Fortunoff may be the next retail chain headed for the scrap heap.

According to Bloomberg News, this once-venerable company is headed for Chapter 11 bankruptcy and a possible liquidation. The demise of Fortunoff comes a year after Lord & Taylor parent NRDC purchased the company out of bankruptcy. At the time, NRDC thought Fortunoff was the best thing since sliced bread. Lord & Taylor even made available a $10 million line of credit to the chain. But now, the chain's lease at its flagship store has expired and the store, located on Fifth Avenue near Bergdorf Goodman, Prada and Tiffany & Co. (NYSE:TIF) is vacant.

This post is part of our Battle of the Brands feature. Let us know which brand you prefer, and watch out for more Battle of the Brands posts.

Financial Data

An examination of the financial data indicates that Saks Inc. (NYSE: SKS), with a market capitalization of $2.2 billion, is up about 15% to $20.50 so far in 2007. Meanwhile, Nordstrom Inc. (NYSE: JWN) has not fared as well: Nordstrom, with a market capitalization of $10.9 billion, is up about 3% to $50.80.

Products

In general, Nordstrom appears to carry a wider product line than Saks. One example would be women's apparel, where Nordstrom's line was more-extensive. Nordstrom also offered cocktail dresses in the $140 to $160 range, whereas Saks did not. That said, Saks appeared to do a better job at dress line selection: their line of black dresses was exceptional, with both contemporary and modern styles displaying eye-catching, striking/confident characteristics. Further, Saks appeared to be willing to reach slightly into Nordstrom's zone by offering black dresses as low as $180 to $200. Otherwise, Saks remained in its price zone, which was substantially higher, across apparel lines, than Nordstrom.

And that's perhaps another distinguishing characteristic between the two upscale retailers. While both Saks and Nordstrom serve the high-end consumer, Saks stays there, while Nordstrom carries many lines for the "mid-range" high-end consumer. One example here would be women's handbags: Nordstrom had several lines and styles (including leather bags) in the $200 to $300 range, whereas Saks for the most part remained in the stratosphere, with handbags above $800. Further, bag prices at Saks quickly moved above $1,200. That said, Saks, again, appeared to best Nordstrom in women's handbags; their Dolce & Gabbana and Bottega Veneta lines offered contemporary-yet-functional characteristics for that smart and sophisticated professional look.