Local Payless ShoeSource one of 2,500 stores closing
DeKALB – The only Payless ShoeSource in DeKalb County will be one of the about 2,500 stores that will close throughout the country after the company announced it has filed for Chapter 11 bankrupcy.
Lauren Jeffords, spokeswoman for Payless, clarified that all U.S. stores are closing and have started liquidation sales but all franchises, which are outside of the U.S., will remain open and operate as normal. She said all U.S. stores are expected to remain open through March.
“We do not have detailed timelines available for each individual store,” Jeffords said, including the DeKalb store located at 2350 Sycamore Road, Suite K.
Jeffords said the company expects most U.S. stores to remain open thorugh May.
“But that’s all we’ve got at this point,” Jeffords said.
Payless also has stopped its online commerce operations, according to a news release from the company on Monday. Payless Canada also intends to file for protection through the Companies’ Creditors Arrangement Act in Canadian court, the release said.
Stephen Marotta, who was appointed in January 2019 as Chief Restructuring Officer of Payless, said in a Monday news release the U.S. and Canada stores are closing “amidst significant structural, operational, and market challenges” and despite efforts of working with partners and suppliers to best position the company for the future.
“As we move through the process, we will work to minimize the impact on our employees, customers, vendors and other stakeholders,” Marotta said in the release.
The store manager for the DeKalb Payless store declined comment and deferred comment to Jeffords. Jeffords and the manager would not disclose the manager’s full name.
The company is trying to get authorization from the U.S. Bankruptcy Court to honor customer gift cards and store credit until March 11 and to continue to allow returns and exchanges of non-final sale purchases that were made before Sunday to be honored until March 1, the release said.
Until total liquidation, the Payless store in DeKalb is open from 9:30 a.m. to 9 p.m. Monday through Saturday and 11 a.m. to 6 p.m. on Sunday.