This article is about the defunct holding company. For the department store chain, see Saks Fifth Avenue.
Saks, Inc. (originally Proffitt's, Inc.) was an American holding company founded in 1919. Before acquisition by the Canadian-founded Hudson's Bay Company in 2013, it held ownership of department store chains including New York City-based Saks Fifth Avenue (1998–2013) and Tennessee-based Proffitt's (1919–2005). It acquired several mid-range department store chains in the 1990s, however, refocused on upscale retailing and divested of them in the mid-2000s.
HBC maintains the Saks Fifth Avenue nameplate through the full-line department stores, Saks Off 5th off-price stores, and SaksWorks coworking space provider.
Proffitt's Inc. began as five Proffitt's stores in the Knoxville, Tennessee, metropolitan area. After going public under the symbol PRFT on the NASDAQ stock exchange in 1987, Proffitt's Inc. grew by acquiring several department stores. In 1989 the company purchased 18 Hess's locations in Tennessee, Virginia, Kentucky, and Georgia. From 1994 to 1998, the company added McRae's, Younkers, Parisian, Herberger's, Carson Pirie Scott, the Wisconsin-based Boston Store chain, and Bergner's chains, as well as additional stores from Loveman's, Parks-Belk, and Brody's, which were converted into existing store nameplates. After acquiring Parisian, Proffitt's relocated its corporate headquarters to Birmingham, Alabama, from Knoxville in October 1997. Although the full Saks company no longer has a store in Mississippi, Saks operates its data services from the former McRae's headquarters in Jackson, Mississippi.
1998 acquisition of Saks HoldingsEdit
In September 1998, the company acquired the holding company for the luxury retailer Saks Fifth Avenue, Saks Holdings, Inc., and subsequently changed its legal name to Saks, Incorporated. The acquisition brought the Saks Fifth Avenue and Off 5th franchises, as well as Folio, a mail-order business and Saks.com, an online retailer.
The former Saks Fifth Avenue properties became the Saks Fifth Avenue Enterprises division of the company with the larger Birmingham-based department store division becoming the Saks Department Store Group. The company's main-line department store group was made up of its Southern Department Store Group: McRae's and Proffitt's, the Northern Department Store Group: Bergner's, Boston Store, Carson Pirie Scott, Herberger's and Younkers, the company's Specialty Department Store Group Parisian, and the company's Saks Fifth Avenue Enterprises which included Saks Fifth Avenue and Off 5th.
Operations during 21st centuryEdit
In 2001, the company recorded record revenues of $6.6 billion, making it a member of the Fortune 500 and one of the largest operators of department stores in the United States. The company was also a primary sponsor of the Bruno's Memorial Classic golf tournament, now known as the Regions Charity Classic. The company moved its headquarters to Midtown Manhattan, New York City in 2007.[3]
In 2005, vendors filed against Saks alleging unlawful chargebacks. The U.S. Securities and Exchange Commission (SEC) investigated the complaint for years, and according to the New York Times "exposed a tangle of illicit tactics that let Saks ... keep money it owed to clothing makers", inflating Saks' yearly earnings up to 43% and abusively collecting around $30 million from suppliers over seven years.[4] Saks settled with the SEC in 2007, after firing three or more executives involved in the fraudulent activities.[5][4] In March, 2005, Saks announced to restate financial results from fiscal 1999 through the third quarter of fiscal 2004 to correct some accounting errors related to its previously recorded operating leases.[6]
By 2005, Saks Incorporated began to seek a narrower focus towards the luxury-oriented retail synonymous with its Saks Fifth Avenue stores. The decision resulted in a July 2005 sale of its combined 47 Proffitt's and McRae's stores to Belk for approximately $622 million.
On October 31 that same year, Saks announced that it was selling the 142 stores within its Northern Department Store Group, including Carson Pirie Scott, Bergner's, Younkers, Herberger's, and Boston Store to Bon-Ton Stores, Inc., for $1.1 billion; the transaction was complete as of March 6, 2006.[7]
On August 2, 2006, Saks Incorporated announced that it had agreed to sell its upscale 38 Parisian stores, along with two regional distribution centers and Birmingham corporate headquarters to Belk, which rebranded them under their own name in the third quarter of 2007.
