Tags: neiman marcus | bankruptcy | filing | 600m | emergency | funding

CNBC: Neiman Marcus Eyes Sunday Bankruptcy Filing, $600M Emergency Funding

CNBC: Neiman Marcus Eyes Sunday Bankruptcy Filing, $600M Emergency Funding

(Jonathan Weiss | Dreamstime.com)

By    |   Friday, 24 April 2020 04:20 PM EDT

Neiman Marcus Group Inc. could file for bankruptcy as soon as Sunday and is in talks with its current lenders about raising roughly $600 million in emergency financing to fund operations through the restructuring, people familiar with the situation tell CNBC.

In bankruptcy, the retailer will work to flush its more than $4 billion in debt leftover from its sale to Ares Management and Canada Pension Plan Investment Board in 2013, CNBC reported.

Neiman Marcus is hoping its status as a luxury brand will help it emerge from the crisis a leaner and stronger company. The department store chain also owns high-end Bergdorf Goodman in New York’s midtown, CNBC said.

It does not plan to close any of its 43 Neiman Marcus stores as part of its planned Sunday bankruptcy filing, the people said. Still, retailers sometimes whittle down their store footprint while in bankruptcy, CNBC said.

Earlier this week, Reuters had reported that the U.S. department store operator is in the final stages of negotiating a loan that would amount to hundreds of millions of dollars and help bankroll some of its operations during the process.

Neiman Marcus and owner Ares Management declined to comment to Reuters while representatives from its other owner, the Canada Pension Plan Investment Board, did not immediately respond to Reuters requests for comment.

Bloomberg reported late last month that the retailer held initial talks with lenders about a potential bankruptcy loan that would keep the company running while it works out a recovery plan.

The retailer was already struggling before the spread of the coronavirus in the U.S. forced it to shut its stores. Creditor Marble Ridge said on April 16 in a letter to the Neiman Marcus board that that the store operator had failed to make a $5.7 million bond payment, triggering a 30-day grace period for Neiman before a formal event of default takes effect.

This report uses material from Bloomberg and Reuters.

© 2026 Newsmax Finance. All rights reserved.


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Neiman Marcus Group Inc. could file for bankruptcy as soon as Sunday and is in talks with its current lenders about raising roughly $600 million in emergency financing to fund operations through the restructuring, people familiar with the situation tell CNBC.
neiman marcus, bankruptcy, filing, 600m, emergency, funding
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2020-20-24
Friday, 24 April 2020 04:20 PM
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