Dallas-based chain Neiman Marcus laid off 500 corporate and support staff on Thursday, the company said.
The move comes just two months after the Luxury retailer, which has a significant amount of debt: $4.7 billion, filed for an IPO to raise $100 million.
Neiman which also owns Bergdorf Goodman, is owned by TPG Capital and Warburg Pincus.
Will you offer us a hand? Every gift, regardless of size, fuels our future.
Your critical contribution enables us to maintain our independence from shareholders or wealthy owners, allowing us to keep up reporting without bias. It means we can continue to make Jewish Business News available to everyone.
You can support us for as little as $1 via PayPal at office@jewishbusinessnews.com.
Thank you.
The layoffs are part of “an initiative called Organization for Growth, ” the company said, “the goal of which is to improve the ways we run our business and to accelerate investments…that drive growth.”
Neiman earned a profit of $14.9 million in the year ended Aug. 1 against a loss of $147 million a year ago. Revenue gained 5.3 percent, to $5.1 billion, although same-store sales gains of 3.9 percent in the most recent year were the worst in five years, Market Watch reports.
In-depth analytic by Walter Loeb [Forbes] Mr. Loeb said that Neiman Marcus tradition continues under the leadership of Karen Katz, the company’s current CEO. “She is leader of a company that now does over $5 billion in sales.” He added, “The company is focusing on e-commerce, which now accounts for 26% of consolidated revenues. That is an amazing figure.”
READ MORE:
Neiman Marcus
Neiman Marcus Group (NMG) made a terse announcement, with few details from management that it has filed for an IPO with the SEC. No date, no size nor the banker’s name was divulged. Maybe the company has not More…
US luxury retailer Neiman Marcus is seeking to take itself back into public markets after a number of years in the hands of private owners. Private equity firms TPG and Warburg Pincus had first acquired More…
Neiman Marcus has given customers a new way to pay without plastic. It has developed an app that will allow customers at Neiman Marcus, Bergdorf Goodman and Last Call stores to pay for merchandise while leaving More…
Karen Katz has been CEO of the legendary Neiman Marcus for 3 years, and in that brief time, she has been revolutionizing the brand, according to Walter Loeb of Forbes magazine. While luxury has been the emphasis More…
Luxury department store Neiman Marcus has introduced a new and revolutionary way for people to see how they look in clothing called a Memory Mirror. The company’s CEO Karen Katz discussed it in an interview with More…