On November 5, 2008, Saks announced the closure of the unprofitable Club Libby Lu chain.[8]
^da Silva, Michelle (November 4, 2013). "Hudson's Bay Company acquires Saks Fifth Avenue". The Georgia Straight. Retrieved January 18, 2022.
^"2010 Form 10-K, Saks Incorporated". United States Securities and Exchange Commission.
^"Corporate Addresses 2005-10-18 at the Wayback Machine." Saks Incorporated. Retrieved on March 1, 2010.
^ abBarbaro, Michael (2007-09-06). "Saks Settles With S.E.C. on Overpayments". The New York Times. ISSN 0362-4331. Retrieved 2015-09-21.
^"Saks Inc. Settles Financial Reporting and Related Charges by SEC" (Press release). Securities and Exchange Commission. 5 September 2007. Retrieved 2014-05-21.
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This article is about the defunct holding company For the department store chain see Saks Fifth Avenue Saks Inc originally Proffitt s Inc was an American holding company founded in 1919 Before acquisition by the Canadian founded Hudson s Bay Company in 2013 it held ownership of department store chains including New York City based Saks Fifth Avenue 1998 2013 and Tennessee based Proffitt s 1919 2005 It acquired several mid range department store chains in the 1990s however refocused on upscale retailing and divested of them in the mid 2000s Saks Inc FormerlyProffitts Inc 1919 1998 TypePublicTraded asPRFT 1987 1998 SKS 1998 2013 IndustryRetailGenreDepartment storesFounded1919 104 years ago 1919 in Maryville Tennessee U S DefunctNovember 4 2013 9 years ago 2013 11 04 FateAcquired by Hudson s Bay CompanyHeadquartersNew York City New York U S USNumber of locations46 full line 69 off price 2013 Area servedUnited States Bahrain Mexico Saudi Arabia United Arab Emirates 2013 Key peopleStephen Sadove chairman and CEO Kevin Wills CFO RevenueUS 3 147 billion 2013 Operating incomeUS 138 49 million 2013 Net incomeUS 62 88 million 2013 Total assetsUS 2 09 billion 2013 Total equityUS 1 149 billion 2013 Number of employees12 900 2011 SubsidiariesSaks Fifth Avenue Saks Fifth Avenue Off 5thWebsiteOfficial website at the Wayback Machine archived December 8 2013 Footnotes references 1 2 HBC maintains the Saks Fifth Avenue nameplate through the full line department stores Saks Off 5th off price stores and SaksWorks coworking space provider Contents 1 Operations during 20th century 1 1 1998 acquisition of Saks Holdings 2 Operations during 21st century 2 1 2013 acquisition by Hudson s Bay Company 3 List of department stores 4 References 5 External linksOperations during 20th century EditProffitt s Inc began as five Proffitt s stores in the Knoxville Tennessee metropolitan area After going public under the symbol PRFT on the NASDAQ stock exchange in 1987 Proffitt s Inc grew by acquiring several department stores In 1989 the company purchased 18 Hess s locations in Tennessee Virginia Kentucky and Georgia From 1994 to 1998 the company added McRae s Younkers Parisian Herberger s Carson Pirie Scott the Wisconsin based Boston Store chain and Bergner s chains as well as additional stores from Loveman s Parks Belk and Brody s which were converted into existing store nameplates After acquiring Parisian Proffitt s relocated its corporate headquarters to Birmingham Alabama from Knoxville in October 1997 Although the full Saks company no longer has a store in Mississippi Saks operates its data services from the former McRae s headquarters in Jackson Mississippi 1998 acquisition of Saks Holdings Edit In September 1998 the company acquired the holding company for the luxury retailer Saks Fifth Avenue Saks Holdings Inc and subsequently changed its legal name to Saks Incorporated The acquisition brought the Saks Fifth Avenue and Off 5th franchises as well as Folio a mail order business and Saks com an online retailer The former Saks Fifth Avenue properties became the Saks Fifth Avenue Enterprises division of the company with the larger Birmingham based department store division becoming the Saks Department Store Group The company s main line department store group was made up of its Southern Department Store Group McRae s and Proffitt s the Northern Department Store Group Bergner s Boston Store Carson Pirie Scott Herberger s and Younkers the company s Specialty Department Store Group Parisian