Bergdorf Goodman Files Bankruptcy

Iconic luxury department store, Bergdorf Goodman, has filed with their parent company Neiman Marcus for a Chapter 11 bankruptcy and re-structuring. As we have been hearing in the news, the Neiman Marcus group and all of their 40 stores have closed citing bankruptcy due to the COVID-19 pandemic. We have been hearing a lot of chit chat about what would happen in this scenario and it looks like the Neiman Marcus group is in around $5 Billion dollars of debt with creditors.

As Bergdorf Goodman released a statement late last week after the news broke, they have “re-assured” us that their creditors are working with them in refinancing their debt down from $5 Billion dollars to $1 Billion dollars, projecting that this Chapter 11 bankruptcy will restructure the company with eliminating the $4 Billion debt in which they have dug themselves into.

They continue to stress that they are not liquidating any of their assets and that they are “resilient”.

What are your thoughts? Do you think the Neiman Marcus group will re-open including Bergdorf Goodman? COMMENT BELOW!