Neiman Marcus reaches extension agreement with lenders

By

Gabriella Lacombe

Published
Mar 1, 2019

Neiman Marcus has reached a new agreement with the majority holders of its term loans and unsecured notes, providing an amendment and extension of the company's debt maturities. 

The current agreement, which is still subject to final documentation, proposes a three-year maturity extension on Neiman Marcus’ credit facilities and unsecured notes. In that time, the plan is that the company's transformation "into a customer-centric luxury platform" will give Neiman Marcus Group the boost it needs to conquer its debt, which currently sits at $4.6 billion. 

"The company expects to report that it recently completed its sixth consecutive quarter of comparable revenue growth," Neiman Marcus representatives said in a press statement. "The company’s plan to transform the business is gaining momentum."

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Within the first two months of 2019, Neiman Marcus has pushed for a company overhaul: in late January, the group announced that NMG president and chief merchandising officer James ("Jim") Gold would resign as of March 15, while in early February the company named David Goubert and Ginger Mollo as executive vice president, stores and retail experience, and senior vice president, retail experience for the West Coast, respectively.

According to the company, its recent restructuring aims to reposition Neiman Marcus as a more digital-oriented and experiential retail.