and the company s Saks Fifth Avenue Enterprises which included Saks Fifth Avenue and Off 5th Operations during 21st century EditIn 2001 the company recorded record revenues of 6 6 billion making it a member of the Fortune 500 and one of the largest operators of department stores in the United States The company was also a primary sponsor of the Bruno s Memorial Classic golf tournament now known as the Regions Charity Classic The company moved its headquarters to Midtown Manhattan New York City in 2007 3 In 2005 vendors filed against Saks alleging unlawful chargebacks The U S Securities and Exchange Commission SEC investigated the complaint for years and according to the New York Times exposed a tangle of illicit tactics that let Saks keep money it owed to clothing makers inflating Saks yearly earnings up to 43 and abusively collecting around 30 million from suppliers over seven years 4 Saks settled with the SEC in 2007 after firing three or more executives involved in the fraudulent activities 5 4 In March 2005 Saks announced to restate financial results from fiscal 1999 through the third quarter of fiscal 2004 to correct some accounting errors related to its previously recorded operating leases 6 By 2005 Saks Incorporated began to seek a narrower focus towards the luxury oriented retail synonymous with its Saks Fifth Avenue stores The decision resulted in a July 2005 sale of its combined 47 Proffitt s and McRae s stores to Belk for approximately 622 million On October 31 that same year Saks announced that it was selling the 142 stores within its Northern Department Store Group including Carson Pirie Scott Bergner s Younkers Herberger s and Boston Store to Bon Ton Stores Inc for 1 1 billion the transaction was complete as of March 6 2006 7 On August 2 2006 Saks Incorporated announced that it had agreed to sell its upscale 38 Parisian stores along with two regional distribution centers and Birmingham corporate headquarters to Belk which rebranded them under their own name in the third quarter of 2007 On November 5 2008 Saks announced the closure of the unprofitable Club Libby Lu chain 8 2013 acquisition by Hudson s Bay Company Edit On July 29 2013 Toronto based Hudson s Bay Company announced that it will buy Saks Inc for US 2 4 billion 9 Through this ownership Saks Fifth Avenue and Saks Fifth Avenue Off 5th became affiliated with Hudson s Bay Home Outfitters and Lord amp Taylor List of department stores EditName Yearfounded Yearacquired Yeardivested NotesBergner s 1889 1991 2006 Sold to Bon TonBoston Store 1897 1998 2006 Sold to Bon TonCarson Pirie Scott 1854 1998 2006 Sold to Bon TonClub Libby Lu 2000 2009 Brand dissolved by Saks Inc Herberger s 1927 1997 2006 Sold to Bon TonMcRae s 1902 1998 2005 Sold to BelkParisian 1877 1996 2006 Sold to BelkProffitt s 1919 2005 Sold to BelkSaks Fifth Avenue 1867 1998 Acquired by Hudson s Bay Company in 2013Saks Fifth Avenue Off 5th 1990 1998 Acquired by Hudson s Bay Company in 2013Younkers 1856 1996 2006 Sold to Bon TonReferences Edit da Silva Michelle November 4 2013 Hudson s Bay Company acquires Saks Fifth Avenue The Georgia Straight Retrieved January 18 2022 2010 Form 10 K Saks Incorporated United States Securities and Exchange Commission Corporate Addresses Archived 2005 10 18 at the Wayback Machine Saks Incorporated Retrieved on March 1 2010 a b Barbaro Michael 2007 09 06 Saks Settles With S E C on Overpayments The New York Times ISSN 0362 4331 Retrieved 2015 09 21 Saks Inc Settles Financial Reporting and Related Charges by SEC Press release Securities and Exchange Commission 5 September 2007 Retrieved 2014 05 21 Saks to restate financial results over accounting errors announces informal SEC probe Archived from the original on 2013 10 19 Investor Relations Saks Incorporated phx corporate ir net Saks To Close Club Libby Lu Chain After 5 Turbulent Years Archived 2008 11 08 at the Wayback Machine Hudson s Bay to Buy Luxury Retailer Saks for 2 4 Billion Bloomberg com 29 July 2013 Retrieved 23 May 2018 via www bloomberg com External links EditOfficial website at the Wayback Machine archived December 8 2013 nbsp New York City portal nbsp Companies portal Retrieved from https en wikipedia org w index php title Saks Inc amp oldid 1175289162, wikipedia, wiki, book, books, library,
