Empire Steps Away
Baker's exit marks a pivotal moment for a retail empire he was instrumental in building. A longtime real estate investor, Baker was chairman of Hudson's Bay Co. when it acquired Saks Fifth Avenue in 2013. More recently, he was the key architect behind Saks' acquisition of rival Neiman Marcus Group for US$2.65 billion in 2024, a deal that created the current entity, Saks Global Enterprises.
The company's portfolio includes its flagship Saks Fifth Avenue stores, along with the prestigious Bergdorf Goodman and the recently acquired Neiman Marcus chains. The significant debt taken on to finance these expansions has heavily weighed on the conglomerate's financial health.
Potential Successor Emerges from Luxury Ranks
As Baker prepares to depart, a potential successor is already in discussions. Geoffroy van Raemdonck, a current board member of Italian luxury brand Moncler SPA, is negotiating for a senior role at the company, according to the same sources.
Van Raemdonck brings relevant crisis management experience to the table. He served as CEO of Neiman Marcus Group from 2018 until 2024, steering that luxury retailer through a pandemic-era bankruptcy, its subsequent emergence, and recovery. He stepped down from his role following Saks' acquisition of the company.
Representatives for Saks, Richard Baker, and Geoffroy van Raemdonck did not immediately respond to requests for comment on the leadership changes or the potential bankruptcy filing.
The planned Chapter 11 filing represents a stark turn for a historic name in North American retail, highlighting the intense pressures facing the luxury sector from shifting consumer habits, high debt, and economic uncertainty.
