Payless ShoeSource to close all United States stores, report says

The Payless Shoe store in Willmar along with the rest of the company's stores is expected to close by the end of March. Tribune file

The Payless Shoe store in Willmar along with the rest of the company's stores is expected to close by the end of March. Tribune file

Footwear retailer Payless ShoeSource is planning to file for bankruptcy this month, shutting down all of it's stores for good, including the multiple locations in Alaska.

Payless ShoeSource also filed for bankruptcy in 2017, a move that at that time resulted in the closing of 673 stores.

The company was founded Topeka, Kansas in the mid-1950s.

However, the company said in an email that the liquidation doesn't affect its franchise operations or its Latin American stores, which remain open for business as usual.

Payless reportedly plans to close thousands of stores in what could be the largest retail liquidation.

Payless now has more than 2,700 North American stores, according to its website.

On Feb. 8, CNBC reported that a potential second bankruptcy filing was a possibility. That's what happened with Gymboree and RadioShack.

Like other "brick and mortar" retailers, Payless has struggled with sales as online sales have strengthened. Online shopping has led to a drop in foot-traffic at USA malls, which were a vital source of customers for stores like Payless. "Yet, the pace of change inside retailers continues to lag".

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