Payless Is Bouncing Back From Bankruptcy After Closing Over 2,000 Stores

Payless Is Bouncing Back From Bankruptcy After Closing Over 2,000 Stores
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  • It is official; Payless ShoeSource is coming back!
  • They filed Chapter 11 Bankruptcy back in 2017 and soon closed all 2,000+ stores in the U.S.
  • For instance, they have a new management team and are pushing forward once more.

 

Payless ShoeSource is officially emerging from the bankruptcy blues. For the second time! They first filed for bankruptcy in April 2017. Now, a new management team is taking over to hopefully re-introduce the shoe retailer to U.S. markets. The store chain’s new CEO Jared Margolis releases a statement on this exciting news. “I am pleased to have the opportunity to lead this iconic retail brand into a new strategic phase with a strengthened balance sheet and clean financial outlook.” he says.

“We intend to leverage Payless’ existing infrastructure, which is best in class and already includes product design and development, distribution, marketing, and a strong relationship with major footwear manufacturers. Thus, providing the new Payless with the ability to be nimble, innovative, and to fast-track our biggest growth opportunity: The United States.”

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Payless ShoeSource is coming back!

payless coming back from bankruptcy
Payless / J.C. Reindl, Detroit Free Press

Margolis continues, “We will implement a new comprehensive strategic plan to strengthen our relationship with our vendors and suppliers, support our global franchise partners and deepen the trust of our customers.”

RELATED: Sears And Kmart Closing Nearly One Hundred Stores As Millennials Ditch The Struggling Chains

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In addition, Good Morning America reports that about 700 international stores still up and running. This includes stores in Latin America, Southeast Asia, and the Middle East. Payless filed for Chapter 11 bankruptcy protection and closed all 2,100 U.S. stores. This left a solid 16,000 people unemployed.

Upon filing bankruptcy, the store was ultimately joining several other retailers that have filed for it

payless coming back from bankruptcy
Inside a Payless ShoeSource store / Shutterstock

“Payless will begin liquidation sales at its U.S. and Puerto Rico stores on February 17, 2019, and is winding down its e-commerce operations,” says a spokesperson for Payless at the time of closing. They added that “this process does not affect the Company’s franchise operations or its Latin American stores, which remain open for business as usual.”

For instance, Payless ShoeSource was founded in 1956. Many love the retailer for selling shoes at an affordable price from many different major brands. It is just one of the many stores that have filed for bankruptcy. Other stores include Forever 21, Charlotte Russe, Claire’s, and even Toys ‘R’ Us a few years back. In conclusion, learn more about other stores that may disappear forever soon:

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