Payless files for bankruptcy, will close 400 stores

Los Angeles /
Apr.April 06, 2017 01:42 PM

Payless ShoeSource filed for Chapter 11 protection with plans to close 400 under-performing stores in the U.S. and Puerto Rico, including nine locations in Los Angeles County.

Stores are expected to close immediately in cities such as Long Beach, Los Angeles, Woodland Hills and Rosemead.

The Topeka, Kansas-based footwear chain has faced declining sales and said its bankruptcy filing on Wednesday was designed to restructure its debt load to position it for long-term success, Women’s Wear Daily reported.

Payless said it is working to aggressively manage its real estate portfolio by modifying lease terms and evaluating closures of additional locations.

Payless, which was founded in 1956, operates about 4,400 stores worldwide in more than 30 countries.

The company joins a wave of bankrupt retailers including Nasty Gal, the Limited and Wet Seal Inc.

Big name retailers such as Macy’s Inc., Sears Holdings Corp., Abercrombie & Fitch Co. and Bebe Stores Inc. have announced store closures totaling 1,500 since the beginning of this year, according to WWD. [WWD]Subrina Hudson


Related Articles

arrow_forward_ios
Gov. Gavin Newsom (Getty)

Statewide curfew means more bad news for restaurants, retailers

Statewide curfew means more bad news for restaurants, retailers
Granite CEO Michael Dardick and Industrious CEO Jamie Hodari

Industrious partners with landlords to offer tenants satellite workplaces

Industrious partners with landlords to offer tenants satellite workplaces
Colorado Campus at 2041-2115 Colorado Avenue and Northwestern Mutual CEO John E. Schlifske

Northwestern Mutual picks up Santa Monica office campus for $166M

Northwestern Mutual picks up Santa Monica office campus for $166M
Macerich CEO Thomas O’Hern and Santa Monica Place mall

Here’s what tenants are paying at Macerich’s Santa Monica Place

Here’s what tenants are paying at Macerich’s Santa Monica Place
L.A. businesses can now deny service to any patron not wearing a mask

LA businesses may deny service to those not wearing masks

LA businesses may deny service to those not wearing masks
Prop 15 property tax measure draws millions (Credit: iStock)

Prop 15 property tax measure draws millions of dollars from for and against campaigns

Prop 15 property tax measure draws millions of dollars from for and against campaigns
Los Angeles County plans to clear several businesses to reopen over the next 10 days

Malls, nail salons, other LA businesses to open in next 10 days

Malls, nail salons, other LA businesses to open in next 10 days
California is allowing barbershops and salons to reopen under new coronavirus mitigation guidelines (Credit: Noam Galai/Getty Images)

California allows barbershops to reopen, but LA holds back

California allows barbershops to reopen, but LA holds back
arrow_forward_ios

The Deal's newsletters give you the latest scoops, fresh headlines, marketing data, and things to know within the industry.

Loading...