Neiman Marcus Group Inc., the luxury retailer that’s been struggling to ease its $4.3 billion debt load, is talking with lenders about filing for bankruptcy, Bloomberg News reported. No formal decisions have been made, but Neiman Marcus has held initial talks with lenders about a potential bankruptcy loan that would keep the company running while it works out a recovery plan. The situation remains fluid and plans could change, depending on market conditions, the people said. This includes the impact of the coronavirus, with sales suffering because government officials are telling shoppers to stay home and nonessential businesses to stay shut. Neiman Marcus temporarily closed its stores last week in response to the health crisis. It manages 43 namesake stores across the U.S., two Bergdorf Goodman stores in Manhattan, 24 Last Call locations and one Mytheresa in Germany. Even before the virus spread, the company was struggling because shoppers were defecting to online merchants and consumer tastes were changing. It’s been trying to simultaneously spend more on luring customers while taming its debt load. Like other retailers, Neiman Marcus is bracing for a slump tied to the closures. The company said that it will continue to serve its customers through online channels, including a new selling and styling tool designed to help remote purchasing.
